The Qannik accumulation was tested for 19 days in June 2006 by the CD2-404 well, which recorded an average production rate of 1,200 barrels per day of 30-degree API gravity oil from a 25-foot thick sandstone at 4,000 feet sub sea.
The Qannik accumulation would be the third satellite field to be developed near Alpine. The previously announced Fiord and Nanuq satellite accumulations are currently being drilled with first production scheduled for later this year. Plans for further delineation and development of the Qannik field are currently under way. The current plan is to develop Qannik from the Alpine CD2 drill site. Project planning will proceed throughout the remainder of this year, and the CD2 gravel pad will be extended during the coming winter. First production may occur by late 2008.
ConocoPhillips is operator of and holds a 78 percent interest in the Alpine field and its satellites, while Anadarko holds a 22 percent interest.
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