88 Energy Ltd. has begun a detailed wireline logging program expected to take 7 days, including initial analysis, to determine significance of similarities of Charlie-1 on the North Slope of Alaska to the nearby Malguk-1 well (OGJ Online, Mar. 3, 2020).
Charlie-1, drilled as a step-out appraisal to Malguk-1, reached 11,112 ft (TVD) in the Kuparuk formation on Mar. 30 after drilling through and logging all targets, including the HRZ unit. Flow testing is anticipated to conclude in April.
Malguk-1, drilled by BP in 1991, encountered oil shows during drilling with elevated resistivity and mud gas readings over multiple horizons but was not tested due to complications towards end of operations. It was drilled using vintage 2D seismic which was insufficient to determine extent of prospective targets. 88 Energy subsequently undertook revised petrophysical analysis and identified bypassed pay. Modern 3D seismic was acquired in 2018 to determine the extent of discovered oil accumulations.
Results from logging while drilling in Charlie-1 are consistent with Malguk-1 with shows and elevated log response recorded over several horizons.
Total gross mean prospective resource across seven stacked targets intersected by Charlie-1 is 1.6 billion bbl (480 million bbl net to 88 Energy).
88 Energy will operate Charlie-1, via its 100% owned subsidiary Accumulate Energy Alaska, Inc., with cost funded by Premier Oil PLC up to $23 million under a recent farm-out agreement.