Whitebark Energy has expanded its land position at Wizard Lake in Canada with the addition of another full section of land with a 100 per cent interest.
The new block contains a well which intercepted a high-quality pay section around 10 metres thick in the Lower Mannville.
According to Whitebark, the vertical well produced over 180,000 barrels of oil equivalent before it was suspended in 2008 due to low commodity prices.
“Surrounding well control indicate the subject reservoir section is widespread and the discovered pool extends over the entire section,” Whitebark reported in an ASX announcement.
“The application of horizontal, stimulated well technology, akin to that applied so successfully at Wizard Lake, will be the enabler to tap this pool which is considered a commercially viable contingent resource with development pending.”
The new section of land is within 2.5 kilometres of the Wizard Lake facilities under construction. The section is traversed by the gas export line, which will be transporting the project’s gas to market.
Both of the features “greatly enhance” the value of the undeveloped pool, the Perth-based company concluded.