Octagon 88 Resources Inc. announced that the operator CEC North Star has advised that parallel to the Elkton Erosional Edge drilling program that the Operator will be concluding a 3D seismic program on the Bluesky/Gething. This will enable the selection of two core well drillings targets to be drilled prior to the end of this quarter in 2013. The heavy oil and bitumen-filled sandstones are exploited by primary recovery horizontal wells and secondary steam methods such as cyclic steam stimulation (CSS).

These are typically developed using horizontal wells with primary recovery, which then over time are stimulated with CSS and then converted to SAGD. These developments lead the industry in netback and returns on investment when compared to projects across North America. CEC expects that with an additional 3D seismic and a 1 to 2 well core program planned for late 2013 that this project will mature into a similar development as the South Peace Bluesky Projects.

It had an internal estimate of 800 mmbbl of PIIP for the Bluesky Channel project, which has the added advantage of benefiting from the infrastructure developed by Phase 1 to 3 of the Manning projects.