88 Energy Ltd (AIM:88E, ASX:88E, OTC:EEENF) has told investors that preparations have begun for its flow testing of the Hickory-1 discovery well in Alaska, with permitting and planning work now underway.
The flow testing program is scheduled to begin as early as possible during the 2023/2024 Alaskan winter operational season, the company said in a statement.
It added that the selection of a rig for the programme is now expected to be concluded imminently.
Separate analysis of the Hickory-1 drilling and logging data is continuing and 88 Energy described the initial results as encouraging with “good correlation to migration and thermal maturity models”.
Testing of Hickory-1 is expected to assess multiple zones all of which the company anticipates will flow, based on reservoir characteristics observed to date.
Next steps in preparations will include the technical design of the well programme, including well stimulation.
“One aspect of the flow testing design that is of particular importance is the choice of fluids used to stimulate the reservoir,” 88 Energy said. “The chemical composition of these fluids can interact with certain clay types in the reservoirs, thus having significant implications for each reservoir's performance and the stimulation operation.
“The company is working with technical consultants to determine the optimal fluids to be used to stimulate the reservoir in conjunction with the overall flow test program design to ensure the best possible outcomes.”