Europa Set to Spud Three Wells in Three Months

Europa Oil & Gas (Holdings) plc on Tuesday issued an operational update on some of the company's near-terms exploration activities.

Europa anticipates spudding three wells in the next three months. In addition, the company expects at least another two well in its 2007 drilling program.

UK onshore - PEDL143 (Holmwood Prospect - Weald Basin)

Europa and its partners have submitted a Planning Application for the Holmwood-1 exploration well. The application is supported by a full Environmental Impact Assessment and Environmental Statement, which have taken over six months to complete. To ensure minimal impact, the drilling location is in isolated Forestry Commission land and the subsurface target, some 1,200 meters to the south, will be reached by directional drilling.

UK onshore - PEDL150 (East Midlands Oil & Gas Province)

Europa and partners Valhalla Oil & Gas are anticipating commencing the PEDL150 2D seismic acquisition program on the 19th March. Surveying of the lines is now well advanced, with a total of approximately 50km of new data planned. There are currently 3 exploration leads over the license and the new seismic has been designed to identify a 2007 drilling location on one or more of these leads.

Romania onshore - EPI-3 (Costisa test - Carpathian Oil & Gas Province)

Following a review of the proposed Costisa-1 re-entry, the decision has been taken to drill a new vertical well, Costisa-2, located 190 meters NNE of the original well. Drilling a new vertical borehole is anticipated to be the same order of cost as the proposed Costisa-1 re-entry and is seen as a lower risk alternative. Europa is now in the process of permitting the wellsite and it is expected Costisa-2 will spud in mid May, depending on the progress of the permitting.

Romania onshore - EIII-1 (East Radauti and Arbore Prospects - Carpathian Oil & Gas Province)

The anticipated spud date of the East Radauti-1 well is in mid-April, followed by the Arbore-1 well in mid-May. These wells, which will target "Bilca-style" gas prospects, will each take one month to drill and complete. Work continues on identifying a possible drilling location on the large Voitinel prospect for later in 2007.

France onshore - Bearn des Gaves (Aquitaine Basin)

Europa has been advised by the French authorities that the concession has been approved by the Conseil General des Mines and the award will be published in the coming weeks.

Egypt onshore - West Darag Onshore (Gulf of Suez Margin)

Europa has been advised by the Egyptian authorities that the Concession Agreement has been ratified by the People's Assembly.

Paul Barrett, Managing Director, said, "Much progress has been made on a number of projects and it will be extremely satisfying to start our 2007 drilling campaign next month."

Europa Oil & Gas (Holdings) plc focuses on the production and exploration of hydrocarbons in Europe and North Africa. Europa currently produces 600 barrels of oil equivalent per day from its operations in the UK, Romania, and the Ukraine. Operating a balanced portfolio, Europa also has field appraisal and exploration activity on a number of projects in the UK and Romania and a strong new ventures program across Europe and the North African region.