Rex International unit discovers oil in Oman well

Singapore Exchange Catalist-listed Rex International Holding's indirectly owned subsidiary Masirah Oil has discovered oil in its second exploration well in Oman.

Rex owns an indirect 65 per cent stake in its jointly-controlled entity Lime Petroleum, which in turn holds 64 per cent of Masirah. Masirah owns 100 per cent of the concession in Oman.

In an announcement on Tuesday, Masirah said it has successfully reached the final depth of over 3,000 metres of the well in Block 50 Oman, where hydrocarbons were discovered and good oil sample has been extracted.

"The discovery of hydrocarbons in the second exploration well is a significant step towards the deepening of our knowledge and understanding of the offshore geology in the east of Oman, where no discovery has been made before," said Masirah chairman and Rex International founder Hans Lidgren.

Shares of Rex International, which were suspended on Monday pending the announcement, jumped over 9 per cent in early trade today following the news.

As of 10.08 am, the counter has gained five cents or 8.3 per cent to 65 cents.

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