So, why is 88 Energy relevant to its neighbour pantheon ? Many of London small-cap investors were likely introduced to Alaska’s North Slope via 88 Energy.The exploration company has had an acreage position since 2015 and, has at different times garnered an awful lot of attention and speculation with its exploits.It has drilled a number of wells and has progressed its own acreage, albeit (to borrow from WH Ireland and paraphrase) its results have been less unambiguously positive than Pantheon’s.Whilst 88 Energy continues to progress its other exploration interest in the region (across its Project Icewine, Project Peregrine, the Umiat and Yukon projects), right now the activity of its neighbour is the most impactful catalyst for the company.According to 88 Energy this is more than an exercise in ‘nearology’ though. Studies commissioned by the company have determined that geologies observed by Pantheon, in its wells, crossover into a section of the Icewine territory.Consultant Jordan & Pay evaluated the Shelf Margin Delta (SMD), Slope Fan Set (SFS) and Basin Floor Fan (BFF) play fairways across the Project Icewine acreage on Alaska’s North Slope.The consultant’s report, completed in May, used publicly available information related to the Pantheon wells and concluded that all of Pantheon’s reservoir units extend into the Icewine acreage.At the same time, it had petrophysical data from a prior Icewine well was re-evaluated.More recently, in June, it agreed to acquire data which are said to include 3D seismic data for an area it says covers the SMD, SFS and BFF – it spent US$1mln for this access.All this desktop work is intended to culminate in a data package to support a farm-out process, which the company hopes will being in a new partner and funding for future exploration.88 Energy says it wants to drill a well to test these targets in 2023.Such is the timeline, 88 Energy shares are likely to follow the near-term fortunes of Pantheon and therefore its investors will keep a very close eye on the well programme.
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