“We are ready to commence drilling in the very near term,” chief executive Colin Harrington said
Zephyr Energy PLC () has told investors that Cyclone Drilling Inc has been hired for the ‘dual-use’ State 16-2 well which remains on-track to spud before the year’s end.
Cyclone was selected via a competitive process including extensive technical and commercial evaluation, the company noted. Cyclone’s fleet of modern rigs was purpose-built for operating in the remote locations and rugged environment of the Rockies, it added.
Zephyr also noted that Cyclone has recent experience drilling similar stratigraphic wells, including a 10,200-foot-deep stratigraphic well drilled in 2019 which was also part-funded by the US Department of Energy (DOE).
The Cyclone Rig #34 will be deployed for the Zephyr project. It is presently in use in Wyoming and will be mobilised in the coming days.
Zephyr noted that the rig contract signing triggers the next funding draw-down under the US$2mln DOE grant. This second tranche is for US$600,00 and thereafter a further US$800,000 remains across two other tranches.
“We are delighted to be partnering with Cyclone to drill the State 16-2 well. Cyclone has a 40-year history as a respected contractor with a safe and successful track record of drilling wells, including on other DOE-funded projects,” said Colin Harrington, Zephyr chief executive in a statement.
“Awarding this contract is an important milestone in our plan to spud the State 16-2 well prior to the end of the year, and we look forward to working with the Cyclone team. With the well now fully permitted, the site and road work complete and the rig contract signed, we are ready to commence drilling in the very near term.”