6th Dec 2011 07:00
6 December 2011
Cambay-76H - Indian Operations Resume
Oilex Ltd advises that operations on theCambay-76H horizontal well in the onshore Cambay Field, Gujarat State, India,resumed at 02:30 hours (WST) on 6 December 2011. The operations had beensuspended since the end of August 2011, when the coiled tubing millingassembly, which was being used to mill out the fracture stimulation stage seatcomponents, became stuck in the wellbore.On 31 August, Oilex advised that it would mobilise a workover rig to recoverthe milling tool string and subsequently prepare the well for clean-up flow andproduction testing. Personnel, materials, and services, including manufacturingspecialist retrieval equipment, have been acquired and the work over rig hasbeen mobilised to site and rigged up.Pressure at the wellhead has increased to approximately 1200psi. During thepast week the well was "killed" for installation of a Blow Out Preventer (BOP).This build-up of pressure in the wellbore and the previously reported initialflowback of hydrocarbons and stimulation fluid in August, are interpreted to beencouraging for clean up and flow testing the well.The primary objective of the well is the acquisition of data from a long termproduction test to assess the potential of the Y Zone interval of the Eocene"tight" reservoirs. The results of this production test will also provideimportant information for the next stage of the independent hydrocarbonassessment. The initial hydrocarbon assessment by Netherland Sewell andAssociates Inc was reported by the Company on 11 October 2011.
Reports on operations will be made when material events occur and weekly updates will not be issued.
The participating interests in the Cambay PSC are:
Joint Venture Party Participating Interest Oilex Ltd (Operator) 30% Oilex NL Holdings (India) Limited 15% Gujarat State Petroleum Corporation Ltd 55%
For further information, please contact:
Oilex Ltd +61 (0)8 9485 3200 (Western Australia) Bruce McCarthy Managing Director
[email protected] Ben Clube Finance Director [email protected]
Ambrian Partners Limited (Nominated Adviser and AIM Broker)
Matthew Einhorn +44 (0) 20 7634 4860 (UK) [email protected] Anthony Rowland +44 (0) 20 7634 4858 (UK) [email protected] Read Corporate Nicholas Read +61 (0)8 9388 1474 (Western Australia) [email protected] Tavistock Communications +44 (0)207 920 3150 (UK) Ed Portman +44 (0)7733 363 501 (UK) [email protected] Paul Youens +44 (0)7843 260 623 (UK) [email protected] This document may include forward-looking statements. Forward-lookingstatements include, but are not necessarily limited to, statements concerningOilex Ltd's planned exploration program and other statements that are nothistoric facts. When used in this document, the words such as "could", "plan","estimate" "expect", "intend", "may", "potential", "should" and similarexpressions are forward-looking statements. Although Oilex Ltd believes thatits expectations reflected in these are reasonable, such statements involverisks and uncertainties, and no assurance can be given that actual results willbe consistent with these forward-looking statements."
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