An Australian oil firm has seen its share price plunge after calling a time out on an Alaskan well.
88 Energy Limited is trying to develop the Icewine well onshore of the North Slope of the US state.
However the well is to be shut in for the next six weeks after stimulation tests failed to produce the anticipated flowback.
The company’s share price has nearly halved from last weeks 3.4 to 1.7.
So far flowback operations have only encountered water.
The well will be shut in to allow a build up of pressure and imbibition to occur.
A statenment from the company added: “Imbibition (or soaking) has proven to be effective in other plays by allowing frac fluid to be absorbed, displacing in-situ water that may be blocking hydrocarbon molecules from being able to flow through the reservoir.
“Post the shut in period, the well may then be swabbed.”