News 13 July 2007

Announcement made by Spitfire Oil prior to admission in accordance with rule 2 of the AIM Rules for companies.

COMPANY NAME:

Spitfire Oil Limited

COMPANY REGISTERED OFFICE ADDRESS AND IF DIFFERENT, COMPANY TRADING ADDRESS (INCLUDING POSTCODES) :

Registered Office Address: Clarendon House, 2 Church Street, Hamilton HM11, Bermuda
Trading Address: Clarendon House, 2 Church Street, Hamilton HM11, Bermuda

COUNTRY OF INCORPORATION:

Bermuda

COMPANY WEBSITE ADDRESS CONTAINING ALL INFORMATION REQUIRED BY AIM RULE 26:

www.spitfireoil.com

COMPANY BUSINESS (INCLUDING MAIN COUNTRY OF OPERATION) OR, IN THE CASE OF AN INVESTING COMPANY, DETAILS OF ITS INVESTING STRATEGY). IF THE ADMISSION IS SOUGHT AS A RESULT OF A REVERSE TAKE-OVER UNDER RULE 14, THIS SHOULD BE STATED:

The Company, through its wholly owned subsidiary Hurricane Fuels Limited (“Hurricane Fuels”) (together the “Group”) is a company formed to pursue the production of fuel oil and distillate from the Salmon Gums Lignite Deposit (the “Deposit”) in Western Australia. Hurricane Fuels has secured exploration licences over both the Deposit and the adjacent ground prospective for extensions of the Deposit. The funds raised in the placing will be primarily used to confirm the technical and economic potential of the Deposit and to complete a feasibility study to be conducted over the 24 months following Admission.

Depending on the results of the feasibility study, the Company plans to establish a mine and construct processing facilities at the Deposit to exploit the lignite resource by applying its proprietary Lignite2Value conversion process (“L2V”). Subject to commercial and technical feasibility and subsequent financing, the Group intends to produce between 5,000 and 20,000 barrels of oil and distillate products per day (which equates to 1.7 to 6.8 million barrels of liquid products per year) as well as associated by-products, including co-generated electricity, activated carbon, and metallurgical char . It is intended that the oil and distillate and the associated by-products will be sold to both local and export markets potentially including Kalgoorlie and the Goldfields region in Western Australia.

DETAILS OF SECURITIES TO BE ADMITTED INCLUDING ANY RESTRICTIONS AS TO TRANSFER OF THE SECURITIES (i.e. where known, number and type of shares, nominal value and issue price to which it seeks admission and the number and type to be held as treasury shares):

42,550,668 ordinary shares of US$0.0001 nominal value. Issue price of 60p per share.

CAPITAL TO BE RAISED ON ADMISSION (IF APPLICABLE) AND ANTICIPATED MARKET CAPITALISATION ON ADMISSION:

£10 million capital raising

£25.5million market capitalisation based on the subscription price of 60p per share.

PERCENTAGE OF AIM SECURITIES NOT IN PUBLIC HANDS AT ADMISSION:

61%

DETAILS OF ANY OTHER EXCHANGE OR TRADING PLATFORM TO WHICH THE AIM SECURITIES (OR OTHER SECURITIES OF THE COMPANY) ARE OR WILL BE ADMITTED OR TRADED:

None

FULL NAMES AND FUNCTIONS OF DIRECTORS AND PROPOSED DIRECTORS (underlining the first name by which each is known or including any other name by which each is known):

Mladen Ninkov (Non Executive Chairman)

Andrew Alexander Woskett (Chief Executive Officer)

Malcolm Roger Joseph Randall (Non-executive Director)

Rupert William Ashton Crowe (Non-executive Director)

Roger Goodwin (Non-executive Director)

FULL NAMES AND HOLDINGS OF SIGNIFICANT SHAREHOLDERS EXPRESSED AS A PERCENTAGE OF THE ISSUED SHARE CAPITAL, BEFORE AND AFTER ADMISSION (underlining the first name by which each is known or including any other name by which each is known):

Following a capital reorganisation immediately before admission:

Genex Limited 50.0%
Kefco Nominees Pty Ltd 11.67%
Mrs Lisa Revlins 5.49%
Kastin Pty Ltd 4.04%

After Admission

Citadel Equity Fund Ltd. 39.17%
Genex Limited 30.42%
Kefco Nominees Pty Ltd 7.10%
Mrs Lisa Revelins 3.34%

NAMES OF ALL PERSONS TO BE DISCLOSED IN ACCORDANCE WITH SCHEDULE 2, PARAGRAPH (H) OF THE AIM RULES:

None

(i) ANTICIPATED ACCOUNTING REFERENCE DATE
(ii) DATE TO WHICH THE MAIN FINANCIAL INFORMATION IN THE ADMISSION DOCUMENT HAS BEEN PREPARED
(iii) DATES BY WHICH IT MUST PUBLISH ITS FIRST THREE REPORTS PURSUANT TO AIM RULES 18 AND 19:

(i) 30 June
(ii) 31 December 2006
(iii) Annual audited accounts for the year ending 30 June 2007 due by 31 December 2007; Half yearly report to 31 December 2007 to be announced by 31 March 2008; Annual audited accounts for the year ending 30 June 2008 due by 31 December 2008.

EXPECTED ADMISSION DATE:

18 July 2007

NAME AND ADDRESS OF NOMINATED ADVISER:

Collins Stewart Europe Limited, 9th Floor, 88 Wood Street, London, EC2V 7QR

NAME AND ADDRESS OF BROKER:

Collins Stewart Europe Limited, 9th Floor, 88 Wood Street, London, EC2V 7QR

OTHER THAN IN THE CASE OF A QUOTED APPLICANT, DETAILS OF WHERE (POSTAL OR INTERNET ADDRESS) THE ADMISSION DOCUMENT WILL BE AVAILABLE FROM, WITH A STATEMENT THAT THIS WILL CONTAIN FULL DETAILS ABOUT THE APPLICANT AND THE ADMISSION OF ITS SECURITIES:

Addleshaw Goddard LLP, 150 Aldersgate Street, London, EC1A 4EJ

DATE OF NOTIFICATION:

13 July 2007

NEW/ UPDATE:

UPDATE