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Oilex producing gas at Gujarat unconventional well

02nd July 2014

Oilex has announced that Stage 1 fracture stimulation has been successfully completed at the Cambay-77H well in India.

Oilex producing gas at Gujurat unconventional well

Cambay-77H started unaided flowback with indications of gas at surface within 24 hours while other operations were ongoing.

  • Since the previous announcement on 24 June 2014:
  • Stage 1 Micro frac and Data frac were completed
  • Stage 1 was treated with a total of around 6,000 bbls of frac fluid and around 136 tonnes of sand
  • Elevated bottom hole pressure of 5,000 psi was measured
  • The well started to flowback unaided and gas was detected at surface shortly after Stage 1 frac
  • 2 isolation plugs were set between Stage 1 and 2 because the first failed to seal
  • Stage 2 perforations were successful completed

Subsequent to Stage 1 activities, gas was detected at surface and elevated overpressure of around 5,000psi was measured indicating a pressure increase of 670psi.

The original reservoir pressure of around 4,330psi was interpreted from the micro frac programme.

This is consistent with Cambay-76H as highlighted in the Quarterly Report to Shareholders 30 September 2012.

During the system wide pressure test to 9,300psi prior to the Stage 2 frac, a leak developed in the “frac tree”.

The decision was taken to replace the faulty components with spare components pre-positioned at the well site, before proceeding further with fracture stimulations.

Whilst these operations are complex and are currently in progress, they are essential to maintaining the philosophy of risk minimisation.

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