Kodiak: Early Indications Promising for Little Chicago
Kodiak Energy, Inc. said that the North West Territories (NWT) Little Chicago Seismic Program for 2007 is complete. The seismic data are now in the processing lab, and results are expected in 4 to 6 weeks. A subsequent engineering review should conclude by June 30.
According to the company, the preliminary data continue to be supportive of the work done to date, with additional potential structures seen.
Kodiak continues to prepare for a 2008 Winter Drilling Program to evaluate the potential of EL 413. Current plans include a three-well drilling program during the late 2007, early 2008 winter season.
An independent evaluation of the Little Chicago Exploration license was completed by a qualified engineering analyst. This report based its evaluation of potential reserves in only one of the several structures observed on the property. This report stated there could be up to 1 billion barrels oil and up to 2 tcf of gas in one of the structures analyzed.
The work on the 200,000-acre Mackenzie River block EL 413, potentially based on preliminary info received, may contain up to 1 billion barrels oil and potentially up to 4 TCF of natural gas if all the identified zones are productive. These early estimates, will require confirmation via the processing of the seismic acquired in March 2007 and the planned drilling programs for winter of 2008/2009.
The oil targets are interesting as they could provide early production while the Mackenzie Valley Pipeline moves through the regulatory process. The Mackenzie Valley Pipeline Group--headed by Imperial Oil, Shell and ConocoPhillips--recently advised Kodiak that the pipeline would be routed through EL 413. This will substantially reduce development costs for the gas production.
Upon the completion of the 2007 seismic and the Thunder River acquisition, Kodiak's control or working interest will rise to 56.25% of the acreage. Upon completion of the drilling programs planned for 2008, Kodiak's working interest will increase via the farm in--to 78.12 % per test block for each well drilled, with a rolling option to earn the same amount for the whole block.
Kodiak Energy, Inc is a Calgary-based oil and gas company focused on creating a portfolio of North American assets that offer not only immediate production and cash flow, but growth through exploration. The Company has lease holdings in Montana, Southeastern Alberta, Northeastern Alberta, and an agreement to purchase mineral rights both in the Northwest Territories and Northeast New Mexico.
Operates 27 Offshore Rigs
- API Panel Member: Voluntary Methane Program Forthcoming (Oct 06)
- Eni Bets Big on Zohr Explorer Finding New Treasure (Oct 06)
- Shell, Varo End Talks on Germany Refinery Stake Sale (Oct 06)
Company: ConocoPhillips more info
Operates 12 Offshore Rigs
- Most US Gulf Oil Output Offline Ahead of Tropical Storm Nate (Oct 06)
- U.S. Gulf Oil Producers Start Evacuating Staff Ahead of Tropical Storm Nate (Oct 05)
- For ConocoPhillips, Harvey A Test Of Remote Operations (Sep 07)
Company: Imperial Oil more info
- Canada's Imperial Oil Posts Unexpected 2Q Loss (Jul 28)
- Imperial Oil Profit Boosted By Asset-Sale Gain (Jan 31)
- Bulk of Canada's Oil Sands Plants Seen Up in Days to Weeks (May 11)
Company: Kodiak Energy, Inc. more info
- Kodiak Energy, Subsidiary Appoint VP Finance and CFO (Nov 05)
- Kodiak Energy's Subsidiary Snaps Up Additional Assets (Aug 11)
- Kodiak Energy's Subsidiary Collects Assets from Private Co (Jul 20)
Company: Mackenzie Valley Pipeline Group more info
- Kodiak: Early Indications Promising for Little Chicago (Apr 18)
- Kodiak Completes Little Chicago Seismic (Apr 02)
- Kodiak: Little Chicago Seismic 95% Complete (Mar 20)