CGX Energy Inc. announced that the Kawa-1 well, the Joint Venture's commitment well on its Corentyne block, is expected to be spud within the August 1st to 15th time period and reach total depth in approximately 85 days. The primary target for the Kawa -1 well is a Santonian age, stratigraphic trap. The Kawa-1 well is located in the northeast quadrant of the Corentyne block approximately 200 km offshore from Georgetown. The water depth is approximately 355 meters (1,174 ft) and the expected total depth of the Kawa-1 well is 6575 meters (21,700 ft). As previously announced, Kawa-1 will be drilled by the Maersk Discoverer, a sixth-generation semi-submersible currently working in Trinidad for another operator. CGX Resources Inc., a wholly owned subsidiary of CGX and operator of the Corentyne block, has secured all necessary contracts for the drilling of Kawa-1 and is now commencing operational activities to meet the targeted spud window. The current cost estimate to drill and evaluate Kawa-1 is between approximately $80-$85 million, which CGX expects to finance from one or more options that are currently being considered by the Company.