88 Energy Limited Operations Update (0951U)
March 31 2021 - 1:52AM
UK Regulatory
TIDM88E
RNS Number : 0951U
88 Energy Limited
31 March 2021
31(st) March 2021
This announcement contains inside information
88 Energy Limited
Operations Update
88 Energy Limited ("88 Energy" or the "Company", ASX:88E,
AIM:88E, OTC:EEENF) is pleased to provide the following update
related to its operations in the NPR-A region of the North Slope of
Alaska.
Highlights
-- Umiat Oil Field acquisition conditions satisfied
-- Wireline logging continues at Merlin-1
Details
The final condition related to the acquisition of the Umiat Oil
Field ("Umiat") is now complete with cement work associated with
plugging and abandoning of two historical wells at the field now
executed. Remedial site work will be finalised in the near
term.
Umiat is an historic oil discovery, made in 1945 in shallow
Brookian (Nanushuk) sandstones, located immediately adjacent to the
southern boundary of Project Peregrine.
The field is covered by two leases comprising 17,633 acres,
which are in a unit that was formed in September 2019 with an
initial 10 year term. The current conditions of the unit stipulate
a well commitment (exploration or appraisal) by 31(st) August
2022.
Umiat was discovered in the mid-1940s with 11 appraisal wells
drilled by 1953, several of which were tested. Umiat-5 flowed 268
barrels per day on a 3 month test and Umiat-8 had a peak flow rate
of 5.9mmcf/d of natural gas during a 4 day test. Little work was
done until 2013/2014 when Linc Energy drilled two wells, Umiat-18
and Umiat-23H. Umiat-23H was tested with a maximum flow rate of 800
barrels per day and sustained flow of 200 barrels per day. Refer to
ASX announcement dated 11 January 2021 for further details.
Wireline logging operations at the Merlin-1 well at Project
Peregrine are underway, with preliminary results expected over the
weekend.
Managing Director, Dave Wall, commented: "The acquisition of the
proven oil field at Umiat is a significant milestone for the
Company and its shareholders, particularly in the context of any
discovery made at Project Peregrine, where wireline logging is
currently underway."
About Project Peregrine - Logging Underway
Project Peregrine is located in the NPR-A region of the North
Slope of Alaska and encompasses 195,000 contiguous acres. It is
situated on trend to recent discoveries in a newly successful play
type in topset sands in the Nanushuk formation. 88 Energy has a
100% working interest in the project that will reduce to 50% post
the completion of funding as part of a recent farm-in, whereby 88E
is carried on the first US$10m (of an initially estimated US$12.6m
total cost) for the Merlin-1 well.
The Merlin-1 well is spud in March 2021 and is targeting 645
million barrels of gross mean prospective resource(#) . A second
well, Harrier-1, is planned to be drilled in 2022 and is targeting
gross mean prospective resource of 417 million barrels(#) .
Independent Resource Assessment(#)
Project Peregrine: Alaska Unrisked Net Entitlement to 88E
North Slope Prospective Oil Resources (MMstb)
Prospects (Probabilistic Low Best High Mean COS
Calculations) (1U) (2U) (3U)
--------
Merlin (Nanushuk) 41 270 1,463 645 37%
======== ======== ======= ======= =====
Harrier (Nanushuk) 48 207 940 417 24%
=========================== ======== ======== ======= ======= =====
Harrier Deep (Torok) 42 267 1,336 574 20%
=========================== ======== ======== ======= ======= =====
Prospects Total 1,636
--------------------------- -------- -------- ------- ------- -----
(#) Please refer to release dated 23 February 2021 for full
details with respect to the Prospective Resource estimate,
associated risking and applicable Cautionary Statement.
Each of the Merlin and Harrier prospects is located on trend to
an existing discovery, in the same play type (Nanushuk topsets).
This has de-risked the prospects considerably and resulted in a
relatively high independently estimated geologic chance of
success.
Cautionary Statement: The estimated quantities of petroleum that
may be potentially recovered by the application of a future
development project relate to undiscovered accumulations. These
estimates have both an associated risk of discovery and a risk of
development. Further exploration, appraisal and evaluation are
required to determine the existence of a significant quantity of
potentially movable hydrocarbons.
The below graphics can be found in the pdf version of this
announcement available from the Company's website;
-- Figure 1: Umiat Oil Field Location
-- Figure 2: Project Peregrine and Recent Nanushuk Discoveries
-- Figure 3 : Merlin-1 - on trend to large Willow oil field
Media and Investor Relations:
88 Energy Ltd
Dave Wall, Managing Director Tel: +61 8 9485 0990
Email: admin@88energy.com
Finlay Thomson, Investor Relations Tel: +44 7976 248471
EurozHartleys Ltd
Dale Bryan Tel: + 61 8 9268 2829
Cenkos Securities Tel: + 44 131 220 6939
Neil McDonald / Derrick Lee
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDFIFERVIILVIL
(END) Dow Jones Newswires
March 31, 2021 02:52 ET (06:52 GMT)
88 Energy (LSE:88E)
Historical Stock Chart
From Mar 2024 to Apr 2024
88 Energy (LSE:88E)
Historical Stock Chart
From Apr 2023 to Apr 2024
