Issue of Shares

For Immediate Release 7 January 2008 ELIXIR PETROLEUM LIMITED ("Elixir" or "the Company") EXERCISE OF OPTIONS & ISSUE OF SHARES Application has been made for the admission to trading on AIM of a total of 264,200 ordinary shares in the capital of the Company following the exercise of an equivalent number of 5 February 2008 options ("Scheme options") at an exercise price of A$0.001. The Scheme options were issued to option holders of Gawler Resources Limited during the recently-completed merger with Elixir by way of a Scheme of Arrangement. Dealings in the new ordinary shares are expected to commence on 10 January 2008. For further information please contact: Elixir Petroleum Limited Alex Neuling, Company Secretary +61 8 9440 2650 Bankside Consultants Michael Padley / Susan Scott +44 207 367 8888 Seymour Pierce Limited +44 207 107 8000 Jonathan Wright ---END OF MESSAGE---