88 Energy Ltd (LON:88E, ASX:88E) is on schedule to start fracture stimulation at Project Icewine on June 17, with production testing due either late in the month or early July.
The company on Tuesday said that the sundry application for execution of the main stimulation work at Icewine-2 has been approved by the Alaska Oil and Gas Conservation Commission (AOGCC).
“The company would like to thank its shareholders for supporting the Project Icewine team in getting us to the cusp of flow testing a potentially significant resource play in the HRZ shale,” said Dave Wall, 88 Energy managing director.
“The work done to date by a dedicated group of employees and consultants has been to a high standard utilising the latest best practice techniques in industry.
“This increases the chance of a successful execution of the program but does not increase the likelihood of success for the play itself. The remaining key uncertainties, namely effective creation of complex fractures and gas to oil ratio, cannot be resolved until the stimulation is executed.”
Giving details of the upcoming multiple stage fracking programme, the company noted that one stage will be executed in the lower HRZ shale interval and the other will be in the upper HRZ.
It is anticipated that the upper zone will be flowed back for up to two weeks, before the lower zone is opened up and comingled with the flow from the upper zone. An extra two weeks of clean-up will occur before the company may be in a position to report flow rates.