Buccaneer gets Kenai Loop OK

by on May 4, 2012 9:28 pm BST

The “special use permit” will allow Buccaneer to move
forward with the development of its 100%-owned project, which lies between the
Kanai Cannery Loop and Beaver Creek fields.

Buccaneer is currently producing about 5 million cubic feet
of gas per day from its first Kenai Loop well. It expects to drill between
three and four more wells this year.

Last month, Buccaneer bought a Mesa 1000 carrier mounted
land drilling rig from Marathon Oil subsidiary Glacier Drilling for $7.5
million. It will use the rig to drill its upcoming wells.

The company also said it is currently processing data from a
recently completed 3D seismic survey, with completion expected later this month.

The data will then be mapped for prospective hydrocarbon
anomalies to determine the next drilling locations, Buccaneer said.