TG World Energy Corp. provides an update on the Alaska Central North Slope winter 2008 exploration program, which is being carried out by the project operator Brooks Range Petroleum Corporation (“BRPC” or the “Operator”), a wholly-owned subsidiary of the Alaska Venture Capital Group (“AVCG”).
BRPC has informed the joint venture (“JV”) participants, TG World Energy Inc., Bow Valley Alaska Corporation and Ramshorn Investments Inc., that contracted rig, Nabors’ 27E, re-entered the North Shore #1 well on January 10 to further evaluate an Ivishak oil accumulation that was originally tested in 1974.
Last winter season, on behalf of the JV, BRPC successfully drilled and logged the prospective Sag and Ivishak Formations but was unable to complete the well due to the winter drilling season coming to an end. The well bore was drilled to 13,319 feet total measured depth. Casing was run in the well to approximately 12,500 feet measured depth and cemented, and the well was suspended and made ready for re-entry during the 2008 winter drilling season. The Operator has advised that it plans to sidetrack out of the existing casing, re-drill the last 1,000 feet, complete the well, and then test both the Sag and Ivishak formations. TG World has a 35% working interest in the North Shore #1 well.
After the completion of the North Shore #1 well, Nabors Rig 27E is scheduled to move west and drill the Tofkat #1 well, located within the JV’s Titania Prospect Area, which is situated just east of the Village of Nuiqsut along the east side of the Colville River. The Company has a 25% working interest in the Tofkat #1 well.
Early JV plans included the acquisition of 3-D seismic data over portions of its leases in the Slugger Prospect Area situated along the eastern fringe of the Central North Slope. Lack of snow cover in this area to date has caused the JV to revise its plans and the operator has advised that the seismic crew has been instructed to acquire seismic over the JV’s leases located in the Colville River Area, which lies on the western fringe of the Central North Slope. Any prospects developed from this survey would be candidates for drilling in the 2009 and 2010 winter seasons. TG World is paying 25% of the costs of the seismic program.
”The JV’s winter drilling program has officially commenced”, stated Cliff James, TG World’s President and CEO. “Clearly there is a lot of work to be done during this season’s multiple-well program and we look forward in continuing where we left off last year. Based on the JV’s current prospect inventory, we have more drill candidates in the pipeline that we can currently handle in one season, which sets us up nicely for future programs.”
