ADX Energy Ltd.: Activities Report for the Quarter Ended 31 December 2024

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Wien (pta014/29.01.2025/11:25) - ADX Energy Ltd (ASX: ADX, "ADX" or "the Company") is pleased to provide an update on its activities for the quarter ended 31 December 2024.

Past Quarter Highlights

* Austrian net production averaged 218 BOEPD with sales revenue of A$ 2.3 million for the quarter.
* Commencement of commercial production from Anshof-2A side track oil appraisal well in December 2024. Anshof net field rate in December was 78 BOPD. The combined ADX Austrian net production in December was 238 BOEPD.
* Commencement of testing of the Welchau-1 discovery well which was interrupted due to a court ruling after the reporting date (refer ASX Release 14 January 2025).
* After the reporting date, the offer and acceptance of the Sicily Channel Gas Exploration Permit, Offshore Italy (refer ASX release 22 January 2025).
* Renewal of ADX-AT-I & II licences in Upper Austria which are granted until year end 2028.
* Extension of A$ 1.25 million Loan Notes from 11 January 2025 to 31 March 2026.
* ADX' cash at the end of the quarter was A$ 9.1 million.

Next Quarter Planned Activities

* Continue monitoring and sampling of the Welchau-1 well. Recommence flow testing operations once Environmental Clearance objections are resolved.
* Continue to upgrade Upper Austria exploration portfolio focussing on Anshof Eocene oil follow ups, low risk shallow gas exploration wells, Welchau deepening as well as Welchau follow up prospects along with deeper Jurassic aged oil and gas plays.
* Permitting for near term drilling prospects that are mature for drilling including Anshof Eocene oil follow ups (including an Anshof-1 well) and shallow gas exploration wells.
* Sicily Channel Gas Exploration Permit formal acceptance by the relevant Italian authorities, seismic data purchase and portfolio development.
* Partnership formation discussions for near term drilling prospects.

ADX Executive Chairman, Mr Ian Tchacos, said, "While the initial results from Welchau-1 testing have been disappointing, the Welchau discovery is significant and warrants further evaluation given the presence of hydrocarbons, the shallow onshore location in a potentially large structural setting with deeper potential and identified follow up exploration opportunities. Due to its structural and reservoir complexity Welchau, as is the case with many carbonate discoveries, will require further work to determine the potential of the play. In addition to Welchau, ADX continues to develop its Austrian asset base focussing in the near term on multiple low risk, proven and rapid to commercialise oil and gas prospects that are drill ready.

"The Sicily Channel Gas Permit is a very exciting addition to the asset base which can be progressed quickly due to the presence of high-quality seismic data. The evidence of gas in the Sicily Channel Permit from historic wells, the recent commercialisation of analogous offshore gas fields in close proximity and the reversion positive, predevelopment policies for gas in Italy have created a positive environment exploration and development in energy starved Europe where there is a strong preference for domestic gas produced to high environmental standards.

"Importantly from a shareholder valuation perspective, I believe that the combination of a strong cash balance, ongoing cash flow from production and multiple high equity asset positions which can be funded via a proven partnership model enables ADX to reposition itself in the near term and create shareholder value."

For more information please see the PDF file.

(Ende)