21st Nov 2008 07:00
21 November 2008
RESULTS OF ANNUAL GENERAL MEETING - 20 NOVEMBER 2008 & CHAIRMAN'S ADDRESS
We have pleasure in advising that all resolutions put to the Annual General Meeting of Shareholders, held at 5.00pm on Thursday 20 November 2008 were passed unanimously on a show of hands as detailed below:
As Ordinary Resolutions
1. Adoption of Remuneration Report
2. Re-election of Mr. Laxmi Bhandari as a Director
Proxy Votes
The Individual proxy votes and number of shares voted were recorded as follows:
INDIVIDUAL FOR AGAINST ABSTAIN TOTAL PROXIES (CAN'T VOTE) Resolution 1 37 4 0 41 Resolution 2 41 1 0 42 NUMBER OF SHARES FOR AGAINST ABSTAIN TOTAL HELD BY PROXIES (CAN'T VOTE) Resolution 1 19,974,430 2,664,677 0 22,639,107 Resolution 2 22,555,530 83,577 0 22,639,107Chairman's Address
A copy of the Chairman's Address presented at the AGM is attached hereto.
For and on behalf of the Board
M.D.J. CozijnChairmancc: Directors - BM/RB/LLB
* Attachment : Chairman's Address
CHAIRMAN'S ADDRESS - AGM 2008 Dear Shareholder,
As previously advised in the Annual Report, the international oil and gas exploration and production industry has continued to undergo a rapid rate of change over the past year, with competition for assets and experienced people remaining very strong. The effect of the global credit crisis has also had a significant impact on the performance of all listed companies on stock exchanges around the world - with few exceptions and the end of this phase of the cycle is difficult to predict.
In the meantime, Oilex has continued to develop its asset base in prospective permits and is consolidating our operations and costs in order to sustain our emerging production and development.
Initial oil discoveries in each of Indonesia, India and Oman have resulted from the work programs undertaken over the past 12 months.
Of those discoveries, Pendalian Field Indonesia is anticipated to be brought into production by first quarter 2009- in the first of 2 phases at a rate of 700 to 1,000 barrels of oil per day (bopd) from the suspended discovery well Pendalian-3, coupled with the drilling of Pendalian 4 which is estimated to add another 700 to 1,000 bopd to this project, while at Cambay - India we have announced a new discovery in the Miocene Basal Sands at Cambay 64 with a flow rate of 300 bopd, coupled with Cambay 74 with an indicated flow rate of more than 500 bopd. Cambay-64 is in production and Cambay-74 will resume production when the rig leaves the site. Sarha-1 exploration well in Block 56 Oman flowed oil to surface from one of 4 heavy oil bearing zones and has been appraised by a horizontal well which has been suspended while technical problems related to production equipment are sorted out. India appears very promising with the current shallow oil production and potential oil production from an additional deeper zone to complement the oil flows from earlier wells.
There have obviously been some disappointments, with Indian drilling operations being delayed by 5 months and slow progress on the wells at Cambay. Presently we are seeking to fast track development of the Cambay Field and ongoing review, assessment, workovers and drilling activity will continue in the new year. The emphasis has been on operations in existing permits.
The past year has been a very active year in operations with drilling of 4 wells in Oman, 5 wells in India and 1 well in West Kampar Indonesia, in addition to completion of the 2D seismic acquisition and processing program onshore Oman along with reprocessing of the two existing 3D seismic surveys. In JPDA 06-103 Timor-Leste, the Maura 3D seismic survey of over 2,000 km2 was acquired and the reprocessed Thornton 3D seismic survey of approximately 1,000 km2 was purchased. The Rose 3D seismic survey of over 1,000 km2 was acquired in WA-388-P. Oilex increased its equity in the West Kampar PSC in Indonesia to 60% after acquiring its initial interest of 45% in August 2007, and we have farmed out part of our interest in WA-388-P to Sasol during August 2008.
Oilex continues to husband its cash resources, and ongoing operating costs, as the company progresses its emerging oil production with a view to becoming cashflow positive by mid 2009. In this tight economic climate, Oilex is exploring all avenues to minimize expenditure and attract ongoing support for its operations.
From an operational safety perspective the Company performed exceptionally well with a Lost Time Incident Frequency Rate ("LTIFR") of 1.47 per million manhours worked which is about 20% lower than the average LTIFR for onshore Australia and Asia.
We look forward to improving on this safety record and moving into production in the forthcoming year. Our aim to is to achieve outstanding results within the framework of "industry best practice" in all of our endeavours, particularly with regard to our safety, health, social and environmental responsibilities as good corporate citizens.
Regrettably, in the context of the current global stock markets and the delays experienced in progressing our development plans in India, our market capitalisation has suffered significantly. Oilex and its management group are dedicated to concentrating on our core objectives of building our asset base to develop sustainable medium to longer term returns for all stakeholders. In this regard we rely heavily on the continued efforts of our employees, contractors, suppliers and joint venture partners, coupled with the support of our shareholders and all stakeholders.
On behalf of the Board, I wish to record our appreciation for the ongoing support of these contributors, and we look forward to establishing and developing our commercial operations during the 2009 Financial Year.
Mr M.D.J. CozijnChairman20 November 2008
vendorRelated Shares:
OEX.L