Palliser Oil & Gas Corp (CVE:PXL) (PINK:PSLRF) stock price bounced up after the company announced three new salt water disposal facilities are now operational.
PXL regained 16% on the multi-year heaviest trading volume of nearly 1.7 million, which was more than 17 times higher than the 90-day average. The news driven strong buying temporarily offset the general downtrend and coincided with a technically favorable situation. PXL value shot up close to the only support point it had near the current levels. This safe level around 60 cents per share was established in October 2010.
The technical situation mixed with operational update might result in a temporary price increase or consolidation near the newly found bottom.
The latest spike up was caused by an update from Palliser stating that three new salt water disposal facilities are now operational. They provided enough water capacity for the company to put six wells on production and extend the count of producing wells to a total of 10.
Palliser also reminded in the press release that their operating costs are gradually decreasing as infrastructural changes occur and the company expects for them to continue declining throughout 2012.
Palliser actively operates on three core areas they own – two in Saskatchewan and one in Alberta.
