EMERALD RESOURCES NL — Regulatory Filings 2003

Jun 23, 2003

ASX ANNOUNCEMENT

MATRIL OIL NL (SUBJECT TO DEED OF COMPANY ARRANGEMENT) ("the Company")

As you are aware, since the commencement of the Administration of the Company on 16 October 2002 we have actively sought expressions of interest from parties wishing to either inject capital into the Matrix Oil Group of Companies and/or acquire part or all of the assets of the Matrix Oil Group of Companies.

An offer has now been received and accepted in relation to the Asahan Production Sharing Contract and the Glagah Kambuna Technical Assistance Contract. Formal Sale and Purchase Agreements were executed by the Company on 13 June 2003 in this regard. There are however a number of conditions precedent for both agreements which need to be satisfied before they can be finalised. These conditions precedent are required to be satisfied on or before 31 August 2003.

My discussions are continuing with a number of interested parties with respect to the Langsa Technical Assistance Contract.

Shareholders may also be aware that a subsidiary of the Company, Matrix Oil (Langsa) Ltd commenced legal proceedings against Langsa FPSO Pte Ltd and PT Bawana Margatama in the High Court of Justice (Commercial Division) in the United Kingdom in October 2002. These proceedings were suspended in February 2003 pending the outcome of the Deed Administrators' negotiations with interested parties. These proceedings remain suspended at this time.

The outcome of the Administration of the Company for creditors and shareholders is currently uncertain and whilst the Company remains subject to a Deed of Company Arrangement I am unable to make a declaration under Section 104-145 of the Income Tax Assessment Act 1997 that I have reasonable grounds to believe that there is no likelihood that the shareholders of the Company will receive any return.

Dated this 24^th day of June 2003

VINCENT SMITH Joint and Several Deed Administrator

Arrest Margaret $\hat{P}^{\pm}$ is $\hat{P} \hat{P}^{\pm}$ . $\alpha$ , $\beta$ , $\beta$ yria. $\bar{L}$ is $-3.7 \beta \approx \frac{1}{4} \left( \frac{1}{4} \left( \lambda_1 \lambda_2 \right) \right)$ ,

10 Ord Street, West Radi, WA 6005 (PO Box 777), West Radi, WA 6872 Telephone: 086-9322-2022 Facsimile: 880-9322-1262 E-mail: 6. 0 0 0 gard com al-