PEL 105 & 218 : 2D SEISMIC ACQUISITION COMMENCED.Adelaide Energy...

PEL 105 & 218 : 2D SEISMIC ACQUISITION COMMENCED.

Adelaide Energy Limited ("ADE") is pleased to announce that it has commenced the “2D Wakefield Seismic Survey 2008” program in the Permits PEL 105 and PEL 218. The program will consist of acquiring a total of 308 line kms of which 92 line kms will be in PEL 105 and 216 line kms in PEL 218.
The Company expects the acquisition to be finished by the second week of October 2008.

INTERESTS
PEL 218

ADE has a 100% interest in this tenement at present. By virtue of a farmin agreement for PEL 218 dated 10 April 2007, ICON Energy Ltd (“ICN”), Deka Resources Pty Ltd and Well Traced Pty Ltd (the Farminees) will earn a 20.0% combined interest in the post-Permian sections of the tenement (Eromanga Basin sediments to the base of the Triassic) by funding 100 line kms of this Wakefield 2D Seismic Survey.

Engineering and geological planning is in progress for the drilling of Wakefield #1, a well designed to be drilled to the base of the Triassic section. The farmin agreement referenced above allows for a further 46.66% combined interest to be earned by the Farminees by funding 100% of the cost of this well. The well will be drilled as soon as the selected drilling rig becomes available which is expected to be in the first months of 2009.

Following completion of this farmin agreement, ADE retains 100% of the Permian section of the tenement and will hold 33.33% of the post-Permian section.

PEL 105

ADE has the right to earn a 50% interest in the permit from the licensee, Austin Exploration Ltd (“AKK”), by funding 100% of the cost of one exploration well in the permit. Engineering and geological planning has been completed and ADE as the Operator of the permit plans to drill Pirie #1 as soon as the drilling rig used in 218 above is available. This is expected to be immediately after the Wakefield 1 well outlined above.