Positive progress for 88 Energy at Icewine

Exploration company 88 Energy issued an extensive update on its operations at Project Icewine on Wednesday, including its securing of additional acreage.

The AIM-traded firm said processing has been completed for the official award of 172,937 acres successfully bid on in the State of Alaska November 2015 Licensing Round.

It said the Icewine Joint Venture now holds title on a total of 271,119 acres, with 210,250 acres net to 88 Energy’s 77.5% working interest.

“Accumulate Energy Alaska - the 100% owned US subsidiary of 88 Energy - is now the fifth largest net acreage holder of any operator on the Central North Slope,” 88’s board said in a statement.

On the operational front, 88 Energy said the well and stimulation design for Icewine#2H are both in the final stages of completion and are currently being fine tuned.

“In the interim, integration of the latest rock property analysis, including Young’s Modulus and Poisson’s Ratio (stiffness, compressibility), as well as fluid sensitivities, has resulted in a narrowing of the proposed landing zone to two horizons,” the board explained.

“The final horizon will be selected based on the optimal stimulated rock volume, which in turn should result in maximum flow potential.

“Significantly, the results from the latest rock property analysis correlate to the integrated petrophysics, increasing the company’s confidence in the validity of the model.”

88 Energy also said it was anticipating receiving interpretation from the seismic extracts in the vicinity of the Icewine#2H, purchased from Franklin Bluffs, in late July or early August.

The separate Icewine 2D seismic data acquired earlier this year by Accumulate Energy, which comprises a series of regional dip and strike lines spanning the majority of the acreage, is expected to be processed by the end of July with first look interpretation in August.

“The project continues to move forward with significant progress made on all fronts,” said 88 Energy managing director Dave Wall.

“Well planning, contracting and permitting remain on track ahead of the scheduled spud of Icewine#2H in Q1 2017 when the productive potential of the HRZ will be tested potentially unlocking a huge resource play on the North Slope of Alaska.

“Any conventional prospectivity indicated by the recently acquired 2D seismic will be icing on the cake for shareholders,” Wall added.