• Rex­3 successfully drilled to 3673m MD in eight (8) drilling days, one day ahead of schedule.
• The horizontal section of the well is 2,098m, 298m longer and deeper than originally planned due to the presence of a continuous reservoir while drilling to the toe.
• The well encountered excellent quality reservoir with free oil noted on the shakers, oil shows (fluorescence and cut) and elevated gas readings.
• Rex­3 and Rex­1 results have confirmed a minimum oil column of 49m.
• Elevated porosity levels, ranging up to 23%, were also recorded throughout the sand (Rex­1: 15­18%, Rex2: up to 21%).
• All indications to date suggest Rex­3 has penetrated a reservoir of higher quality than Rex­2.
• The well completion company, Ironhorse, is expected to mobilise to site over the next ten (10) days to carry out fracture stimulation operations which will now be updated, taking into consideration the latest information from the drilling program. 

Whitebark Energy Ltd (ASX : WBE) is pleased to announce its Wizard Lake development oil well, Rex­3 has been successfully drilled to 3,673mMD on budget and one day ahead of schedule. Initial indications are that an excellent quality, reservoir has been encountered with excellent oil shows and porosities up to 23% over horizontal intervals of at least 1800m (Rex 1­ 1200m and Rex­2 ­ 1500m). The total length of the horizontal well from the heel (1,575m MD) to the toe (3,673m MD) was 2,098m. While the well remained within the Rex unit, it penetrated a 190m shaly lens along its length (vertical thickness less than 2m), before re­entering excellent quality reservoir and drilling to TD. The well drilled through the base of the channel as planned. The reservoir net to gross in the horizontal well remains very high at almost 90%.

The drilling company is currently readying the well in preparation for a frac program of the Rex reservoir zone in the horizontal section of the well. This program may change once the results of the drilling program have been further analysed but will not affect the commencement date of within ten (10) days. As per Rex­2, the company will use sliding frac sleeves to isolate each zone and focus the frac energy to ensure maximum penetration of the zone.

Whitebark Managing Director David Messina said: 
“We are very excited that Rex­3 has encountered superior reservoir qualities to Rex­2. We took advantage of being ahead of schedule and budget and drilled an additional ~300m in the horizontal section to maximise our exposure to the reservoir. The speed and efficiency of drilling continues to impress us and we thank our team and contractors involved in the drilling of this third Rex well. It is also important to note that we drilled horizontally for almost 2.1 km without challenge and this means we can plan longer development wells with a high degree of confidence. We are obviously looking forward to completing and flow testing the well in the next 10­14 days.” 

Canada operations

Whitebark holds between 20% and 30% working interest (varies by license) in the Point Loma Joint Venture (PLJV) in the province of Alberta with TSXV-listed Point Loma Resources Limited.

The PLJV is a well-established producer, with existing oil and gas processing facilities and pipelines to market. Whitebark’s aim for the PLJV is for a significant increase in production and the lowering of costs through the workover and tie-in of behind-pipe reserves and horizontal development drilling.

KeyFacts Energy Industry Directory: Whitebark Energy