ADX ENERGY LTD — Capital/Financing Update 2007

Jul 16, 2007

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17 July 2007

Company Announcements Office Australian Stock Exchange Limited 20 Bridge Street Sydney NSW 2000

Dear Sir

Placement

The Board of AuDAX Resources Ltd (“AuDAX”) is pleased to announce the placement of 17,350,000 shares at 7 cents each to sophisticated investors to raise approximately $1.2m. No fees are payable on the funds raised.

Funds raised from this issue will be utilised:

• to meet the Company’s share of the additional costs to complete the drilling of the Vanessa gas discovery well in the Cooper Basin.

• additional working capital.

The Shares are issued without disclosure to investors under Part 6D.2 of the Corporations Act 2001. AuDAX provides this notice in accordance with section 708A(5)(e) of the Corporations Act 2001.

AuDAX notifies ASX (as operator of the prescribed financial market on which the Shares are or are to be quoted) that, as at the date of this notice, the Company has complied with the provisions of Chapter 2M of the Corporations Act 2001, as they apply to the Company, and section 674 of the Corporations Act 2001.

The Company is not in possession of any excluded information that would be required to be disclosed under section 708A(6)(e) of the Corporations Act 2001, being information that:

• a) has been excluded from a continuous disclosure notice in accordance with the ASX Listing Rules; and

• b) that Investors and their professional advisers would reasonably require for the purpose of making an informed assessment of:

  • (i) the assets and liabilities, financial position and performance, profits and losses and prospects of the body; or

  • (ii) the rights and liabilities attaching to the relevant securities.

Yours faithfully GARY J ROPER Chairman