88E readies for Icewine#2 production testing
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
Coming off a strong session in the UK overnight, 88 Energy (LON | ASX:88E) this morning updated the market on its oil and gas project on the north slope of Alaska.
88E has a 63% working interest and operatorship in approximately 342,000 acres onshore the prolific North Slope of Alaska — Project Icewine. The North Slope is the host to the 15 billion barrel Prudhoe Bay oilfield complex, the largest conventional oil pool in North America.
88E, with its Joint Venture partner Burgundy Xploration, has identified highly prospective play types that are likely to exist on the Project Icewine acreage – two conventional and one unconventional.
Today’s news follows a previously provided update on May 30 regarding site clearance works at the Franklin Bluffs Pad ahead of flow testing of the Icewine#2 well.
88E has now reported that pressure build-up analysis at the site indicates no deterioration in fracture half-length.
This is good news, however the stock remains a speculative play and there is much work to be done, so investors should seek professional financial advice if considering this stock for their portfolio.
Following retrieval of downhole gauges in Icewine#2 on May 25, pressure build-up data was downloaded and processed. The data was then analysed and interpreted to determine whether any degradation of the fracture system created by the artificial stimulation had occurred.
The analysis showed that the fracture geometries of the first pressure build-up, in July-August 2017, when compared to those from the second pressure build-up over Winter, in September 2017-June 2018, are very similar, with estimated fracture half-length of 504ft and 500ft, respectively. This is encouraging and indicates that the fracture system created has not undergone degradation.
This, combined with there being no evidence of a build-up of debris in the wellbore, means no remedial action is required prior to commencement of flowback.
Mobilisation of equipment and personnel for the re-commencement of flowback of the Icewine#2 well, utilising artificial lift, is now in full swing and operations remain on schedule for start-up on June 11.
88E had a strong session overnight, rising 8.6% in the UK.
The past performance of this product is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.