ADX Energy Provides Update on Anshof Exploration Well

ADX Energy has advised that the Anshof-3 well has reached a total depth 2499m in 8 ½ inch hole on 6th of January 2022. The final drill depth of the well is in crystalline basement allowing sufficient open hole at the bottom of the well (Rathole) to accommodate electric line logging operations enabling the evaluation of the deepest potential hydrocarbon bearing zones observed in the well.

Operations since the last report included the drilling of 8 ½ inch hole to the total depth of the well and conditioning the 8 ½ inch hole in preparation for electric line logging. Electric line logging operations have been delayed due to well bore instability which has required remedial hole conditioning including reaming and increasing mud weight prior to logging.

Current operations include electric line logging operations to evaluate the potential of oil and gas zones of interest observed while drilling the well.

Zones of interest observed while drilling

On the 5th of January 2022, ADX advised the following preliminary results from Anshof-3 drilling data:

- a 9m gross interval with oil shows encountered at the primary Eocene oil target; and

- a 20m gross interval with potentially good reservoir quality encountered with strong gas shows within imbricated Miocene formations.

The abovementioned intervals exhibited hydrocarbon shows indicative of moveable hydrocarbons based on extensive experience within the basin. The Eocene oil reservoir and other geological markers such as Top Oligocene and Top Cretaceous have been encountered as predicted, further confirming the presence of a large structure as mapped predrill on 3D seismic.

During subsequent drilling operations in 8 ½ inch hole a further 11 meters of gross Cenomanian aged reservoir interval consisting of interbedded sand and shale with oil and gas shows was intersected by the well overlying crystalline basement. Cenomanian aged reservoirs are of variable quality in the area however it is an excellent producing interval in several nearby fields.

Future operations

Current operations are electric line logging of 8 ½ inch hole from a depth of 331m to TD in the crystalline basement of approx. 2499m to determine the productive potential of the intersected reservoirs and confirm the likelihood of moveable hydrocarbons across the various zones of interest.

Further Updates of Operations and Well Results

Wireline logging data and preliminary interpretation of the data are expected to be available during this week.