Highlights
- Wireline programme successfully completed on the Hickory-1 well.
- Initial petrophysical interpretation confirmed presence of multiple hydrocarbon bearing pay zones across all pre-drill targets, in addition to the new Upper SFS reservoir identified.
- Estimated net pay calculated from wireline data of approximately 450 feet over all pay zones (gross pay estimated to be over 2,000 feet).
- Average total porosity across all zones of 9-12%, including key zones identified for potential testing in the Upper and Lower SFS with between 11-16% total porosity .
- Pre-drill expectations met or exceeded on reservoir quality (higher than expected porosity in SFS and BFF) and thickness (higher total gross reservoir, total net reservoir and total net pay).
- Post-well analysis of cores and wireline data now set to commence, including assessment and classification of resources across all reservoirs including maiden resource estimates for the Upper SFS reservoir.
- Multiple zones in Hickory-1 planned to be to flow tested, all of which possess similar reservoir characteristics to wells that have flowed on adjacent acreage.
- Hickory-1 to be cased and suspended in preparation for carrying out flow test programme as early as possible in the 2023/2024 winter operational season; preliminary planning has already commenced including identification of suitable rigs to undertake the work.
88 Energy reports that the Hickory-1 wireline logging suite and sidewall coring programme has been successfully completed. This programme has confirmed the preliminary petrophysical interpretation from LWD (logging while drilling) data of the presence of multiple hydrocarbon bearing zones across all pre-drill targets, as well as the new Upper SFS reservoir.
The sophisticated wireline logging and sidewall coring programme consisted of 5 runs which included the Triple Combo, NMR/XMR, Dielectric Scanner, Dipole Sonic and Side Wall Coring ( SWC ) tools. The focus of the wireline logging programme was to:
- validate the preliminary petrophysical interpretation of multiple pay zones identified during drilling from LWD logs; and
- obtain data to optimally design and plan a targeted flow test of Hickory-1.
Both goals were successfully achieved.
Interpretation of wireline data has confirmed the following preliminary petrophysical assessment:
- an estimated gross pay of over 2,000 feet and a calculated net pay of approximately 450 feet over all zones in the well; and
- average total porosity across all pay zones of 9-12%, including key zones identified for potential testing in the SFS and Upper SFS with between 11-16% total porosity.
Pre-drill expectations were met or exceeded on reservoir quality (higher than expected porosity in SFS and BFF) and thickness (higher total gross reservoir, total net reservoir and total net pay).
Side wall coring ( SWC ) was also performed over all reservoir intervals with samples recovered to surface. The retrieved SWC fluoresced under ultraviolet light in numerous cores over the SMD, SFS and BFF, and visible porosity was also confirmed in the SWC. These core samples will now be transported to a lab in Anchorage for further analysis.
In addition, a preliminary petrophysical comparison of Hickory-1 prospective zones against the interval that flowed oil in Pantheon's Alkaid-1, has indicated favourable potential for successful flow tests from multiple zones in the Hickory-1 well.
Pantheon's wells on the adjacent northern acreage - Alkaid-1, Alkaid-2, Talitha-A and Theta West-1 - have all flowed 35 to 40° API oil from similar sandstones, with testing confirming reservoir deliverability of light, sweet oil (see Pantheon releases of 7 February and 21 February 2022).
Forward Plan
Hickory-1 will now be cased and suspended in preparation for flow testing, which is set to be undertaken as early as possible in the 2023/2024 winter season. A detailed evaluation of all the data obtained from the Hickory-1 drilling and wireline logging programmes will be undertaken in order to plan the optimal flow test programme. It is expected that a light-weight rig can be utilised to complete these operations in the next winter season and the Company has commenced discussions with rig providers to complete this work.
The Nordic Calista Rig 2 is currently running 7" casing ahead of suspending the well. The remaining program is anticipated to take 5-7 days prior to Rig-2 rigging down and being released from site, signifying the end of 88 Energy's 2022/2023 winter drilling campaign.
The Company is excited by the results of this phase of the campaign and eager to return during the 2023/2024 winter season for flow testing of Hickory-1.
88 Energy will provide further information as the analysis of the well results progresses and will release details of the flow test programme and the future work programme for Project Phoenix when this information is available.
Managing Director, Ashley Gilbert, commented:
'We are excited about the results to date from the Hickory-1 well, and particularly encouraged by the identification of multiple pay zones across the primary and secondary targets.
The results have confirmed or exceeded our pre-drill expectations with regard to the primary and secondary targets, and also identified the new Upper SFS reservoir, which is very pleasing for both the Company and its shareholders. We are now fully focused on demobilisation and safe completion of the current phase of the Hickory-1 well, in parallel with early planning actions for the next phase of operations at Hickory-1: scheduled flow testing as early as possible in the 2023/24 winter operational season in Alaska.
We are particularly encouraged by the fact that wells in the immediately adjacent northern acreage have flowed and recovered light oil to surface from all of the SMD, SFS and BFF reservoirs, which bodes particularly well for our planned testing programme next season.
We look forward to updating shareholders with post well analysis results and our plans for the flow test of the Hickory-1 well, along with an updated assessment and classification of resources at Project Phoenix .'
Additional information related to Hickory-1:
Hickory-1 is located in State lands on the North Slope of Alaska, adjacent to the Dalton Highway and Trans Alaska Pipeline, within Alaskan Oil and Gas lease ADL 392314. 88 Energy holds a ~75% working interest in the well and is Operator. The well spudded on 9 March 2023 and was drilled to a Total Depth of 10,650 feet. Multiple prospective pay zones in sandstone reservoir between depths 7,700 and 10,500 have been identified. However more analysis of the data is required to confirm and refine gross and net pay. SWC's recovered will be sent to a laboratory for further analysis. The Hickory-1 well has been suspended ahead of the planned flow test in the 2023/24 Alaskan winter operational season.
Source: 88 Energy
