ADX Energy hits oil column in Anshof-2A well

ADX Energy (ASX:ADX) has intersected a 6.5m net vertical oil column in the Anshof-2A sidetrack oil appraisal well, approximately three times greater than that found in the Anshof-3 discovery well, which currently produces at 110 barrels per day.

The well, located in the ADX-AT-II licence, boasts increased porosity and permeability.

The ANS-2A well, drilled using the RED Drilling & Services GmbH E-202 rig, reached a measured total depth of 2195m after a 10-day drilling period.

Based on electric line logs and pressure data, the well encountered high-quality Eocene sandstone reservoirs between 1586.5 m and 1599 m TVD SS, with an interpreted oil water contact at 1593 m TVD SS.

"We are very pleased to announce a second Anshof Oil Field producer. The well is expected to make a significant contribution to ADX's oil production and cashflow within a few weeks when it is tied into the recently installed and commissioned Anshof Permanent Production facility," said Ian Tchacos, executive chairman of ADX Energy.

The well is currently being cased and cemented in preparation for suspension as a production well.

In early October, production tubing and a rod pump will be installed, followed by a tie-in to the Anshof Permanent production facility.

A smaller, cost-effective workover rig from ADX Vienna Basin Fields will handle completion operations.

Post-tie-in, the ANS-2A well will be tested for long-term optimal production rates, commencing commercial output in conjunction with the Anshof-3 well.

The RED E-202 rig will be demobilised to a nearby gas exploration well, continuing ADX's drilling program in Austria.

At the time of reporting, ADX Energy’s share price was $0.10.