Adelaide Energy Limited (ASX:ADE) Otway Petroleum Project Weekly Drilling Report And Regular Project Update

Adelaide, April 28, 2010 AEST (ABN Newswire) - The Otway Petroleum Project is Adelaide Energy Ltd's (ASX:ADE) 100% owned suite of integrated production, development and exploration oil and gas assets, which are located in the South Australian section of the onshore Otway Basin.

Given the current drilling and other ongoing activity currently being undertaken by ADE in the Otway Petroleum Project, the company intends in this quarter to issue weekly drilling reports and regular project updates to investors on the progress being made in the various drilling and other project areas.

The Otway Petroleum Project (100% ADE) comprises:

a. PEL 255 : contains the Jacaranda Ridge 2 discovery + 5 extra targets

b. The Katnook Gas Assets consisting of:

- The Katnook Gas Processing Plant and associated infrastructure

- The Ladbroke Grove Gas Processing Plant and associated infrastructure

- Petroleum Retention Licences 1 (Wynn) & 2 (Limestone Ridge)

- Petroleum Production Licences 62, 168 & 202

- Existing gas pipelines to the Gas Plants from wells in the PPL's

- 13 Producing/shut in gas/gas liquids wells

c. PEL's 494 and 496 - 2 exploration licences awarded to ADE on 24 March 2009

WEEKLY DRILLING REPORT TO 0600 hrs 28 April 2010

----------------------------------------------------------------------------ITEM                                             DETAIL----------------------------------------------------------------------------Well name                                - Patrick - 1Permit                                   - PEL 255Participants                             - ADE - 100%Primary targets                          - Jacaranda Ridge/Sawpit sandstoneMeasured Depth (MD) - current            - 1,767 metres (m)MD @ end of previous week                - 901 mMetres drilled during week               - 866 mTarget depth - true vertical depth (TVD) - 2630 mTarget depth - measured depth (MD)       - 2675 m Total depth of well (MD)                 - 2953 m Activities during week                   - Drilled and set 9 5/8" casing                                         - Drilled out in 6 3/4" hole                                         - Directional drilling from 1,730 mCurrent activities                       - Drilling aheadSafety issues                            - NoneEnvironmental issues                     - None-----------------------------------------------------------------------------

PROJECT UPDATE

------------------------------------------------------------------------PROJECT AREA                    PROGRESS REPORT------------------------------------------------------------------------Drilling - Patrick-1  - see weekly drilling report------------------------------------------------------------------------Testing - Hollick-1   - Equipment is currently being mobilised to                         site to enable testing of the Hollick-1                         discovery once the drilling of Patrick-1                         has finished - due for mid-May------------------------------------------------------------------------New facilities        - Gas flows to the plant from the Limestone                         Ridge well, whilst still intermittent, have                         improved over the past week, as some typical                         commissioning troubles continue to be ironed out------------------------------------------------------------------------

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