88 Energy Ltd (AIM:88E, ASX:88E, OTC:EEENF) (88 Energy Ltd (AIM:88E, ASX:88E, OTC:EEENF)) told investors that third-party mapping work in Alaska is now complete.
The company’s consultant Jordan & Pay evaluated the Shelf Margin Delta (SMD), Slope Fan Set (SFS) and Basin Floor Fan (BFF) play fairways across the Project Icewine acreage on Alaska’s North Slope.
Jordan & Pay’s assessment included the consideration of publicly available information related to wells on adjacent acreage, operated by Pantheon Resources, and the consultant says the data shows that all Pantheon reservoir units extend into the Icewine acreage.
Additionally, 88 Energy noted that an in-depth petrophysical re-evaluation of Icewine-1 and the broader Icewine East area has also been completed by Stimulation Petrophysics Consulting – which assessed Icewine logs against intervals that flowed oil in Pantheon's acreage to the north.
“A comparison of the tested interval in Alkaid-1 against a similar interval in Icewine-1, called the SMD-B reservoir unit, indicated the favourable potential for a flow test of the same zone in the Icewine acreage,” it said.
88 Energy said that the studies confirm preliminary analysis and along with recent mapping efforts will form the basis of an independent volumetric and risking certification, expected to be completed by mid-2022.
The company added that Pantheon’s well testing (at the Alkaid-1, Talitha-A and Theta West-1 wells) are positive for the prospectivity of Icewine, but noted that as some data is not publicly available only a qualitative comparison to Icewine could be made.
“Given the favourable petrophysical comparison between Icewine-1 and Alkaid-1, the company is optimistic that a production test in the Icewine East acreage could potentially yield a similar or better result than seen during the testing of Alkaid-1.
“The company also notes Pantheon's plans to drill a horizontal production well in mid-2022 in Alkaid, called Alkaid-2, to prove up the development concept.”