Exclusive Licence

Regal Petroleum PLC
24 February 2003


Immediate release                                               24 February 2003


                              REGAL PETROLEUM PLC
                                   ('Regal')

        Exclusive licence awarded for oil and gas exploration in Romania


Following a competitive bidding process, the directors are pleased to announce
Regal has been awarded an exclusive exploration, development and production
licence for an area known as the EIV-1 Suceava Block ('Suceava Block') in the
North East of Romania by the National Agency for Mineral Resources of Romania ('
NAMR').

Location: The Suceava Block is one of the largest exploration and development
blocks in Romania with an area of 4,103 square kilometres and is located in the
Moldavia Platform, which contains several large commercial gas and condensate
fields.  The Suceava Block is located adjacent to and on the same geological
trend as the largest commercial gas field in Romania, operated by Romgaz (the
Romanian national gas company).

History: Several exploration wells were drilled in the Suceava Block in the
early 1960's for the purpose of obtaining geological information.  Even though
these wells were only drilled to a shallow depth, gas was discovered in 5 of
these wells.  Seismic surveys were performed on the block in early to mid
1970's.

Evaluation: Regal appointed a Romanian geological and geophysical company,
Prospectiuni S.A. ('Prospectiuni'), to perform an initial assessment on the
technical data package for the Suceava Block.  After reinterpretation and
assessment of the data they were able to define two prospective areas with
favourable conditions for hydrocarbon accumulations.  Prospectiuni have
indicated that there are additional targets to investigate in the Suceava Block.

Geological Data: The Suceava Block is situated in the Moldavia Platform.  The
geological setting includes: a Precambrian basement covered by the Paleozoic,
Mesozoic (Upper Jurassic - Cretaceous) and Tertiary (Eocene and Upper Miocene)
sedimentary sequences.  There are structural elements, especially extensional
and strike-slip fault systems, representing the results of different tectonic
events.

Analysis and interpretation of the available technical data (seismic, geological
and drilling) by Prospectiuni indicate the geological structures to be similar
to the structures in the hydrocarbon bearing reservoirs surrounding the Suceava
Block, including the aforementioned Romgaz field.  Prospectiuni have developed
two highly prospective targets (lead I and lead II).  These targets are at depth
intervals of between 500 to 1,500 metres.  Prospectiuni have identified the
existence of structural traps in these leads that could contain significant
hydrocarbons.

Development Strategy: It is proposed to perform seismic surveys on the Suceava
Block to reinterpret and assess additional data.  Interpretation of this seismic
data will clearly define the structural characteristics and stratigraphy of the
current prospective hydrocarbon plays.  Once the targets have been fully defined
and deemed appropriate, exploration wells will be drilled to determine the
presence, volume and characteristics of hydrocarbons.


For further information, please contact:

Regal                                                       Tel: [phone]
Frank Timis, Executive Chairman
Bill Humphries, Non-executive Director
Greg Lee, Managing Director

Buchanan Communications                                     Tel: [phone]
Bobby Morse / Catherine Miles



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