Cambay-77H Update

27 January 2014

· Drilling services contractors finalised and mobilising to site

· Anticipated spud date between 22 February 2014 and 9 March 2014

Oilex Ltd (ASX: OEX, AIM: OEX, Oilex) is pleased to announce that all the drilling services tenders have now been evaluated and successful contractors are preparing to mobilise.

Assembly of the Essar LR-4 rig has commenced and components continue to arrive from Mumbai (see photo of site activity below). The estimated spud date window is 22 February to 9 March 2014.

The Cambay-77H well will evaluate the production potential of the extensive Eocene "tight" Y Zone reservoir that extends across the 161 km2 Cambay PSC contract area. The well, which includes a 350 metre lateral section with 8 fracture stimulations to test the deliverability of the Y zone. Services associated with fracture stimulation and production testing are currently being finalised.

Managing Director of Oilex, Ron Miller, said

"We are very pleased with the continued progress seen at Cambay-77H and selecting the drilling services contractors is another important milestone that has helped us to refine the spud date for the well. We look forward to updating the market with news concerning the commencement of drilling in due course."

For further information, please contact: