A little-known exploration and production company said Tuesday it has made a "world-class" oil discovery that it estimates could be one of the largest finds ever in Alaska.

Caelus Energy LLC, a privately held, independent company that operates the Oooguruk field on Alaska's North Slope, said in a press release that its site in Smith Bay could "provide 200,000 barrels per day of light, highly mobile oil."

David Houseknecht, the project chief for the U.S. Geological Survey's Energy Resources Program for Alaska, told the Alaska Dispatch News that Caelus "could certainly be sitting on a large find, based on the work done so far, including seismic mapping showing the extent of the reservoir." But he noted that more well-testing will be needed before anything approaching definitive can be said.

Caelus also clarified that a third-party engineering firm has not yet been consulted; the estimates are the company's own numbers. The press release also said that flow-tests, a necessary component in verifying a well's potential, were not conducted "due to seasonal time constraints."

Industrial Info is tracking progress on nearly $56 billion in active Oil & Gas Production projects in Alaska, including Caelus' Oooguruk Crude Oil Production Field drilling programs.

For more information and updates, please subscribe to the Industrial Info blog.

Leave a Comment

comments powered by Disqus

Recomended for you...

Energy Transfer Partners Hopeful on Dakota Access Pipeline Project after Latest Court Win

Energy Transfer Partners says it “looks forward to a prompt resumption of construction” of a section of the Dakota…

Crestwood Picks Up Shell’s Permian-Delaware Basin Assets

Crestwood Equity Partners LP (NYSE:CEQP) (Houston, Texas) has entered into a long-term agreement with SWEPI LP, a subsidiary…