Outlook Rosy at Oilex WA-388-P Permit

Oilex has completed the interpretation of the Rose 3D seismic data in permit WA-388-P located outboard of the North West Shelf Project and on trend with Pluto, Wheatstone, and Gorgon fields, offshore Western Australia.

A portfolio of leads and play types has been developed. Seven leads have been identified ranging in potential size from 0.3 to 2.8 trillion cubic feet (TCF) of prospective gas resource (recoverable best estimate, 100% basis). Work that has been completed in the past 4 months confirms that the seismic amplitude anomalies evident in the 3D seismic data are likely Direct Hydrocarbon Indicators (DHI) suggesting the presence of gas by analogy with nearby fields and discoveries.

Given this positive result, the Joint Venture is now considering options to further define the largest of the leads (Placanica) in preparation for possible drilling.

The WA-388-P permit is in a region of increasing exploration interest being located on the same play fairway as the Pluto and Wheatstone fields. It is close to the WA-389-P and WA-360-P permits which Woodside and Petrobras have respectively been reported to have farmed into in 2010. Potential exists for gas discoveries of 1 TCF or more to provide feedstock for existing LNG projects such as Pluto, Wheatstone or North West Shelf.

There are no outstanding work program commitments on the permit.