88 Energy Ltd (OTCMKTS:EEENF) jumped 10% and 40% in a week. The company announced that it had been given a 2-year extension of the Umiat oil field rights to August 2023. 88 Energy continues to enhance understanding of the project and intends to progress comprehensive historical data analysis with the Merlin-1 well findings from the nearby Project Peregrine. Study results reveal that the Umiat oil field in Alaska has additional upside potential.
The development comes after the company’s wholly-owned subsidiary, Emerald House, received the region’s data pack, including Umiat’s three-dimension seismic data. Prior to this, the company had interpreted data from 2 seismic lines at the Umiat structure.
Most importantly, the company is planning to optimize development efforts for the oil field during this extension period. 88 Energy will evaluate previous scoping studied to explore the potential alternative development situations and revise sensitivity analysis to incorporate findings from Merlin-1. So, EEENF is worth watching in the coming months.
Market Reaction:
On Wednesday, EEENF stock jumped 10.60% at $0.0386 with more than 265.56 million shares, compared to its average volume of 151.10 million shares. The stock has moved within a range of $0.0363 – 0.0410 after opening the trade at $0.0400.
