From the DXE B Board...DualEx provided an operational update on its ongoing exploration work. The Company is at the final stages of an exploration well on the Bouhajla North prospect in Tunisia. Planned recompletion work at the BHN-1 well has been halted as the Tunisian government sorts out discrepancies between the existing hydrocarbon code and the newly approved constitution. The contracted service rig has been put in storage with no cost to DualEx.
• Under the new constitution, all issues relating to natural resources contracts must be approved by the National Constituent Assembly, including the Company's Bouhajla Permit in Northeast Tunisia and its recent extension. This issue affects all petroleum industry participants in Tunisia and caused a halt to major capital projects.
BOTTOM LINE
In a country such as Tunisia, we expect an expedient resolution, especially for pre-existing contracts. Besides, the current political and constitutional process in Tunisia has proven to be pragmatic. We do not expect any significant changes in the licensing terms. While the delay is disappointing, it is not entirely unusual for an international project.
CAs the issue involves the future of the entire petroleum industry in an energy and employment-starved onsequently, we are maintaining our positive outlook for Bouhajla and generally for DualEx's other projects in Tunisia.
Read more at https://www.stockhouse.com/companies/bullboard/v.dxe/dualex-energy-international-inc#lVBxOjrm2L3ZH7Zt.99