Placing of Shares

Egdon Resources PLC
25 September 2007




25 September 2007                                         For Immediate Release

                              EGDON RESOURCES PLC

                       Placing of Ordinary Shares and TVR

Egdon Resources Plc (AIM: EDR, 'Egdon' or the 'Company') is pleased to announce
the placing of 2,325,582 new ordinary shares of 1p each at 215p per share (the
'Placing Shares') to raise £5 million before expenses (the 'Placing'). The
Placing Shares were placed by Seymour Pierce Limited with new and existing
institutional investors. Application has been made for the Placing Shares to be
admitted to AIM and admission of the Placing Shares is expected to take place on
28 September. Following the Placing, the Company will have 67,791,346 ordinary
shares in issue and an equivalent number of voting rights.

The net proceeds of the Placing receivable by the Company, which are expected to
be £4.8 million, will provide equity capital for Portland Gas NI Limited
('Portland Gas'), a wholly owned subsidiary within the Egdon group of companies,
to progress activities in its recently announced new project in Northern
Ireland. Portland Gas is evaluating the potential of a Permian salt sequence in
the Larne area of Northern Ireland to create caverns to store natural gas. The
company has commenced an Environmental Impact Assessment for the proposed
project and plan to commence acquisition of a 3D seismic programme during
October to define the distribution and thickness of the salt within the area
of interest.

For further information please contact:

Egdon Resources Plc

Andrew Hindle, Joint Managing Director                        020 8332 1200
Mark Abbott, Joint Managing Director                          01256 702 292

Buchanan Communications
Ben Willey 020 7466 5000

Seymour Pierce
Jonathan Wright 020 7107 8000

Notes to Editors:

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 exploration licences containing identified oil and gas prospects
    ranging from discoveries under appraisal through to higher risk but higher
    reward 'wild-cat' exploration prospects.


  • 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 or soon after 21 December 2007.

Portland Gas NI Limited

Portland Gas NI Limited, a Northern Ireland registered company, is one of a
group of companies owned by Portland Gas Limited, a wholly owned subsidiary of
Egdon Resources Plc. The Portland Gas group of companies, initially set up to
develop the Portland project in Dorset, will seek to make a significant
contribution to the UK's energy infrastructure and will seek to acquire and
develop a portfolio of gas storage assets in the UK and internationally. Details
of the group's activities can be found at the Portland Gas website
www.portland-gas.com.



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