Adelaide Energy Limited (ASX:ADE) Encounter-1 Weekly Drilling Report Ended 16 November 2010

Adelaide, Nov 16, 2010 AEST (ABN Newswire) - Adelaide Energy Limited (ASX:ADE) is pleased to release Encounter-1 weekly drilling report ended 16 November 2010.

Well name: Encounter-1

Permit: PEL 218 (Permian JV)

Participants: Beach Energy Limited (ASX:BPT) (PINK:BEPTF) - 90% (Operator); Adelaide Energy Ltd - 10%

Primary targets: Roseneath/Epsilon/Murteree shale/sand/shale sequence

Spud Date: 3 October 2010

Target depth (prognosed): 3625m

Total depth @ end of current week: 3147m

Total depth @ end of previous week: 2862m

Metres drilled during week: 285m

Activities during week: Drill 8 1/2" hole from 2862 - 3102m : cut core #1 from 3102 - 3125m (recover 19.3m): drill ahead in 8 1/2" hole to 3147m (slow progress through Roseneath)

Current activities: Drill ahead in 8 1/2" hole to 3147m (slow progress in Roseneath shale)

Planned Activities: Drill ahead to next core point in Epsilon (3165m?) - core Epsilon and drill ahead to Murteree Shale

Contact

Carl Dorsch Managing Director Adelaide Energy Limited Mob:+61-0400-508-088 Email: c.dorsch@adelaideenergy.com.au Neil Young Chief Commercial Officer Adelaide Energy Limited Mob: +61-0417-850-245 Email: neil.young@adelaideenergy.com.au