Drilling Update

Egdon Resources PLC
09 January 2008



9 January 2008                                            For Immediate Release

                              EGDON RESOURCES PLC

                           ('EGDON' or 'the Company')

                        Result of Tees Exploration Well

Egdon Resources Plc (AIM:EDR) the onshore UK focused energy company today
provides an update on the results of the Tees Prospect exploration well
(designated 42/27a-3) drilled in licence P.1054 (block 42/27a) where the Company
holds a 10% interest.

The well, operated by RWE Dea UK Limited, and located approximately 20
kilometres south-east of Flamborough Head, was targeting the Tees Prospect, a
Lower Permian Leman Sandstone structural closure mapped on proprietary 3D
seismic data. The well reached a TD of 3238m (-3087 m TVDss) on 31 December
2007. The primary Leman Sandstone target was penetrated close to prognosis with
minor gas shows but the sands encountered were water bearing. There were also
good indications of gas within a 25m sandstone within the deeper Carboniferous
interval but following log evaluation these were not considered worth testing.
As such the well has been plugged and abandoned and the rig is being
demobilised.

The results of the well will be integrated into the block evaluation prior to a
decision being made on the future of licence P.1054 (Block 42/27a) and the
adjacent licence P.1133 (Block 42/26).

For further information please contact:

Egdon Resources Plc

Mark Abbott, Joint Managing Director                             01256 702 292
Andrew Hindle, Joint Managing Director                           0208 332 1200

Buchanan Communications
Ben Willey                                                       020 7466 5000
Nicholas Melson

Seymour Pierce
Jonathan Wright                                                  020 7107 8000

Notes to Editors:

The co-venturers in the P.1054 licence are as follows:

Company                                                               Interest
RWE Dea UK Limited (Operator)                                             55.0%
E.ON Rhurgas UK Caistor Limited                                           35.0%
Egdon Resources Plc                                                       10.0%
                                                                         100.0%

Company Background

Egdon is an established, UK-based energy company primarily focused on the
onshore UK. Egdon also has exploration interests in the offshore UK and France.
Egdon's shares are traded on the AIM market.

The Company has developed two distinctive businesses; an oil and gas exploration
and production business which has a portfolio of twenty three exploration
licences, and a gas storage business initially focused on the development of a
major salt cavern gas storage facility on Portland, Dorset.

Egdon plans to demerge the two businesses on 17 January 2008.

In accordance with AIM rules - guidance for mining, oil and gas companies, the
information contained in this announcement has been reviewed and signed off by
the Joint Managing Director of Egdon Resources Mark Abbott, a Geoscientist with
over 21 years experience.



                      This information is provided by RNS
            The company news service from the London Stock Exchange
       LILFELLIIAIIT