Lee was defeated by New Zealander Chantelle Cassidy of Tokoroa who had only just scrapped into the 32 player field.
Second qualifier and defending champion, Minjee Lee of Perth, however, had a much easier time defeating Sue Wooster of Victoria 7&6.
Spain's Luna Sobron, who finished as the third qualifier, defeated New Zealander Hanna Seifert of Hamilton 5&4.
Victoria's Su Hyun Oh, defeated the Gold Coast's Samantha Foley 6&5.
Australia's second highest ranked amateur at present, Hannah Green, is through to round two after defeating Korean Ju Yeon In.
The remaining sixteen players will tackle round two tomorrow subject to the heat issues facing Adelaide at present.
"Round one scores":http://www.golf.org.au/default.aspx?s=newsdisplay&id=78975