Drill rig mobilised on site at the Merlin-2 appraisal well
On Tuesday, 88E announced that the mobilisation of the Arctic Fox drill rig had been completed ahead of the Merlin-2 appraisal well’s anticipated spud date next week.
The Merlin-2 appraisal well is fully permitted to a total depth of ~8,000 feet which 88E expects will take ~4-5 weeks.
88E also confirmed it would have production testing equipment on stand-by should the drilling program successfully intercept oil paying zones.
With drilling now only ~1 week away, our recent update note is worth reading as it sets the scene for what Merlin-2 could mean for 88E and our expectations from the drilling program.
We think success with the Merlin-2 appraisal well would look something like:
- Net oil paying zones (Thickness) across the three reservoirs >41 feet (this is the reservoir thickness intercepted in the Merlin-1 well - so we want to see the same or better).
- Drilling program is successful enough to warrant production testing.
- Production tests confirm light oil and high flow rates.
One or all of the above is what we would like to see from the Merlin-2 drilling, and that would deem Merlin-2 a success.
