Whitebark Energy Ltd (ASX:WBE) has completed a successful drilling and fracture stimulation program on the Wizard Lake Rex well in Alberta, Canada and has now begun flowback testing of the well.
The coil tubing was successfully recovered with no impact on the integrity of the well bore.
As is the practice by other operators in the area, a high-volume, submersible pump is being used to assist with the recovery of frac fluids and to optimise the oil recovery rate.
The well will undergo an extended flowback and testing program which will provide valuable information on the potential of the well and the associated oil pool.
The company has also signed an agreement lifting its working interest in the well and associated oil pool from 20% to 30%. The balance interest is held by Point Loma Resources Ltd (CVE:PLX).
Whitebark managing director David Messina said: “We are very pleased to be flowing back and testing this well before year end.
“As a reflection of the results we have seen to date, we have taken the opportunity to increase our interest to 30%.
“We look forward to sharing the results with the market as and when they are provided to the company early in the new year.”
Receipt of $1 million worth of shares on TP-15 sale
Whitebark has received $1 million worth of shares (11,191,052 shares) in Triangle Energy Global Ltd (ASX:TEG) as part payment for the sale of the TP-15 exploration permit in the Perth Basin.
On November 13, 2018 Whitebark had received the initial $2 million cash consideration for this transaction.
Two more payments totalling $2 million dollars may become payable subject to future performance milestones.
Whitebark managing director David Messina said: “The sale of TP-15 to Triangle has enabled us to actively peruse opportunities in Canada and, by receiving part payment in Triangle shares, we retain upside to activities at Xanadu as well as other activities in Triangle including the recently announced discovery at Reids Dome.”