ADX Energy (ASX: ADX) has completed mobilisation of all key personnel for testing of its Sidi Dhaher-1 oil discovery in the onshore Chorbane licence, Tunisia.
Testing of rig related equipment is also ongoing and good progress has been made on final preparations of all test equipment from other services including test and oil processing equipment and crude trucking.
ADX has also decided to mobilise the support camp to the well site.
However, it is now in talks to find a satisfactory solution after access to the site was temporarily disrupted by some local people, who demanded employment during testing operations, blockaded local roads.
ADX said it has signed agreements with members of the local community who are affected directly by the operations and has consulted with the local community leading up to the mobilisation of testing equipment.
It added that it continues to receive the support of the local community and that the local authorities support its efforts to find a solution.
Mean contingent oil in place resource volume for the Sidi Dhaher oil discovery has been estimated at 51 million barrels. Well testing will aim to confirm the recoverable volumes and resulting potential reserves, and identify commercial flow rates and recovery factors.
The 2428 square kilometre Chorbane permit has all the hallmarks of a highly prospective oil and gas asset.
It contains large undrilled structures in a producing oil and gas province with high quality seismic available over prospects and leads.
ADX holds a 40% stake in Chorbane while Gulfsands Petroleum (LON: GPX) holds another 40%. The remaining 20% is split equally between XState Resources (ASX: XST) and Verus Investments (ASX: VIL).
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