EMERALD RESOURCES NL — Regulatory Filings 2007

Nov 5, 2007

==> picture [87 x 70] intentionally omitted <==

EMPIRE OIL & GAS NL

ABN 55 063 613 730 SUITES 7 & 8 154 HAMPDEN ROAD NEDLANDS 6009 WESTERN AUSTRALIA TELEPHONE 61 8 6389 2687 FACSIMILE 61 8 9386 6812 EMAIL info@empireoil.com.au WEBSITE www.empireoil.com.au\

6 November 2007

ASX Limited Company Announcements Office Level 4 20 Bridge Street SYDNEY NSW 2000

Dear Sirs

RE: EP 104/R1 CANNING BASIN, WESTERN AUSTRALIA – FURTHER TESTING OF THE STOKES BAY-1 WELL TO BE CONDUCTED ON RIG RELEASE

Testing of the Stokes Bay-1 well will continue after Century Rig 18 is released and moved off location.

Please find further details of the Stokes Bay-1 well testing and the forward planned operations.

Yours faithfully

==> picture [145 x 46] intentionally omitted <==

J L CRAIG MARSHALL Managing Director EMPIRE OIL & GAS N.L.

The EP104/R1 Joint Venture has agreed to release CDL Rig 18 and the rig was subsequently released from Stokes Bay 1 at 0900 Hrs on 6[th] November, 2007.

Testing operations to determine reservoir fluid composition will continue once the rig has been moved from the location and the testing crew obtains access to the wellsite. It is expected to take from one to two weeks for testing operations to recommence.

Fluids recovered to date still appear from salinity and density measurements to be drilling mud and associated fluids. Some 24% of the 12,000 barrels of drilling fluids lost during drilling and completion operations has so far been recovered.

Participants in the Permit(post earning):	Empire Oil and Gas NL14.80%ARC Energy Limited38.95% (Operator)Emerald Oil & Gas NL12.75%Pancontinental Oil & Gas NL10.00%Phoenix Resources PLC10.00%First Australian Resources Limited8.00%Indigo Oil PtyLtd5.50%