Oilex Conducts Drill Stem Testing on Cambay-73

Oilex has advised that Cambay-73, the third well in the Cambay Field appraisal program, is at a depth of 2,030 meters and conducting an open hole drill stem testing ('DST') program. Pressure and flow data collected during this program will be further evaluated to determine the potential for production at commercial rates from the tested zones.

The workover rig is continuing operations on Cambay-19Z for the cased hole testing program of the extensions to the Basal EP IV oil zone.

Most essential equipment arrived at the Cambay-19Z location and is being installed in preparation for DST#2. Test intervals have been selected over a number of separate units of variable thickness in  the Basal EPIV section.

The Basal EP IV zone is present in at least three old wells on the Western High Block. These old wells were either not tested or were poorly evaluated and appear to have a similar log response to the zone that was successfully tested in Cambay-19Z. Preliminary indications from seismic and the analogous well logs are that the Basal EP IV may extend across the Western High Block.

A program of open hole drill stem tests are currently being run over the Basal EPIV and EPIII/ EPIV intervals to determine the hydrocarbon flow characteristics of a number of anomalous zones.

On conclusion of the testing program, casing will be run and cemented and the well will be drilled through the Deccan Volcanics.

Cambay-73 is a vertical well that has been located to drill the OS II and EP III-IV primary objectives on the crest of the structure near to the fault that separates the Western High Block from the Basin Gas Area.

The well is also designed to intersect the Basal EP IV oil zone on the Western High Block at a favorable structural location.