Sugarloaf Update

Empyrean Energy PLC
27 September 2007



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

        Sugarloaf Prospect, ('Sugarloaf'), Blocks A & B, Texas USA
        ----------------------------------------------------------
   

TCEI JV Block A-1 Well
----------------------

The operator has advised that the fracture stimulation and testing of the zones
of interest that produced multiple hydrocarbon shows and gas flares in the TCEI
JV Block A-1 Well, during drilling, may involve specialist monitoring and
interpretation techniques that require equipment to be placed in a nearby well
bore during the fracture stimulation operations. At this stage the operator
intends to use the TCEI JV Block A-2 Well, for this specific purpose. The
information gained from this analysis will assist the operator in determining
the efficacy of the fracture stimulation techniques and further help to
establish the best way to develop the reservoir. Fracture stimulation and
testing operations will therefore likely commence on the TCEI JV Block A-1 Well
following the completion of drilling the TCEI JV Block A-2 Well. It is not
expected that this will affect the potential prospects for the TCEI JV Block A-2
Well in any way. The whole process is designed to maximise potential
productivity by utilising the best modern day techniques available.


Sugarloaf-1 Well (Block B)
--------------------------

Since our last report of 19 September Texas Crude Energy Inc ('TCEI') advises
that frac sand (proppant) has been drilled and washed from the well bore.
Running of tubing for flow testing the first zone is expected to commence
shortly.


Kennedy #1H Well (Block B)
--------------------------

TCEI has also advised that that at 6am Texas time on 26 September, 2007 the
Kennedy #1H exploration well, located in the onshore Gulf Coast Basin in Texas,
USA was at a depth of 6,100' (1,860 metres) and installing blow out preventers,
before preparing to drill ahead, after having run and cemented casing
successfully. The proposed total depth for this well is 17,570 feet Measured
Depth.

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: 
 
Jonathan Charles / Ed Portman 
Conduit PR 
Tel: [phone] 
 
Rod Venables / Cecil Jordaan 
HB Corporate 
Tel: [phone] 
 
Empyrean Energy plc 
Tel : [phone] 


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