88 Energy Limited: Project Icewine operations update

Icewine#2 Operations Update

The Icewine#2 well was shut-in on 10th July to allow for imbibition and pressure build up to occur within the HRZ shale. Flow testing re-commenced on 31 August at 10:26 (AK time), and is ongoing. Results since flow testing recommenced are summarised below.

The Icewine#2 well is located on the North Slope of Alaska (ADL 392301). 88 Energy Ltd (via its wholly owned subsidiary, Accumulate Energy Alaska, Inc) has a 77.55% working interest in the well. The well was stimulated in two stages over a gross 128 ft vertical interval in the HRZ shale formation, from 10 957 - 11 085 ft TVD, using a slickwater treatment comprising 27 837 bbls of fluid and 1 034 838 lb of proppant.

The well was initially flowed back on a 6/64 in. choke and was reduced to a 4/64 in. choke after 26 hours to maintain pressure. Approximately 370 barrels of frac fluid had been recovered as at 17:30 on 3 September (AK time) at an average rate of 100 bpd. The choke was subsequently stepped up to 8/64 in. at 18:00 10 September (AK time) as the overall declining pressure gradient versus time improved, indicating potential pressure support. To date, the cumulative amount of stimulation fluid produced from both testing periods is 5277 bbls, 19.0% of fluids injected.

Wellhead pressure built to ~3500 psi during shut-in and has dropped to 106 psi since flowback commenced and is now declining very slowly with a relatively constant flowback rate of 55 bpd. At 09:30 9 September (AK time), a decision was made to run the flowback through the test separator due to minor gas indications being evident. To date the rate of flow has been unstabilised at between 2 and 4 million ft³/d made up of 76% hydrocarbons, 20% atmospheric gases and 4% inorganics. The produced hydrocarbons comprise 93% methane with 7% heavier fractions.

The current flowback procedure remains early stage with only 19.0% of the frac fluid retrieved. The gas observed so far is not considered representative of the potential rate or composition of hydrocarbon in the reservoir. It is interpreted that additional frac fluid needs to be removed in order to achieve a representative result. A decision will be made on the most appropriate strategy to accomplish this within the next two weeks.

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/12092017/88-energy-limited-project-icewine-operations-update/