report

14 December 2007
Company Announcements Platform
Australian Stock Exchange Limited
Exchange Centre
20 Bond Street
SYDNEY NSW 2000
Via ASX Online
SUGARLOAF OPERATIONS UPDATE
Kennedy #1H Well
A 4-1/2 inch liner was cemented in the horizontal section of the Kennedy well and the
drilling rig was released on 8 December 2007. The operator intends to run a radial bond
log to assess the cement job before finalising plans for an extensive fracture stimulation
program and test operations on the well. It is likely that these operations will start early in
the new year.
Sugarloaf-1 Well
Since our last report, completion tubing has been re-run and flow testing of the deepest
of the three zones of interest in the Austin Chalk has continued. Swabbing and short
periods of natural flow have recovered small quantities of gas and condensate together
with fracture stimulation and work fluids. The operator has advised that the test program
will include further swabbing before shutting in the well for a seven day pressure build up
test. An electronic pressure gauge assembly has been deployed by wireline. Further
work on this zone will be dependent on the analysis of the test and other data.
Adelphi, through its wholly owned US subsidiary Adelphi Energy Texas, Inc., has a 20%
interest in the Sugarloaf Project which includes the Sugarloaf-1 and Kennedy #1H wells.
For further information please contact Chris Hodge on 08 9480 1300 or