Adelphi quits E. Kalimantan exploration block

Australian firm Adelphi Energy Limited reported on Friday that it has assigned all of its interest in South Bengara-II exploration block

?Following the default by Adelphi?s farm-in partners to the South Bengara-II PSC and unsuccessful attempts by Adelphi to seek replacement funding partners in light of the current difficult economic climate, Adelphi assigned all of its interest in the PSC to an third unrelated party during the quarter. Adelphi has no further interest and funding obligations towards this PSC as a result of this assignment,? the company said without giving further detail.

Adelphi had 50.002 percent interests in the block, which is located onshore East Kalimantan.

In May 2009 Canadian firm Continental Energy which is one of Adelphi?s two partners in the block announced the block?s award was terminated due to the partnership?s inability to pay signing bonus.

?The consortium joint bid agreement which provided for the establishment of ACG and operations on the recently awarded South Bengara-II PSC, onshore Indonesia, has been terminated,? Continental said. (denny)