CENTRAL PETROLEUM LIMITED — Capital/Financing Update 2007

Jul 23, 2007

ASX ANNOUNCEMENT RELEASED to the ASX DATE: 240707

TO: Manager, Company Announcements Australian Stock Exchange Limited CONTACT: John Heugh +61 8 9474 1444

Options Underwriting and Placement Completed Raising $9.0 million

Central Petroleum is delighted to announce the successful completion of the underwritten exercise of options with an expiry date of 30 June 2007 together with a placement of shares arranged through its underwriter, Martin Place Securities Pty Limited (“MPS”), which raised a total of $9,007,650.20 before costs.

Since the Company’s announcement on 9 July 2007, a further 39,074,065 ordinary fully paid shares have been allotted under the underwriting and placement arrangements with MPS. In addition, 3 million options have been issued to MPS with a conversion price of 25 cents and an expiry date of 30 June 2010, which form part of the underwriting and placement fees due to MPS.

These issues bring the total number of securities on issue by the Company to-date to that disclosed in the Appendix 3B issued on 9 July 2007 which, for convenience, are summarised below:

Listed	ordinary shares	165,133,639
Unlisted ordinary shares		10,789,864
Unlisted options exercisable at:
-	25 cents expiring 31 January 2010	300,000
-	20 cents expiring 31 May 2010	21,250,000
-	25 cents expiring 30 June 2010	3,000,000
-	20 cents expiring 20 February 2011	8,000,000

Central Petroleum would also like to advise that copies of the company’s Prospectus dated 11 July 2007 for the non-renounceable entitlement issue of options, have been despatched to eligible shareholders, together with entitlement notices, in accordance with the timetable announced on 11 July 2007. The closing date of this offer is 17 August 2007.

Yours faithfully

Central Petroleum Limited

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John Heugh

Managing Director