UPDATE: Euro Pacific Capital Lowers Price Target on FX Energy on Production Test Results

In a report published Tuesday, Euro Pacific Capital analyst Joel Musante lowered the price target on FX Energy FXEN from $5.50 to $5.00, holding the company to a Speculative Buy rating.

 

In the report, Euro Pacific Capital stated, “FXEN announced that its Plawce 2 exploration well was deemed non-commercial after performing a production test in a Rotliegend sandstone interval that was fracked in 3 locations along the vertical wellbore. The well tested the Plawce tight sand prospect in the Fences Concession of Poland, which if successful, could have resulted in numerous development opportunities. During the production test, the well produced formation water and non-commercial quantities of gas. As a result, we are lowering our price target from $5.50 to $5.00 to reflect the elimination of ~$0.50 value we allocated to the project in our NAV.”

 

FX Energy closed on Monday at $3.43.