Projects – PEL 218

Eromanga Basin and Cooper Basin: ADE 10% Equity

Eromanga Basin

A geological legacy of marine flooding of the central Australian continent during the Mesozoic Era and invaluable National asset hosting hydrocarbons and water reserves of the Great Artesian Basin. ADE acquired 219 km 2D seismic in 2008.

• The Eromanga Basin contains the oil prospective Namur and Hutton sandstone reservoirs
• High heat flows ensure organic material has entered the generative “oil window”
• Numerous anticlinal plays have been identified and 3 matured to Prospect status
• Farm-in partners Beach Petroleum, Icon Energy, Bounty Oil and Gas, Deka Resources and Well Traced drilled the first Eromanga well in PEL 218 in 2009 ñ Wakefield 1 ñ oil shows and potential coal seam gas prospects were identified and are currently being evaluated.
• The 2008 Wakefield Seismic Survey acquired 219 km 2D seismic to delineate additional plays in the permit.
• ADE has met all obligations in PEL 218 under Native Title agreements and Work Area Clearance to protect sites of cultural significance

Cooper Basin

A prolific hydrocarbon province formed during a period of abundant coal-forming Palaeozoic forests, massive lakes and river systems. Thick sequences of Permian age sands and hydrocarbon-generating coals sealed by impermeable caprock shales

• Thick sequences of Permian age sands and hydrocarbon-generating coals sealed by impermeable caprock shales
• Home of the massive Moomba, Big Lake and Tirrawarra gas, condensate and oil fields
• Maximum thickness of Cooper Basin sediments and highest heat flows occur in the Nappamerri Trough, the heart of Adelaide Energy ‘s PEL 218 permit
• Despite its massive size and great potential the Nappamerri Trough remains under-explored because wells drilled previously did not effectively evaluate the Permian formations
• ADE will follow the lead of Canadian and American visionaries and drill for tight gas, the exciting new play concept gaining international focus in an energy-hungry world
• ADE has entered into a farm-out agreement with Beach Petroleum Limited whereby Beach will contribute $2.5 million towards ADE’s share of future exploration expenditure in PEL218
• The Joint Venture will invest $25 million collectively to evaluate and commercialise the unconventional gas resources in PEL 218 to meet the expanding natural gas market