Re Agreement

White Nile Limited
08 July 2005

8th July 2005

               White Nile Limited ('White Nile' or 'the Company')
             'Signs Joint Study Agreement with Ethiopian Government'

White Nile Ltd, the AIM listed oil and gas exploration company, is pleased to
announce that it has agreed terms with the Ministry of Mines of the Federal
Democratic Republic of Ethiopia for a Joint Study Agreement ('the Agreement')
covering the area of southern Ethiopia known as the 'Southern Rift Basins'. The
approximate 70,000 sq km area is adjacent to Petronas' Gambela Block in the
north and borders South Sudan and Kenya to the south.

The Agreement is over a two-year period during which White Nile, in
collaboration with the Petroleum Operations Department of the Ministry of Mines,
will conduct geological and geophysical studies aimed at evaluating the
prospective nature of the area for oil.  At the conclusion of the Agreement
period or at any time before that, the terms allow the Company to enter
exclusive negotiations with the Ministry of Mines for an Exploration and
Production Sharing Agreement.

Exploration in the area is based on the geological concept that the
petroliferous Cretaceous and Early Tertiary basins of South Sudan extend
south-eastwards beneath the younger and less prospective East African rifts. The
Company, which has an initial cash commitment of US$450,000 plans to begin
geophysical operations in September with magneto-telluric and gravity surveys.

White Nile has recently commissioned an extensive seismic survey on its Block Ba
exploration concession in South Sudan. The Company is aiming to build a strong
regional presence focussing on oil exploration and production.

White Nile Chairman Phil Edmonds said: 'We are very pleased that we have agreed
terms with the Ethiopian Government and hope this is the start of a long running
relationship. We will work closely with the Ministry of Mines to evaluate the
area, which both parties believe has strong potential for future development,
especially due to it being adjacent to the highly prospective Gambela region.
Following the conclusion of the exploration work programme and the analysis of
the data collected, we aim to progress the project in tandem with the Ethiopian
Government to maximise the potential of the region as quickly as possible.

'We have recently raised an additional £7 million from institutions and have
engaged Canadian company Terra Seis Geophysical Ltd to conduct an initial
2,000km seismic survey on the Block Ba concession area in South Sudan. We are
also continuing to work closely with our partners and advisors to identify
further concession areas in Southern Sudan and adjacent countries, which will
fulfil the Company's strategy of creating a strong presence within the region
and help in the enhancement of its oil potential.'

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Contacts:

Phil Edmonds               White Nile Ltd                   Tel: [phone]
Hugo de Salis              St Brides Media & Finance Ltd    Tel: [phone]






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