Linc Energy to spend up to $10m on oil exploration at Arckaringa Basin in South Australia November 17, 2008

Australian clean coal technology leader Linc Energy (ASX: LNC) will spend $9-$10m on oil exploration at key drilling targets in the Arckaringa Basin in South Australia, held by its subsidiary SAPEX Limited.

The company will drill approximately 10 to 15 oil exploration wells at 8 priority drilling locations in the Arckaringa Basin, with an initial budget of $9 to $10 million. It plans to commence drilling by the second quarter of 2009, with the program taking approximately 12 to 18 months to complete.

Linc purchased the exploration licences from SAPEX primarily for their coal potential, but is of the belief that they also hold some excellent high value petroleum opportunities.

Mr Peter Bond, Linc Energy’s Chief Executive Officer, said “We know we have a great asset in what has been obtained via the SAPEX merger but the oil exploration was always potentially a significant bonus for the Shareholders”.

Click here to read the full announcement.

For further information, please contact:

Mr Peter Bond
Chief Executive Officer
Phone: +61 7 32290800
E-mail: pab@lincenergy.com.au

or

James Moses
Fortbridge Consulting
Phone: +612 9331 0623
Mobile: +61 420 991 574
E-mail: james.moses@fortbridge.com