Private Blog, 26 February 2023

Financial and promotional perspectives

26 February 2023

Companies and drills of interest - fully funded

88 Energy (88E) - Market capitalisation: £141 million.

Hickory-1 exploration well, Alaska North Slope: 75% 88E interest. Estimated spud date: March 2023. Resource estimate: 647 MMBO prospective. Chance of success: 50% - 81% (prospects).

88E was easier at 0.7p. The company announced on 6 February 2023 completion of its placement at 0.55p to raise approximately £10.1 million to fund the drilling of Hickory-1 in early March. The well is said to have been significantly de-risked by recent Pantheon Resources’ drilling and flow tests, interpretation of the Icewine-1 well logs and modern Franklin Bluffs 3D seismic data and associated AVO analysis. There is limited time for the placing stock to churn prior to the Hickory-1 spud, although any promotion can be expected to continue until and through reporting of the initial results and well testing.

88E has been covered three times in the private blog as a company of interest: first, at around the 0.7p placing level to finance the Charlie-1 well (the share price reached a high of 1.48p prior to the spud); second, at around the 0.33p placing level to finance the Merlin-1 well (the share price reached a high of 4.7p prior to the well results); third, at around the 1.49p placing level to finance the Merlin-2 well (the share price reached a high of 2.817p prior to the spud).