88 Energy says its on-track to start Merlin-2 well in February

88 Energy Ltd (AIM:88E, ASX:88E, OTC:EEENF) told investors it is on track for a February spud at the Merlin-2 well on Alaska’s Nort Slope.

Commissioning of the Arctic Fox drill rig is underway prior to mobilisaton and construction works for the ice road has also begun.

Permitting and planning is largely complete, with the remaining ‘permit to drill’ is in the final stages of review, by the Bureau of Land Management (BLM) and it is expected to be awarded in time for the mobilisation.

The company also noted that it is aware of media reports that a protest group, the Center for Biological Diversity, has had communications with the BLM in relation to the permit to drill.

Nevertheless, it added: “With the current status of the review of the Permit to Drill by the BLM, as well as numerous other related approvals and permits from various government agencies, 88 Energy is nearing completion of permitting and the well remains on track to spud in February 2022.”

The well is targeting some  652mln barrels across the  N18, N19 and N20 targets which were encountered in the Merlin-1 well, drilled last March.

Oil was seen all three targets in multiple stacked sequences within the Brookian Nanushuk Formation.

Story by ProactiveInvestors