view88 Energy Ltd

88 Energy Limited - Operations Update

RNS Number : 6533P
88 Energy Limited
19 February 2021

19 February 2021


88 Energy Limited


Operations Update


88 Energy Limited ("88 Energy" or the "Company", ASX:88E, AIM 88E) provides the following update related to its operations on the North Slope of Alaska.



·    Rig commissioning complete - mobilisation commenced for Merlin-1 drilling

·    Drilling scheduled to commence 1st week of March 2021

·    Nearby Talitha-A well early results encouraging - potential for extension into 88E leases



88 Energy is pleased to confirm that mobilisation of Rig-111 to the Merlin-1 drilling location has commenced. Spud is now scheduled for the 1st week of March 2021 with drilling expected to take ~3‑4 weeks, including logging. Dependent on the results from the logging, the well will then be flow tested.


Managing Director, Dave Wall, commented: "Commencement of drilling at Merlin-1 is now just around the corner, targeting the extension of the highly successful Nanushuk play.


Success would underpin a company making development project for our shareholders, with the proven resource at the recently acquired at Umiat Oil Field adding substantial value."


Project Icewine

The Talitha-A well, recently drilled by Pantheon Resources PLC (AIM:PANR) close to the northern border of the 88E central acreage position, is scheduled to be flow tested over multiple horizons after encouraging log results. Several of the prospective horizons in Talitha-A are interpreted to extend into 88E acreage.


Leases owned predominantly by Burgundy Xploration LLC in the eastern portion of Project Icewine area (where no money has been spent) were recently relinquished as part of a rationalisation process.


About Project Peregrine - Imminent Drilling

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 estimated US$12.6m total cost) for the Merlin-1 well.


The Merlin-1 well is scheduled for spud in early March 2021 and is targeting 645 million barrels of gross mean prospective resource. Flow testing of Merlin-1 is planned if wireline logging confirms a discovery. A second well, Harrier-1, is intended to commence immediately following completion of operations at Merlin-1, subject to results from Merlin-1, schedule and permit approvals. Harrier-1 is targeting gross mean prospective resource of 417 million barrels and is expected to cost ~US$7m.


Each of the Merlin and Harrier prospects is located on trend to an existing discovery (see next figure), 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;

-     Graphic 1: Rig 111 prior to tear down for mobilisation

-     Graphic 2: Project Peregrine and Recent Nanushuk Discoveries

-     Graphic 3: 1 Talitha-A Location in relation to Icewine leases

-     Graphic 4: 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                                       

Neil McDonald/Derrick Lee


Tel: + 44 131 220 6939


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.

Quick facts: 88 Energy Ltd

Price: -

Market: AIM
Market Cap: -

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...


Market Report: Silver surges to five-month high and ASOS buy Topshop brands...

The Market Report with Katie Pilbeam. FTSE 100 started the week higher after a horrendous end on Friday amid high volatility caused by the GameStop/Reddit rush. London’s leading index advanced 47 points to 6,456 in early trading. Silver companies were the latest beneficiaries of the...

on 1/2/21

5 min read