Inclusion Criteria:

• Patient is between 18 and 60
• Patient is documented to be HBsAg positive for > 6 months.
• Patient with compensated hepatic function.
• Nucleoside treatment-naïve subjects of either gender
• Patient is HBeAg negative. Patient is HBV DNA positive with DNA levels ≥ 1 x 10(5) copies/mL within 30 days of baseline.
• Patient has ALT levels which are in the range of ≥2 x ULN and < 10 X ULN
• Patient who has not a history of ascites, variceal hemorrhage or hepatic encephalopathy.

Exclusion Criteria

• Patient is currently receiving antiviral or corticosteroid therapy.
• Patients previously treated with lamivudine, adefovir, entecavir, telbivudine, clevudine, lobucavir, famciclovir or any other investigational nucleoside for HBV infection.
• Previous treatment with interferon must have ended at least 6 months prior to the screening visit.
• Treatment with nephrotoxic drugs, competitors of renal excretion, and/or hepatotoxic drugs within 2 months before study screening or during the study period
• Subjects who are currently participating in another investigational study or has been taking any investigational drug within the last 4 weeks prior to screening visit.
• Patient is coinfected with HCV, HDV or HIV.

• Patient with following clinical evidence

  • Decompensated liver cirrhosis (Child class B,C: CPT score ≥ 7) or hepatocellular carcinoma
  • Significant gastrointestinal, renal, bronchopulmonary, neurological, cardiovascular, oncologic or allergic disease
• Previous organ transplantation
• Patient has a clinically relevant history of abuse of alcohol or drugs.
• Patient is pregnant or breast-feeding.
• Patient is unwilling to use an "effective" method of contraception during the study and for up to 3 months after the use of study drug ceases.
• Patient has α-Fetoprotein more than 20ng/mL
• Patient has Hemoglobin <11g/dL (Male), 10g/dL (Female) or WBC count < 4,000/mm3 (PMN<1,500/mm3) or Platelet count <80,000/mm3
• Patient has creatinine clearance less than 60mL/min as estimated by the following formula: (140-age in years) (body weight [kg])/(72) (serum creatinine [mg/dL]) [Note: multiply estimates by 0.85 for women]