Oilex updates Indonesian drilling operation

The following is an excerpt taken from Australian firm Oilex Ltd.?s drilling operation update released on Tuesday.

Indonesia ? West Kampar PSC - Pendalian-3
The testing program is now in progress at the Pendalian-3 well. Wireline data confirm that reservoir quality is excellent and 3 cased-hole drill stem tests of the likely oil zones in the Sihapas Sandstone section are expected to start this week. The program is designed to test a series of sandstone units which are established producing reservoirs at these depths in nearby fields. The first test has been completed and the remaining test intervals are:

DST	Potential Oil Zone (Metres below KB)
#3 ? Firm	460 ? 464 & 466 - 471
#4 ? Firm	279 - 292
#5 ? Firm	241 - 252

The zones that will be tested by DST?s #3, #4 and #5 zones are analogous to zones that tested oil from Pendalian-1.

As anticipated, based on the interpretation of the wireline logs, the first test, DST #1, over the deepest interval has produced fresh water although there were minor indications of oil. The DST #1 and #2 equivalent intervals in nearby wells did not flow oil and DST #1 has confirmed that the interval is a fresh water zone. DST #2 has been deleted from the program.

Participants in the West Kampar Production Sharing Contract are: Oilex 45%, Sumatera Persada Energi (Operator) 55%. (end of excerpt)