88 Energy (88E) has secured Nordic Calista Services’ Rig-3 for the Augusta-1 exploration well at its South Prudhoe Project on Alaska’s North Slope, marking a key operational milestone ahead of the planned Q1 2027 winter drilling campaign.
The company said Rig-3 is a fully winterised Arctic drilling rig purpose-built for North Slope operations and was previously used during 88 Energy’s 2019 and 2020 drilling campaigns in Alaska. Management said the prior operational experience with the rig and crew will help reduce execution risk for the upcoming programme.
Augusta-1 is targeting the Ivishak and Kuparuk reservoirs within the South Prudhoe acreage, located immediately south of the Prudhoe Bay and Kuparuk River Units. The prospect has an estimated gross unrisked prospective resource of 64 million barrels of oil and natural gas liquids on a best estimate basis, with a geological chance of success of 48%.
Importantly, the well location has been supported by modern 3D seismic data and nearby well control, with the company describing Augusta-1 as its highest-priority drilling target. Additional upside within the Brookian sequence is also being evaluated following the acquisition of Schrader Bluff 3D seismic data earlier this year.
88 Energy said it continues to pursue a farm-out led funding strategy for the well while retaining meaningful exposure to exploration upside. The company added that it had started a formal farm-out process in February 2026 and ended March with a pro forma cash balance of about A$10 million.
Meanwhile, long-lead procurement, permitting and detailed well planning activities are progressing ahead of the targeted Q1 2027 spud date.
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Securing the drilling rig is an important step for 88 Energy as it advances one of its highest-impact Alaska exploration targets toward drilling. With infrastructure and producing fields nearby, Augusta-1 offers material upside potential, while the ongoing farm-out process could help reduce funding risk ahead of the winter campaign.