Australian Worldwide Exploration Limited has committed to the services of the Ocean Patriot offshore drilling rig that will conduct AWE’s expanded exploration programme in New Zealand and Australia. In this programme, AWE will participate in 9 wells in New Zealand and a further 3 wells in Australia. The drilling activity will commence in Q3, 2006 and extend through to the end of 2007.

The expanded programme includes:

Well Name Basin and Permit Operator AWE Equity Planned Timing* Cutter-1 Canterbury – PEP 38259 Tap Oil 25% carried Q3, 2006 Hector-1 Taranaki – PEP 38483 AWE 44.317% Q4, 2006

Tui Area Dev’t. (4 wells) Taranaki – PMP 38158 AWE 42.5% from Q4, 2006 to Q1 2007 Tieke-1 Taranaki – PMP 38158 AWE 42.5% Q2, 2007 Taranui-1 Taranaki – PMP 38158 AWE 42.5% Q2, 2007 West Cape-1 Taranaki – PEP 38481 AWE 40.0% Q2 2007 Henry-2 Otway – VIC/P 44 Santos 25.0% from H2, 2007 Netherby-1 Otway – VIC/P 44 Santos 25.0% from H2, 2007 Pecten East-1 Otway – VIC/P 44 Santos 25.0% from H2, 2007

* Well timing is estimated, and subject to confirmation.

The expanded drilling programme will be conducted in 2 of our key cornerstone asset areas, the Taranaki Basin and the Otway Basin. AWE will retain a high level of equity in the programme, following the recent acquisition of New Zealand Overseas Petroleum Limited, which included an increased exposure to the Tui Area oil development and the nearby exploration prospects. AWE will operate 8 of the 12 wells in this near continuous drilling programme.

The exploration programme will also retain some added flexibility to allow for additional drilling in the committed time frame. This will allow some limited appraisal activity in the event of a discovery in the exploration programme.

Commenting on the drilling programme, AWE’s Managing Director Mr. Bruce Phillips said: This is the largest drilling campaign in AWE’s history and constitutes a significant investment in the future growth of the Company.

"The environment for offshore drilling rigs has changed dramatically recently and long commitment times are now becoming a reality in this industry segment. In the increasingly competitive drilling market, we are very happy to commit to the services of the Ocean Patriot which will ensure that AWE and its shareholders gain exposure to a very substantial exploration and development programme from 2006 through to the end of 2007.

"AWE’s drilling is targeting organic growth opportunities in two of its four cornerstone asset areas, namely the Taranaki Basin in New Zealand and the Otway Basin in SE Australia. This activity will also be preceded by the drilling of 2-3 exploration wells in the next quarter in another of our cornerstone areas, the Perth Basin in Western Australia. "We look forward with considerable optimism for these campaigns."