Project Margarita Update

Empyrean Energy PLC
25 June 2007





                              Empyrean Energy PLC
                  ('Empyrean' or the 'Company'; Ticker: (EME))

                    Project Margarita, Gulf Coast Texas USA
                    ---------------------------------------

AIM quoted Empyrean Energy PLC today announces the following update with regards
the drilling program at Margarita:

1. AGAVERO PROSPECT

The operator of the Agavero #1 well has advised that the well spudded on 21 June 
and is currently drilling ahead at 2,272 feet (693 metres) to target and final 
depth of 3,500 feet (1,341 metres).

2. DONA CARLOTA PROSPECT

It is expected that production testing of the Dona Carlota #1 well will commence
later this week. Some delays have occurred due to bad weather.

Interpretation of wire line logs of the target Frio 1.33 sand in the Dona
Carlota #1 well indicate a gross gas zone of 13.9 metres and net gas pay of 5.6
metres over the interval 1,423.2 to 1,437.1 metres with gas on rock and no
water.

As with the successful initial three well program, tie in of any commercial
discovery made on these prospects will be rapid as the project area is crossed
by a number of gas pipelines with access rights and available capacity.

The prospects have the following mean recoverable gas reserve potential and
total depths;

Prospect Name  Mean Rec Reserves    Total Depth     Status
Dona Carlota   0.62 bcf             1,524 m         Drilled gas discovery
Agavero        0.70 bcf             1,340 m         Drilling
Climaco        1.60 bcf             1,980 m         To be drilled

Participants in the Margarita Project are:
Empyrean Energy PLC*          44.00%
Sun Resources NL#             20.00%
Victoria Petroleum NL#        20.00%
Wandoo Energy LLC +           16.00%
Total:                        100.00%

# ASX listed
* AIM listed
+ USA Private Interest

The information contained in this announcement was completed and reviewed by the
Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has
over 40 years experience as a petroleum geologist.

For further information: 
 
Charlie Geller/ Ed Portman 
Conduit PR 
Tel: [phone] 
 
Empyrean Energy plc 
Tel : [phone] 
 
Rod Venables/ Cecil Jordaan 
HB Corporate 
Tel: [phone] 



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