Oilex Reports Elevated Gas Readings at Cambay-76H

Oilex Ltd. reported that it is making progress in unlocking the potential of the Cambay “tight” Eocene reservoirs that extend across the 161 km2 Cambay Production Sharing Contract area in onshore Gujarat, India.

After kicking off from the vertical hole at 1,167 metres, the Cambay-76H "tight reservoir"  well was drilled to the horizontal landing point at 2,106 meters and the horizontal section drilled to 2,596 metres.

The Y Zone reservoir was intersected on prognosis. As anticipated, the horizontal section drilled to date in the Y Zone is characterised by log-indicated porous hydrocarbon-bearing intervals with highly elevated gas readings.

Oilex intends to evaluate and exploit these reservoirs using horizontal drilling and fracture stimulation technology that has been developed and proven in North America.

The Cambay-76H “proof of concept” horizontal well will evaluate the production potential of the Y Zone interval of these “tight” reservoirs. An 8 stage fracture stimulation program will be conducted and after well clean-up, it is anticipated that a long term production test will be performed to determine flow rates, quality of hydrocarbons and commercial viability.

The participating interests in the Cambay PSC are: Oilex Ltd (Operator) 30%, Oilex NL Holdings (India) Limited as to 15% and Gujarat State Petroleum Corporation Ltd as to 55%.

Source: Oilex Ltd.