- Oil explorer, 88 Energy (88E), provides operations update for its Project Peregrine in Alaska’s North Shelf
- The appraisal for the spud of the Merlin-2 well is reportedly on track for February of next year, with a permit to drill expected by year-end
- Commissioning of an Arctic Fox rig and snow road construction are expected to begin between now and February
- The company says its contractor will accept shares as a pre-payment in 88E of up to US$7.5 million (A$10.7 million)
- Shares have been in the grey and last traded at 2.6 cents
Oil explorer, 88 Energy (88E), has provided an operations update for its Project Peregrine in Alaska’s North Shelf.
The company says appraisal for the spud of the Merlin-2 well is planned for next quarter, with a drilling permit expected by year-end. It also says the Merlin-2 well is planned for a total depth of eight thousand feet and is targeting around 652 million barrels of oil.
Snow road building is also apparently underway and will begin before the end of this year, depending on weather conditions.
Pre-commissioning inspection of its Arctic Fox rig is reportedly planned for early January.
According to the company, an inspection prior to contracting the rig confirmed it to be in “excellent” condition. Commissioning of the rig is expected to occur following the rig inspection in January 2022 and immediately prior to mobilisation to the Merlin-2 drill site.
A key contractor involved in the Merlin-2 operations, which along with other services provides snow road and drilling management, will reportedly accept shares in 88E as pre-payment.
88E will reportedly issue the contractor just over 407 million ordinary shares at 2.6 cents per share, a value of up to US$7.5 million (A$10.7 million).
Shares were in the grey, last trading at 2.6 cents at 9.50 am AEDT.