ADX clear to proceed with Anshof-1 drilling
Link copied to
ADX has cleared the final obstacle in the way of its drilling the Anshof-1 oil exploration well in Austria with the receipt of final environmental approvals.
The company has now started site works for the well in the ADX-AT-II licence in Upper Austria, which targets up to 6.6 million barrels of oil equivalent.
ADX Energy (ASX:ADX) expects to start drilling in mid-December, with work expected to take about 17 days to complete.
Notably, the first well will be drilled from the Anshof-3 surface location, allowing the company to avoid having to wait for additional approval from the Forestry Authority.
It also provides the company with a rapid pathway to commercialisation given that the site is just 50m from an oil and gas pipeline bundle.
“ADX and its farm-in partner Xstate are looking forward to the drilling of the Anshof prospect which has the potential for doubling ADX production within a year and an expected peak production in the order of 1,500 bopd for the best technical resource case,” chief executive officer Paul Fink said.
“ADX has been able to demonstrate that in Austria it is possible to spud a well in less than a year from the exploration license award.”
ADX said Forestry Authority approvals for two additional well locations are expected in around a fortnight.
This article was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.