Beach Petroleum Limited announces its expanding exploration program for 2007 and 2008. Beach has entered into farmin arrangements through which the Company will acquire interests in three high potential offshore exploration projects in Australia and New Zealand. Each of these projects has the potential to yield net oil reserves to Beach in excess of 20 mmb.

The new projects are:

PEP 38482 (offshore Taranaki Basin, New Zealand). Beach will earn a 20% interest by participating in Kopuwai-1, to be drilled in September/October 2007. T/38P (Bass Basin, offshore Tasmania). Beach will earn an 80% interest in a defined portion of the permit by participating in Spikey Beach-1, to be drilled in the second half of 2008.

T/39P (Bass Basin, offshore Tasmania). Beach will earn a 50% interest by participating in Peejay-1, to be drilled in the second half of 2008. This continues Beach’s strategy of maintaining exposure to higher reward projects as a balance to the Company’s lower risk/reward activities in the Cooper and Surat Basins.

Taranaki Basin

The Taranaki Basin is New Zealand’s primary hydrocarbon province and is geologically similar to the Gippsland and Bass basins with a Late Cretaceous to Early Tertiary hydrocarbon system.

The Kopuwai prospect lies 15km to the north of the Tui area oilfields and is interpreted to lie on the oil migration pathway from the hydrocarbon source area which charges Tui. The well will test a well defined structural trap with more than 30 sq km of areal closure and 70m of vertical relief interpreted.

Beach assesses the prospect to have the potential to contain more than 100 million barrels of recoverable oil.Kopuwai-1, which will be operated by AWE, is scheduled to spud in late September, 2007.