88 Energy Limited (LON:88E, ASX:88E) has updated investors on the Icewine project in Alaska as it released its most recent quarterly activity report.
The company said that there has been significant pressure build up in the Icewine-2 well since the flow testing programme was suspended on September 18.
It added that the rise is consistent with interpreted overpressure in the HRZ shale.
The company also highlighted its operations over the quarter to September 30, which had included the Icewine-2 flowback efforts. Across two testing periods the company recovered a total of 5,533 barrels or 19.9% of the fluid injected into the well during the fracking of the HRZ shale.
In September, the company announced it was shutting in the Icewine-2 well for the winter with a new programme slated to start again in April or May 2018.
According to the company, the decision to hibernate the programme was based on logistical reasons associated with testing in Arctic conditions – namely the freezing of borehole fluid (predominantly fresh water from the frack) due to the low rate of fluid flow.
88 Energy’s next move will be to use artificial lift with a view to improving flows from the well, though it noted that winterised equipment suitable for executing such a programme isn’t presently available.
Consequently, it plans to carry out this work in the spring once weather conditions are more favourable.