Oilex Regulatory News (OEX)

17 February 2012

Cambay-76H Well Operations Update - Fishing Operations Resume

Further to its release of 18 January 2012, Oilex Ltd advises that operations to retrieve the stuck milling assembly from the Cambay-76H horizontal well in the Cambay Field, onshore Gujarat, India have resumed.

Retrieval operations were interrupted in December due to high bottom hole pressure conditions and an influx of gas and fracture stimulation fluids. As a result well control operations were initiated to stabilise the well.

While initial well control operations resulted in a reduction in pressure, the well continued to flow. As a consequence, procedures were revised and a denser mud system, additional chemicals and equipment were mobilised and the well has now been stabilised. Operations to retrieve the milling assembly and coil tubing are now underway.

Approximately 331 metres of coiled tubing has been recovered to date and 38 metres of coiled tubing and milling assembly (12 metres) remain to be recovered.

Further releases will be made upon completion of significant events.

The participating interests in the Cambay PSC are:

Joint Venture Party Participating Interest

Oilex Ltd (Operator) 30%

Oilex NL Holdings (India) Limited 15%

Gujarat State Petroleum Corporation Ltd 55%

For further information, please contact:

Oilex Ltd +61 (0)8 9485 3200 (Western
Australia)
Bruce McCarthy Managing Director
oilex@oilex.com.au

Ben Clube Finance Director
oilex@oilex.com.au

Ambrian Partners Limited (Nominated Adviser and AIM Broker)

Matthew Einhorn +44 (0) 20 7634 4860 (UK)
matt.einhorn@ambrian.com

Samantha Harrison +44 (0) 20 7634 4712 (UK)
samantha.harrison@ambrian.com

Read Corporate

Nicholas Read
nicholas@readcorporate.com.au +61 (0)8 9388 1474 (Western
Australia)

Tavistock Communications +44 (0)207 920 3150 (UK)

Ed Portman
eportman@tavistock.co.uk +44 (0)7733 363 501 (UK)


Paul Youens
pyouens@tavistock.co.uk +44 (0)7843 260 623 (UK)

This document may include forward-looking statements. Forward-looking statements include, but are not necessarily limited to, statements concerning Oilex Ltd's planned exploration program and other statements that are not historic facts. When used in this document, the words such as "could", "plan", "estimate" "expect", "intend", "may", "potential", "should" and similar expressions are forward-looking statements. Although Oilex Ltd believes that its expectations reflected in these statements are reasonable, such statements involve risks and uncertainties, and no assurance can be given that actual results will be consistent with these forward-looking statements.