ADX Energy Ltd.: Anshof-2 Appraisal Well Update Drilling Operations Report No 5

Wien (pta006/11.12.2023/09:08 UTC+1)

Wireline logging results indicate a much larger high quality reservoir intersection at or near the field oil water contact.

The shallower than predicted oil water contact is compensated by the flattening of the structure increasing up-dip volume and the existence of a much thicker reservoir intersection which has been confirmed to extend across the field.

ADX and its partner MND have decided to suspend the well with the intention of side tracking the well to an up-dip location after the drilling of the ADX Welchau-1 well.

Key points:

• The Anshof-2 well has intersected the predicted Eocene oil reservoir section at a depth of approximately 2160 metres measured depth (MD), approximately 40 to 50 metres higher than prognosis in terms of vertical depth. The well was directionally drilled in 8 ½ inch hole to a total measured depth of 2321 metres (TMD) with a final inclination of approximately 73° (i.e. near horizontal). The well has been evaluated with electric wireline logs.
• Preliminary petrophysical analysis of the Eocene sands confirms at least 12 metres net vertical thickness of high quality reservoir with a porosity of approximately 20%, significantly surpassing the reservoir quality and thickness found in the Anshof-3 discovery well located to the West that has demonstrated strong production performance. The calculated oil saturation across the interval is approximately 34% and as a result the well will not be completed as an oil producer at this bottom hole location but suspended for deviation to a yet to be finalised up-dip location. Oil shows (fluorescence and good chloroform test reaction) at the top of the Eocene section indicate that higher oil saturations can be expected slightly further up-dip from the Anshof-2 bottom hole location. Refer to figure 2 at the PDF file.
• While the oil saturation at the Anshof-2 bottom hole location is clearly less than expected, ADX' interpretation is that the well has penetrated the Eocene reservoir close to the oil water contact (OWC). The presence of a thick very high-quality reservoir section in line with ADX' P10 (upside) case pre drill maps and the fact that Anshof oil field structure is flatter and larger due to the Eocene sands being encountered 40 to 50 metres higher than prognosis is expected to compensate for the shallower than expected OWC depth at this location, i.e. a larger crestal volume with greater net reservoir thickness (approx. 5 times that encountered at the Anshof-3 discovery and production well).
• The suspension of the Anshof-2 well allows the time to evaluate an optimal well location which is sufficiently up-dip from the current bottom hole location with an intersection of a similar or greater thickness of high-quality reservoir sandstones. The drilling of a side track from the bottom of 9 ⅝ inch casing provides significant cost savings for the planned sidetrack development well (refer to figure 1 at the PDF file).
• Eocene oil production wells in the basin with similar high quality sand intersections as encountered in Anshof-2 have produced at rates of approximately 1,000 barrels per day.
• The Anshof-2 appraisal well is located in the ADX-AT-II licence in Upper Austria. The well was spudded at 10:00 am Central European Time (CET) on the 13th of November 2023. ADX is the operator and has a 60% economic interest in the well. The RED Drilling & Services GmbH (RED) E-202 drilling rig is expected to be released on the 12th December 2023 following completion of suspension operations.

For more details please see the PDF file.

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Emitter:	ADX Energy Ltd. Ölzeltgasse 3/8 1030 Wien Austria
Contact Person:	DI Paul Fink
Phone:	+43 (0)676 6893465
E-Mail:	paul.fink@adx-energy.at
Website:	www.adx-energy.com
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