Whitebark starts fracking at Rex-4 well, part of Canada-based Wizard Lake oil and gas project

Energy micro-cap Whitebark Energy (ASX:WBE) has launched hydraulic fracture stimulation (read: fracking) of its Rex-4 well on-site the company’s Canada-based Wizard Lake oil and gasfield project in Alberta. 

In mid-August, the company drilled Rex-4 with success, hitting a total measured depth of 3,647m. 

The horizontally-lying hydraulic fracture component on the drill covers some 2,318m length with 50 fracture intervals (read: water cutting style jets.) 

That well design has proven to be inserted in place without any reported difficulty, successfully perforating vertically and horizontally the Rex Sandstone reservoir, a geological formation from which the well was given its name, Rex-4. 

However, the company does describe the Rex-4 fracture stage as its “most ambitious” program yet. A horizontal well with 50 fracture intervals isn’t something Whitebark has done before. 

The good news is that fracture stimulation itself is a relatively short process; Whitebark expects the jets to be turned off on November 4, later this week. 

Following that, the company will need to remove stimulation fluid from downhole, a process which can take weeks. 

Plans in place after Rex-4

Whitebark has today given shareholders an idea of what to expect once it finishes up works at Rex-4. 

Wells Rex-5, 6, 7,  and 8, will be spud and completed at Wizard Lake “to address existing Proved 1P reserves which is calculated to be 2.3 million barrels of oil equivalent (2.3Mboe).” 

BOE refers to a combination of oil, gas, and condensate liquids produced during or by the extraction of both. 

While Whitebark has only noted plans to develop four more Rex wells, it also describes a cache of twenty development targets at Wizard Lake on the company’s radar. 

Reserve assumptions realistic: Management 

“I believe the revised production and reserve assumptions in our economic analyses reflect realistic and deliverable outcomes from our program,” Whitebark Energy interim CEO Dr. Simon Brealey said. 

“I am delighted the company has managed to achieve our planned outcomes and is conducting the hydraulic frac program.” 

“These operations have been realised at relatively short notice in a highly competitive operational environment…I am confident in the team’s ability to put into effect lessons learnt from previous wells.” 

Watch out for sharp edges: Whitebark's three month charts reveal a highly illiquid stock