88 Energy (ASX:88E, 88E.L) has now received the Permit to Drill from the Alaska Oil and Gas Conservation Commission. Whilst we had no doubt this permit would indeed be granted to the company, it’s always great to see all pieces of the puzzle are indeed falling into place.
The company is now anticipating a spud date in the week of April 24th, which puts the company on a trajectory to stimulate and test the well in June/July with flow rates to be announced shortly there after. The waiting is almost over, and the recent results of the Repsol/Armstrong joint venture which confirmed the largest on-shore oil discovery in the past several decades will have attracted new eyes to the North Slope region. It’s all about the flow rate now, and we secretly hope 88 Energy will be able to beat Repsol/Armstrong and announces Icewine as the new ‘largest onshore discovery in decades’.
Time will tell, but as we explained in our initial report on 88 Energy; ‘go big or go home’. The Icewine #2 well isn’t an ‘all or nothing’ well, but it will definitely shape the future of the company.