Phase Two of Drilling Program Commences at Whitwarta...

Phase Two of Drilling Program Commences at Whitwarta

Highlights

GulfX Limited (ASX: GLX), incorporating Syngas Limited, is pleased to announce that the company¡¦s prioritised drilling program has progressed significantly.
The drilling program commenced in early June 2008 and is now 30% complete. Phase one of the drilling program in the Clinton Area, near the South Australian town of Port Wakefield, is essentially complete.

Phase two of the program is now underway in the Whitwarta area.

„h The prioritised drilling program is progressing well and according to schedule, with results generally as expected based on past drill results.
„h In terms of Calorific Value [MJ/kg] composite samples from the four drill holes analysed to date from Clinton appear to be 10% higher than reports based on past drilling.
„h The drill program will yield coal/lignite in quantities suitable for laboratory scale gasification testing to further characterise the Syn(thesis) gas and yields likely to be produced in the company¡¦s proposed coal to liquid (premium diesel) production process.
„h Work on conditional off-take opportunities is being progressed.
„h The company is very well positioned with cash on hand exceeding requirements to take us through the Pre-Feasibility Study (PFS), scheduled for completion in 2008, and well into the Bankable Feasibility Study in 2009.
„h Planning for the next stages of the Syngas Project is well underway, with additional resources, skills and expertise under review.