88 Energy Ltd (AIM:88E, ASX:88E, OTCQB:EEENF, FRA:POQ) announced it has secured a fully winterised Arctic drilling rig for its Augusta-1 exploration well, moving its highest-priority South Prudhoe target closer to a planned first-quarter 2027 spud on Alaska’s North Slope.
The company has contracted Nordic-Calista Services’ Rig-3, a unit purpose-built for North Slope operations and previously used by 88 Energy during its 2019 and 2020 drilling campaigns.
Augusta-1 is designed to test stacked conventional reservoirs in the Ivishak and Kuparuk formations. The company estimates the target contains 64.4 million barrels of gross unrisked 2U prospective oil and NGL resources, equal to 53.7 million barrels net, with a geological chance of success of 48%.
The rig deal comes as 88 Energy advances final well planning, permitting and long-lead procurement. The company said drilling remains subject to securing an appropriate funding structure, with a formal farmout process already underway.
88 Energy noted it holds a 100% working interest in South Prudhoe, subject to a 16.7% royalty, and said it had a pro-forma cash balance of about A$10 million as at 31 March 2026.