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ADX Provides Update on Sidi Dhaher-1 Well Test

Source: www.gulfoilandgas.com 4/23/2012, Location: Africa

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ADX Energy Limited provides the following operational progress update on preparations for the well test of its Sidi Dhaher-1 oil discovery, Chorbane licence, onshore Tunisia.

Further to the announcement of 12 April 2012, we confirm that mobilisation of all key personnel is now complete, rig related equipment testing is still ongoing and good progress has been made on final preparations of all test equipment from other services including test and oil processing equipment and crude trucking. Consequently, ADX decided to commence mobilisation of the support camp to the Sidi Dhaher-1 well test site. Consistent with the process followed for the drilling of the Sidi Dhaher well, camp mobilisation is being undertaken cautiously to seek early indications of any issues with any members of the local community.

Unfortunately, access to the well site has been temporarily disrupted by the blocking of local roads by a number of local people who are demanding employment during the testing operations. Consistent with normal operations in the oil industry, ADX has signed agreements with members of the local community who are affected directly by the operations and has consulted with the local community leading up to the mobilisation of testing equipment. ADX continues to receive the support of the local community and the local authorities are fully supporting ADXs efforts to find a satisfactory solution so that mobilisation of the camp and other equipment may be completed.

Participant interests in the Sidi Dhaher-1 well tests will be as follows;
ADX Energy Ltd 40% Operator
Gulfsands Petroleum Plc 40%
XState Resources Ltd 10%
Verus Investments Limited 10%

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