Oil Search Hikes Oil Potential Of Alaskan Oil Discovery

Remember that large oil discovery Spain’s Repsol and partner Denver-based Armstrong Energy LLC made last year in the Alaskan North Slope’s Nanushuk Play? The one called Horseshoe that extended the play and boosted the combined resource potential to at least 500 million barrels of oil (MMbbl)?

It could be even bigger, according to Oil Search Ltd.

The Papua New Guinea-based company this year acquired a stake in the discovery, which is an extension of the Pikka Unit Nanushuk development, and other assets. The Nanushuk area assets cover a 1,115-square-mile area.

“We presently see significant upside potential from the 500 million barrels assumed in our acquisition case, targeting an additional 250-million-barrel potential under this drilling program,” Peter Botten, managing director of Oil Search, said while delivering the company’s first-half results this month.

The Horseshoe section, located about 20 miles south of Pikka, could hold another 300 MMbbl or more.