Overview of ADX Energy's recent drilling operations

ADX Energy Ltd (ASX:ADX) has provided an update on the drilling operations of the Lichtenberg-1 (LICHT-1) gas exploration well in the ADX-AT-I licence in Upper Austria. The well, spudded on September 26, 2024, is being operated by ADX and is currently at a measured depth of 1288 metres in 8 1/2 inch hole. The company will retain a 50% economic interest in the well and the MND Investment Area upon completion of earn-in obligations by MND, while maintaining a 100% interest in the remainder of the ADX-AT-I licence. The LICHT-1 well is targeting an Upper Oligocene sandstone reservoir and is expected to take approximately 30 days to drill, with the first Oligocene reservoirs anticipated from around 2000 metres MD and the main target reservoir from approximately 2500 metres MD. ADX plans to provide weekly well operations updates and drilling results to shareholders, with the next report scheduled for October 15, 2024.

Executive commentary on LICHT-1 well operations

The recent update on the LICHT-1 gas exploration well reflects the progress made in the drilling operations. We are pleased with the current status of the well and the ongoing activities to condition the well prior to resuming drilling. The targeted sandstone reservoirs hold significant potential, and the availability of high-quality 3D seismic data further enhances our confidence in the prospects. Success at LICHT-1 could pave the way for the development of a large reserve base with long-term gas production, not only at this location but also at the follow-up prospects nearby. We remain committed to providing transparent and timely updates to our shareholders as we progress with the drilling operations and look forward to the next routine Drilling Operations Report on October 15, 2024.

Summary of LICHT-1 well operations and future prospects

ADX Energy's update on the LICHT-1 gas exploration well in Upper Austria highlights the company's active involvement as the operator and its economic interests in the well and the ADX-AT-I licence. The ongoing drilling operations, targeting the Upper Oligocene sandstone reservoir, are progressing as planned, with the potential for highly productive gas sands based on offset production wells in the area. The availability of high-quality 3D seismic data and the proximity of gas pipelines further support the potential for rapid and low-cost development of a gas discovery at this location. Success at LICHT-1 could significantly upgrade and de-risk the follow-up prospects, offering substantial upside potential. ADX's commitment to providing regular updates and the outlook for future drilling activities demonstrate the company's strategic focus on maximizing the potential of its exploration assets.