Gulf Keystone Petroleum Ltd said on Monday it found additional oil in an Iraqi well, sending the oil and gas explorer's shares up 7.8 percent.
The new Triassic discovery flowed at 10,000 barrels of oil equivalent (boe) per day and the section currently shows potential aggregate rates of about 24,000 boe per day, the company said.
In October, Hungarian oil company MOL had recommended caution while estimating oil reserves in the Shaikan-1 exploration well in Iraq's Kurdistan, saying an accurate evaluation would not be complete until late 2010.
MOL holds a 20 percent stake in the Shaikan-1 field.
Gulf Keystone, the field's operator and majority owner, said the Jurassic and Triassic tests in the well have so far resulted in an aggregate actual test rate of 20,000 boe per day.
It is our belief that the aggregate volumes suggest an even larger future potential, Executive Chairman Todd Kozel said in a statement.
Shares of the company were up 7.8 percent at 117 pence at 0811 GMT on the London Stock Exchange. (Reporting by Aditi Samajpati in Bangalore; Editing by Vinu Pilakkott)