Shares of i3 Energy PLC (LON: I3E) have plummeted on Tuesday after the firm updated shareholders about drilling issues at its Liberator well.

i3 Energy isn an independent oil and gas company with assets and operations in the United Kingdom. i3 Energy’s core asset is the Liberator oil field discovered by well 13/23d-8 located in License P.1987, Block 13/23d in which it has a 100% operated interest.

Shares of i3 plummeted 25.2% on Tuesday afternoon to 19p. 26/11/19 14:13BST.

Only a few weeks back, i3 saw their shares rally after the firm made a new discovery at its Serenity oilfield in the UK central North Sea.

However, this pattern was short lived as shares plummeted today following the cautious update. The firm said that the oil water contact at its Liberator well currently being drilled was “lower than anticipated”.

The Liberator well 13/23c-11, in the company’s 100%-owned Liberator field in the North Sea, was drilled to 220 feet, as planned.

“Initial evaluation of the measurement while drilling logs indicate that, at this location, about 20 feet of the Captain sand with oil indications has been found above the expected oil water contact of 5,270 ft total vertical depth subsea,” the company said.

Chief Executive Majid Shafiq said: “We are pleased to have encountered a thick Captain sand at this location including oil indications in the upper captain sand above the oil water contact. Initial interpretation is that the sand thickness above the oil water contact is lower than anticipated. Definitive results will be determined and the market updated in due course.”

“Initial interpretation is that the sand thickness above the OWC is lower than anticipated. Definitive results will be determined and the market updated in due course,” he added.

Wireline logging will now be carried out as per the planned data evaluation programme, i3 added.

In the oil and gas industry, competitors such as Nostrum Oil and Gas (LON: NOG) and Chariot Oil & Gas (LON: CHAR) have seen their shares dip following modest updates.

Additionally, big titan Shell (LON: RDSA) have reported lower profits in their third quarter following volatile oil prices and tough market conditions.