Page 12 - NorthAmOil Week 33 2021

NorthAmOil
NEWS IN BRIEF
NorthAmOil
POLICY
US Department of Energy announces $24mn to capture carbon emissions directly from air
The US Department of Energy (DoE) today announced $24mn in funding for nine research projects to explore and develop new methods of capturing and storing carbon from the air. Direct Air Capture (DAC) is
an expanding field in decarbonisation and a key facet of the plan to achieving net-zero emissions by 2050.
“Finding ways to remove and store carbon directly from the air is an absolute necessity in our fight against the climate crisis,” said Secretary of Energy Jennifer M. Granholm. “This investment in carbon capture technology research through universities and DOE laboratories will position America as
a leader in this growing field, create good- paying jobs, and help make our carbon-free future a reality.”
Studies indicate curbing carbon emissions alone will not be sufficient, and innovative approaches like direct air capture will be required to combat the climate crisis.
Direct air capture technology is a growing field that still requires significant investments in research and development to create a cost- effective and economically viable technology that can be deployed at scale and in time to meet the urgent needs of the climate crisis. These new research projects will support breakthroughs in understanding how to overcome the limitations of currently available technologies, including inefficient energy usage, with the goal of building a research foundation of entirely new and more effective approaches for direct removal of carbon
dioxide from the air.
The nine awards are led by two national
laboratories and seven universities, including North Carolina A&T State University, an Historically Black University. The awards tackle topics including discovery of novel materials, chemistries, and processes for extraction of carbon dioxide from air, and combined experimental and computational studies on carbon dioxide capture for sequestration or reuse.
THE US DEPARTMENT OF ENERGY, August 17, 2021
UPSTREAM
Merlin-1wellconfirmslight
oil with appraisal well
planned for Q1 2022
88 Energy is pleased to announce that the post-well evaluation of the Merlin-1 well (which was drilled in March 2021 to a depth of 5,267 feet) has successfully demonstrated the presence of oil in multiple stacked sequences in the Cretaceous Nanushuk Formation (N20 and N18 targets). An additional new target, the N19 sand, that was not previously mapped, also returned a strong hydrocarbon signature following geochemical analysis.
Wireline analysis and core data correlate to 41 feet of net log pay across the three reservoir intervals. In addition, results of the post well formation evaluation, including core and Reservoir Description Tool (RDTTM) data have determined the presence of moveable hydrocarbons. Geochemical analysis of
the cores has determined the presence of
a light oil with an estimated API gravity between mid-30 to low40 API. Given the up-dip location of the Merlin-1 well with respect to the N20, N19 and N18 reservoirs, hydrocarbon shows and sand quality at
this location was consistent with pre-drill expectations. 88 Energy has identified appraisal drilling locations to the east of the Merlin-1 well, closer to the shelf break, where enhanced reservoir thickness and quality are expected.
Post well analysis has also determined that the N14 horizon, one of the targets of the Merlin-1 well, was not intersected, as
it is believed to lie below the total depth of the well. The N14 prospect remains a target of interest and the Merlin-1 well may be re-entered in order to test this prospective target as part of the company’s future drilling activities at Project Peregrine.
An independent oil and gas reservoir evaluation consultancy, ERCE Australia, has conducted an updated assessment of the Project Peregrine prospective resources post the Merlin-1 well results.
88 ENERGY, August 16, 2021
Surge Energy announces closing of strategic CAD160mn Southeast Saskatchewan light oil acquisition; closing of new creditfacilities;approval of share consolidation; and 2022 guidance
Surge Energy is pleased to announce that it has successfully completed the previously announced acquisition of Astra Oil pursuant to an arrangement under the provisions of the Business Corporations Act (Alberta).
All the issued and outstanding common shares of Astra were acquired by Surge for aggregate consideration consisting of: 1) the issuance of approximately 229mn common shares of Surge, and 2) approximately CAD13.5mn in assumed debt. At the special meeting of Surge shareholders to approve the issuance of Surge shares pursuant to
the Acquisition, held on August 17, 2021, 26.5% of the outstanding Surge shares were represented and the issuance was approved by 95.0% of the Surge shares voted at the meeting.
Additionally, Surge shareholders voted
to approve the consolidation of Surge shares on the basis of one (1) post-consolidation Surge share for each 8.5 pre-consolidation Surge Shares. At the meeting, 26.9% of the outstanding Surge shares were represented and the consolidation was approved by 93.2% of the Surge shares voted at the meeting.
Accordingly, immediately after the acquisition, the 608.5mn pre-consolidation Surge shares issued and outstanding will be consolidated to approximately 71.6mn Surge shares on a post-consolidation basis.
Surge expects trading of Surge shares on a post-consolidation basis on the Toronto Stock Exchange (TSX) will commence 2-3 business days following the closing of the arrangement. The company’s name and trading symbol will remain unchanged.
SURGE ENERGY, August 18, 2021
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Week 33 19•August•2021