88 Energy (ASX:88E, LON:88E) has been encouraged by recent drilling reports on the same slope as its Icewine project in Alaska.
Spanish titan Repsol recently reported production from both a discovery and an appraisal well, though results from neighbour Great Bear’s latest drilling have not been released with reports that it missed its drilling schedule.
88's management recently visited the site planned for the first well at Icewine, which confirmed the existing pad is in good condition and near rig ready. The use of this existing gravel pad will be much cheaper than having to construct one new.
Recent meetings with the Alaskan authorities over a drilling permit had also been constructive, 88 said, and a first well remains on schedule by the end of the year as funding talks were also making progress.
David Wall, 88 Energy's Managing Director, said: "With the project moving forward at a cracking pace on all fronts, combined with the recent success by Repsol and the recovery in oil price, 88E and its shareholders could not be much better positioned.
“Drilling remains on track for prior to year end spud as strategic funding/farm-out talks progressing concurrently with operational activity.“