1 Apr 2008 07:00
1 April 2008
SUBJECT: OPERATIONS REPORT - INDIA AND OMAN
INDIA
Oilex advises that the Cambay-23Z well is coring the Oligocene OS-II reservoirobjective below 1641 metres measured depth (MD) which is anticipated to begas-bearing. Following the coring operations in the Oligocene, the well will bedeepened to core and evaluate the Eocene section.
Participants in the Cambay Production Sharing Contract are:
Joint Venture Party Participating Interest Oilex Ltd (Operator) 30%
Oilex NL Holdings(India) Limited(100% owned by Oilex 15% Ltd)
Gujarat State Petroleum Corporation 55%
OMAN
Ghadaq-1 well, the second of a 3 well exploration program in Block 56, Oman isat a depth of 1421 metres MD preparing to run wireline logs. Primary objectivesintersected in the Permian Al Khlata and Haima Formation sections between 1053and 1421 metres exhibited oil shows and increased gas readings in sandstonecuttings, accompanied by anomalous resistivity log responses recorded on"Logging While Drilling" tools.The comprehensive wireline logging program will evaluate the anomalous zonesencountered and determine whether production testing is warranted. Subject tothe results of the evaluation program, consideration will be given to running7" casing before drilling into the underlying Huqf Formation objective in casean extensive fracture system is encountered as was the case in the nearbySarha-1 well.Participants in the Block 56 Exploration & Production Sharing Agreement are:Joint Venture Party Participating Interest Oilex Oman Limited(Operator) 25% Videocon Industries Limited 25% GAIL (India) Limited 25%
Hindustan Petroleum Corporation Limited 12.5% Bharat Petroleum Corporation Limited 12.5%
Yours sincerely,B. H. McCarthyManaging Director
For further information, please contact:
Ray Barnes Technical Director, Oilex Ltd Tel. +61 8 9226 5577 (Western Australia)
Archie Berens Director, Pelham Public Relations Tel. +44 20 7743 6679 (United Kingdom)
RFC Corporate Finance Ltd acts as Oilex's Nominated Adviser - contact Stuart Laing +618 9480 2506.
The information in this report has been compiled by the Managing Director ofOilex Ltd, Bruce McCarthy B.Sc. Hons. PhD (Geology) who has over 28 yearsexperience in petroleum geology and Ray Barnes, B.Sc. Hons. the TechnicalDirector of Oilex Ltd who has over 35 years experience in petroleum geology andis a member of the AAPG and EAEG. Estimates of oil-in-place are reported inaccordance with the standard definitions set out by the Society of PetroleumEngineers, further information on which is available at www.spe.org.
OILEX LTD