Caelus Energy made significant oil discovery off Alaska

Caelus Energy oil discoveryCaelus Energy made significant oil discovery off Alaska. The independent exploration and production company found big reserves of crude oil at its shallow offshore field off the North Slope in Smith Bay state. The company drilled two wells at the offshore block earlier this year and made complete assessment of the reserves. According to the preliminary internal estimates of the Caelus Energy, the Smith Bay field could yield as much as 200,000 barrels of light crude oil per day. The statement is not indicating the analysis by a third-party engineering firm, but subsequent lab analyses confirm the presence of reservoir-quality sandstones.

“The Smith Bay site, in shallow waters about 50 nautical miles southeast of Barrow, could provide 200,000 barrels per day of light, highly mobile oil”, said Caelus Energy in official statement. “The flow-tests were not conducted “due to seasonal time constraints. However, extensive sidewall coring and subsequent lab analyses confirm the presence of reservoir-quality sandstones containing light oil”, adds the statement.

The company says it expects to be able to extract between 1.8 billion and 2.4 billion barrels from the discovery.

Caelus Energy is a privately held independent exploration and production company that currently operates the Oooguruk field on the North Slope of Alaska. The company specialize in exploration, development, and production of oil and gas. It is currently focused on the pursuit, identification, and development of strategic opportunities across Alaska, and beyond.