Nexus Reaches Total Depth with Crux-3

Nexus Energy Limited reports that the Crux-3 appraisal well in exploration permit AC/P23, in the Browse Basin, had reached a total depth of 3,998 meters true vertical depth (TVD) and wireline logging operations are under way.

Wireline logs recorded to date indicate that the well has intersected approximately 150 meters of high quality net pay over a gross vertical gas column of 300 meters. The majority of this pay is at the main reservoir level where 134 meters of net pay were intersected. Age dating has indicated that the overlying 13 meter thick gas sand is in the Montara Formation.

The confirmation of this younger gas charged reservoir indicates that the Crux field contains four distinct reservoir sections consisting of Montara Formation, Plover Formation and Nome Formation "A" and "B" sands.

The pressure data from Crux-3 and the other Crux wells confirm that the gas sands in each of the formations are in pressure communication across the field and form part of a single accumulation.

The forward plan is to complete the wireline logging and then conduct a production test. The information gathered from the production test will be used in the detailed design of the production facilities for the Crux liquids project.

The Crux-3 well is the first of three wells to be drilled in the greater Crux area over the next three months. Two of the three wells, including the Crux-3 well, will be drilled in AC/P23 on the Crux field. A third well will be drilled in the adjoining AC/P41 exploration permit to test the Libra exploration prospect, in which Nexus holds a 50% interest.