Contact Exploration Inc. (TSXV: CEX.V) detailed an update on its wells in the Kakwa area of Alberta, the company said Jan 20.

Four wells--13-17-63-5W6, 14-30-63-5W6, 3-19-63-5W6 and 5-23-63-6W6--are producing up to 8 million cubic feet per day (MMcf/d) of natural gas and 1,200 barrels of oil per day of condensate, the company said. The company added that it expects overall production levels to increase from wells currently being drilled. These four wells flow through a compression and stabilization facility, the company added.

The 16-25-63-5W6 Montney well was completed and is scheduled to begin production in Feb. 2014, the company said. The well’s production tests initially yielded condensate, the company said.

Another Montney well, the 16-17-63-5W6, was drilled to 5,191 meters total depth on the same pad as the first Montney well, the company said. The 16-17-63-5W6 will start production Feb. 2014, the company said.

A third Montney well, the 15-30-63-5W6, was spudded Dec. 31, 2013. It is the first of two back-to-back wells to be drilled on the 3-30-63-5W6 drilling pad, the company said. Another Montney well is scheduled for spudding, from the same drilling pad, in February after the 15-30-63-5W6 is cased.

Contact will have one rig year-round at Kakwa, the company said.

Additionally, two long-reach horizontal wells, roughly 1.5 miles, will be drilled between April and July the year, the company said.

Contact holds 25% working interest in all Montney wells in the 16/4 section of the Kakwa, the company noted.

The company holds a 23.75% working interest in two nonoperated Kakwa sections, the company said. Here one Montney well, the 14-2-63-6W6 well, shut-in through Nov. and Dec. 2013, began producing again Jan. 7, the company said.

Contact Exploration is a public oil and gas company based in Calgary.