Sugarloaf Update

Empyrean Energy PLC
20 November 2007




                              Empyrean Energy PLC
                  ('Empyrean' or the 'Company'; Ticker: (EME))
             Sugarloaf Prospect, ('Sugarloaf'), Block B, Texas USA
             -----------------------------------------------------

•Kennedy - 1 Well electric logs indicate several extended zones of
potential gas pay for testing


Empyrean, the AIM listed oil and gas explorer and producer with assets in
Germany and USA today announces the following:

Kennedy - 1 Well
----------------

Well logging operations over the open horizontal portion of the Kennedy-1 well
have been completed and a 4-1/2 inch liner is presently being run to the
measured total depth of 16,750 feet.

Interpretation of the logs indicates several extended zones of potential pay in
the Austin Chalk upper zone. A liner is presently being run as the first step in
an extensive fracture stimulation and testing program.

The Kennedy-1 well log results are encouraging. We are still in the early stages
of appraising a new reservoir and stratigraphic play which will require the
careful selection of a fracture stimulation program to optimise the flow and
recoverability of hydrocarbons from this horizontal well. A further update will
be given when the date for commencement of the fracture stimulation and testing
program becomes known.

Sugarloaf-1 Well
----------------

The well is currently shut-in and the Operator is preparing to run completion
tubing in order to carry out longer term production and pressure tests.

Since the last report on Wednesday 14th November, gas and condensate production
has continued to decline and gas, condensate and water flows became
intermittent.  During this test period gas was produced at a maximum rate of
387,000 cubic feet per day.  A total of 51 barrels of condensate and 391 barrels
of water (mostly frac fluid but with formation water being produced in the
latter stages of the test) were also recovered over the period.

Analyses of the formation water are characteristic of a formation below the
Austin Chalk and it is likely that the frac has penetrated to below the Austin
Chalk target zone and is allowing water production into the well. Further well
testing will be required in order to confirm the source of the formation water
and hydrocarbons.

The Operator, Texas Crude Energy Inc. has advised that it does not expect
further tests to be carried out on the Sugarloaf 2 and 3 (middle and upper)
zones until the test on the Kennedy well has been concluded.

Further updates will be provided following developments.

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]/
[phone]


Rod Venables
HB Corporate
Tel: [phone]


Empyrean Energy plc
Tel : [phone]



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