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Candax Commences Workover on Robbana Field

Source: www.gulfoilandgas.com 3/18/2011, Location: Africa

Candax Energy Inc. is pleased to announce that a workover on the Robbana-1 well commenced on March 15, 2011. The Robbana-1 well has been shut in since June 2009. The workover is expected to last a few weeks and the data collected will enable Candax to better prepare for a stimulation workover of this well mid-year as well as for the anticipated re-development of this field.

Petroleum Insights Sarl ("Petroleum Insights"), an oil and gas consulting firm with the assistance of Denver-based MHA Petroleum Consultants LLC, has completed its study on the Robbana field.

Based on their analysis of pressure response data from the field during its 17 years of production history, Petroleum Insights has calculated a range of 18 to 25 million barrels of oil in place. Petroleum Insights has also forecast 4.3 to 5.8 million barrels of recoverable oil for 100% of the field (Candax has an 80% working-interest).

These figures are based on a numerical full field simulation study assuming enhanced recovery through conventional water flooding. Based on Petroleum Insight's positive evaluation, Candax is in the process of designing a water-flooding and development wells program to increase recovery from the field and to enable categorization of all or part of these preliminary figures as proven and probable reserves under NI 51-101 standards.

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