Drilling rig services have been secured for ADX Energy's (ASX: ADX) Sidi Dhaher well in the Chorbane Exploration Permit onshore Tunisia.
Through the signing of a Letter of Intent (LOI) with Challenger Limited, the RIG 37 onshore drilling unit will be provided to conduct the work program.
ADX will spud the exploration well to test the Sidi Dhaher prospect during the first week of February, subject to receiving final approvals from the Tunisian Authorities.
To fund ADX’s share of drilling costs for the Sidi Dhaher well the company previously secured farm-outs with Gulfsands Petroleum plc (LON: GPX), Xstate Resources Ltd (PINK: XSTLF) and Verus Investments Ltd (ETR: VSL).
The Sidi Dhaher prospect is favourably located near the port city of Sfax and is surrounded by several producing oil fields and extensive oil and gas infrastructure.