A natural resource oil & gas exploration company, Red Emperor Resources NL (ASX: RMP) updated the market on 26 March 2019, about the recent drilling of the Winx-1 exploration well within the Western Blocks, North Slope of Alaska. The drilling work of Winx-1 has now been concluded.
88 Energy (ASX: 88E), in its capacity as consortium operator, has notified RMP that Winx-1 has been successfully plugged and abandoned with the rig. The crew engaged with the drilling work have been fully demobilised and is no longer on site.
RMP had expressed its gratitude towards 88E for drilling the well on the scheduled time, that too without any incident in a challenging environment. It had been indicated that the well had come in slightly within the budget.
RMP with its joint venture partners has plans to further evaluate and integrate the data obtained from the drilling of Winx-1, along with potentially reprocessing the existing Nanuq 3D seismic data, so that the remaining Nanushuk’s prospects on the Western Leases could be evaluated. There are many working theories that would be assessed in the next few months.
Also, RMP continues to be financially well placed to go ahead with its evaluation plans for the Western Blocks. It will keep on evaluating other opportunities and has a current cash balance of circa A$4.6 million, excluding the refund associated with the performance bond. The refund of the performance bond procedure, where the RMP’s share is US$1.05 million, has already been initiated, and all obligations associated with it have been met.
Recently, the company had provided an operational update regarding the Winx-1 drilling. The update highlighted the comprehensive wireline logging program to have been successfully concluded at Winx-1. A full petrophysical analysis and review work was being carried out back then.
RMP had inked an agreement with its consortium partners 88E and Otto Energy Ltd (ASX: OEL), according to which RMP would take part in the drilling work of an extremely potential Nanushuk oil trend exploration well, located on the Alaska North Slope.
In its interim financial report ending 31 December 2018, the company reported the total comprehensive loss for the period standing at $1,197,424 by the end of the period, from $ 434,811 in the previous corresponding period (pcp). The total assets of the company stood at $9,832,478 on 31 December 2018 from $10,362,904 in the pcp. The total balance of the company on 31 December 2018 stood at $9,735,649.
On 7 March 2019, the company gave an operation update on Winx-1 exploration well, Alaska where the pre-drill targets were intersected securely and efficiently.
The stock of the company is currently trading at A$0.014 (as on 26 March 2019, 2:25 pm AEST), up by 27.273% from its previous close. The company has a market capitalization of around A$5.78 million, with circa 525.29 million shares outstanding. Its 52-weeks high was noted at A$0.110, and the 52-weeks low was noted at A$0.011. The stock has given a negative return of 82.54% in the last six months.