CORELLA RESOURCES LTD — Capital/Financing Update 2008

May 15, 2008

Phone: +61 8 9389 9400 Fax: +61 8 9389 8700 Email: info@exoma.net Web: www.exoma.net

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Ground floor, 47 Stirling Hwy, NEDLANDS, Western Australia 6009 PO Box 3445 BROADWAY NEDLANDS, Western Australia 6009 ABN 125 943 24

16 May, 2008

Mr Greg Coulson Australian Stock Exchange Level 8, Exchange Plaza 2 The Esplanade, Perth Western Australia 6000

ASX Drilling update

Glory Road-1 – Final Report

Report Date: 15 May, 2008 Project: East Texas Exploration Programme Location: Hardin County, Texas Well: Glory Road‐1 Spud Date: 12 April 2008 Exoma Working Interest: 33% Operator: Sterling Energy USA Operating, Inc. Objective: A 5.88bcf gas and 292,000 barrel oil target in the Yegua Formation. Target Depth (TD): 10,300 feet

Final Depth: 10,090 feet

Final Report: The well spudded on 12[th] April and reached a Final Depth of 10,090 feet against a plan to drill to a Target Depth of 10,300 feet. The Joint Venture is seeking to plug and abandon the well. Analysis of the well logs indicates the well has intersected the objectives and the hydrocarbons encountered are considered non‐ commercial.

The technical data gathered from this well will be reviewed over the next few months to enable finalisation of the drilling plans for Glory Road‐2.

Drilling updates will be reported every Wednesday in accordance with ASX Listing Rule 3.1

Please direct any enquiries to:

Brendan Egan on +61 8 9389 9400 or +61 414 816 716

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