Drilling Update

Fusion Oil & Gas PLC
13 November 2003

                              Fusion Oil & Gas plc

                          ('Fusion' or 'the Company')

                               Drilling update



LARGER OIL COLUMN INFERRED IN TIOF OIL & GAS DISCOVERY WELL, OFFSHORE MAURITANIA



Hardman Resources Ltd, a joint venture participant in Mauritania PSC B, issued
the following statement earlier today in regard to drilling activities:


'Progress:                  Since the last report (10 November) wireline logging operations have been
                            completed and the well is being prepared for plug and abandonment (as originally
                            planned) but with the status of being a significant new oil and gas discovery.

Hydrocarbon Shows:          Evaluation of further information obtained from wireline logging has confirmed
                            the following:



                              • Gross gas interval of 49 metres.
                              • Minimum gross oil interval of 39 metres confirmed from oil sampling and
                                pressure measurements.
                              • The minimum hydrocarbon column (confirmed) of 88 metres thickness has an
                                overall net reservoir sand ratio of approximately 45%.
                                Note:  The C-4-5 Tiof well was drilled on or close to the structural crest.
                              • Below the confirmed oil zone there is an additional 73 metre section with
                                poor reservoir quality which may be oil bearing.
                              • A high reservoir quality water bearing sand was encountered at the base of
                                the 73 metres of poor reservoir.
                              • Pressure measurements in the oil and water zones indicate that the
                                oil-water contact may be at or below the water sand (mentioned above).  This
                                could indicate a potential gross oil column thickness in excess of 100
                                metres.


Prospect Details:           The Tiof exploration well is testing an independent structural closure within a
                            Miocene channel sandstone system, believed to be of similar age to the oil and
                            gas reservoirs at Chinguetti and Banda.  The Tiof Prospect is adjacent to and
                            associated with a salt diapir and has a closure of approximately 50 sq kms (about
                            four (4) times larger than at Chinguetti).

                            On the basis of a possible inferred oil column of over 100 metres, Hardman
                            Resources' technical staff have estimated that the Tiof Field has the potential
                            to contain in excess of 200 million barrels oil recoverable.  The true oil water
                            contact and potential size of the Tiof Discovery will only be determined by the
                            drilling of one or more appraisal wells.

Well Location:              The Tiof exploration well was drilled with the drillship 'West Navigator'.  The
                            well is located approximately 25 kilometres north of the Chinguetti Oil Field, 90
                            kilometres west of Nouakchott, the capital of Mauritania.  Water depth at the
                            Tiof well location is approximately 1,080 metres.




                             Poune Exploration Well



Upon completion of the drilling operations at Tiof, the drillship 'West
Navigator' will sail to the Poune Prospect location, which is located
approximately 27 kms northeast of the Tiof Field and 48 kms north of the
Chinguetti Field in PSC Area B.'



Participants in PSC Area B are:


Woodside Mauritania Pty Ltd (Operator)                         35.0%
AGIP Mauritania BV                                             35.0%
Hardman Resources Ltd                                          21.6%
Fusion Mauritania B Limited                                    6.0%
Roc Oil (Mauritania) Company                                   2.4%'



As previously announced on 28 May 2003, Fusion has entered into an agreement
with Premier Oil plc regarding the disposal of its interests in Mauritania.
Subject to fulfilment of certain conditions, Fusion will receive cash payments
linked to all future production attributable to Fusion's current interests from
PSC A and PSC B.



Fusion's Managing Director, Alan Stein commented:


'This is an excellent result which has exceeded our expectations for this well
and supports our confidence in the prospectivity of the acreage.  Through our
agreement with Premier the Company has interests in future production
attributable to Fusion's current interests in PSC A and B, including the Tiof
and Poune wells, at no cost to Fusion.  If the Tiof discovery is declared to be
commercial, subject to fulfilment of certain conditions, Fusion will receive a
lump sum payment of US $2 million and then will receive a royalty payment for
every barrel of oil produced attributable to Fusion's current interest over the
life of the field according to a sliding scale linked to oil price.


Our own interpretation of the technical data supports today's statement by
Hardman that Tiof has the potential to contain more than 200 million barrels of
recoverable oil and that   there is also considerable follow on exploration
potential from other prospects and leads in the Tiof canyon system.  A reserve
of 200 million barrels, assuming maximum state participation and an average
sales price of between US $22 to 25 per barrel, would, we believe, provide an
estimated total royalty income net to Fusion over the life of the field of
approximately US $18 million, rising to US $23 million if the average sales
price were in the range US $25 to 28 per barrel.  These revenues would be
achieved without the need for Fusion to make any further investment. '



                                                               13 November 2003





Enquiries


Fusion Oil & Gas plc
Peter Dolan, Chairman                  Tel:       [phone]

                                       Email:   [e-mail]
Alan Stein, Managing Director          Tel:      [phone]

                                       Email:  [e-mail]

College Hill Associates                Tel:       [phone]
James Henderson                        Email:  [e-mail]
Phil Wilson-Brown                      Email:  [e-mail]






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