Oilex Testing Sarha-1 in Oman

Oilex Ltd advises that following the preliminary evaluation of well data including porosity logs from the Sarha-1 exploration well, Oilex is recommending to Joint Venture participants and the Omani regulatory authorities that 7 inch casing be run and a production testing program carried out over the primary and secondary objectives intersected in the well. Details of the testing proposal are currently being finalised as part of the testing recommendation.

As advised previously, the primary and secondary objectives penetrated in the Permian to Cambrian interval exhibited oil shows and increased gas readings from drill cuttings.

Participants in the Block 56 Exploration and Production Sharing Agreement area are Oilex with 25%, which also serves as operator; Videocon Industries Limited with 25%; GAIL (India) Limited with 25%; Hindustan Petroleum Corporation Limited with 12.5%; and Bharat Petroleum Corporation Limited with 12.5%.