Mr. Mohammad Fazil reports

ACL INTERNATIONAL LTD. UPDATE ON AMANAH TIMUR-1 WELL

ACL International Ltd.'s Amanah Timur-1 well at South block A has been plugged and abandoned at a depth of 347 metres. The planned total depth of 570 metres could not be reached due to stuck drill pipe. The driller was unable to free the stuck drill pipe, and, as a result, the company was not able to assess the two deeper objectives. ACL's subsidiary, Renco Elang Energy (REE), the operator, is working on future plans to appraise this discovery.

The Amanah Timur-1 well encountered up to four gas zones and some potential oil zones. During well control operations, gas was flared, and the company believes it to be from the well-developed 700 sandstone intersected from 336 metres to total depth at 347 metres kelly bushing. The decision to plug the well was due to the inability to free the stuck drill pipe and to ensure the various hydrocarbon zones were isolated.

This well is a potential new field discovery, and REE will work with the Indonesian Regulator to explore commercialization options and accelerate appraisal. Future wells would be intended to test the deeper 800 and 900 sandstones as well.

This completes the remaining drilling commitment for South block A. ACL is pleased with the results despite the fact that total depth could not be reached. This will now provide a longer-term viability for South block A around this discovery and other prospects that have been identified.

About ACL International

ACL's other Indonesian oil and gas assets include (a) 50 per cent of Langsa TAC, an offshore field with gross production of 884 barrels of oil per day and (b) 44.25 per cent in the South block A production-sharing contract, an onshore block located in the North Sumatra basin, which is one of the most productive hydrocarbon regions in Indonesia with over 80 known oil and gas fields. ACL's subsidiary, Renco Elang Energy, is the operator of South block A.

We seek Safe Harbor.