Final Results - Year Ended 30 June 1999

Westmount Energy Limited
8 November 1999





                           WESTMOUNT ENERGY LIMITED                           
                                                                              
             PRELIMINARY RESULTS FOR THE YEAR ENDED 30 JUNE 1999              

                                                                             
Westmount Energy Limited ('the Company') today announces its preliminary
results, as follows:

* Loss after tax of £58,451 (1998 Profit: £196,157).

* Turnover of £97,485 (1998: £204,796).

* Loss per share of 0.51p (1998 Earnings: 1.75p).

* The Company's income is derived principally from its overriding royalty     
  interest in the North Sea producing Buchan Oilfield, its overriding royalty 
  interests in the Gulf of Mexico and from profits realised on the sale of    
  investments.

* Since 30 June 1999 the Company has increased its stake to 38% in Fusion Oil 
  & Gas NL ('Fusion') with highly prized oil and gas exploration prospects    
  offshore West Africa.

* Through its investment in the AIM quoted Desire Petroleum plc ('Desire') the
  Company retains an important continuing interest in oil exploration offshore
  the Falkland Islands, and following Desire's merger with Gaelic Resources   
  plc, an interest in the appraisal of a gas discovery onshore Portugal.

Commenting on the results, Mr Derek Williams, Chairman stated:

'This is the first down-turn in profits since the Company was introduced to
AIM in 1995. The fall in turnover was due mainly to the exceptionally low
level of oil prices in the year. The Company is expected to benefit in the
current financial year from the substantial increase in present oil prices,
should these be sustained, and the successful well recently drilled in the
Gulf of Mexico. The Company's investments including the recent investment in
Fusion, have potential value significantly in excess of their carrying cost.'

CONTACTS:       

Derek Williams - Chairman, Westmount Energy Limited 
                 Tel: [phone]
Andrew Edwards - Investec Henderson Crosthwaite Corporate Finance
                 Tel: [phone]
Bobby Morse -    Merlin Financial & Corporate Public Relations 
                 Tel: [phone]

Attached: Full text of the Chairman's Review from the forthcoming Annual
Report, plus Consolidated Profit and Loss Account and Consolidated Balance
Sheet. 

Copies of this announcement will be available from the offices of Investec
Henderson Crosthwaite Corporate Finance, 2 Gresham Street, London EC2V 7QP up
to and including 25 November 1999.


CHAIRMAN'S REVIEW

The results for the year ended 30 June 1999 show a loss of £58,451 compared
with profits of £196,157 for the year ended 30 June 1998. This is the first
down-turn in profits since the Company was introduced to AIM in 1995. The fall
in turnover of £107,311 from £204,796 in 1998 to £97,485 this year, was due to
both the exceptionally low level of oil prices, which fell to below US$10 per
barrel in February 1999, and a reduction in income received from the Gulf of
Mexico due to the sale of the Group's Eugene Island producing property on 1
October 1998. The results also reflect reduced profits being realised from the
sale of investments compared with the previous year.

Since the year end, oil prices have improved substantially. In addition the
Directors expect the Company to benefit from a successful well recently
drilled at no cost to the Group, in the Eugene Island undeveloped area in the
Gulf of Mexico which was retained and farmed out to Forest Oil Corporation.

Since the publication of the Interim Report on 28 April 1999, the Company
announced on 12 August 1999 that it had agreed to support a further
fund-raising by Fusion Oil & Gas NL ('Fusion') a public un-listed company
based in Perth, Western Australia with highly prized oil and gas exploration
prospects offshore West Africa. The Company's subsidiary, Westmount Resources
Limited, has now subscribed for 15 million new shares at 13 cents Australian
per share which, added to the 5 million shares subscribed for in February 1999
at 10 cents Australian per share, will increase the Group's stake to 38% of
the present issued fully-paid share capital of Fusion at a total cost of
approximately £1 million. The Group now holds a significant interest in Fusion
with the opportunity to gain substantial exposure to one of the world's most
sought after petroleum provinces. As also reported on 12 August 1999 the
Company placed, through Investec Henderson Crosthwaite Securities, 2,000,000
new 10p ordinary shares in the share capital of the Company at 25p per share
to provide additional funds to finance this acquisition.

Through its investment in the issued share capital of Desire Petroleum plc
('Desire'), the Company still retains an important interest in exploration
offshore the Falkland Islands, and following Desire's merger with Gaelic
Resources plc ('Gaelic'), an interest in the appraisal of a gas discovery
onshore Portugal.

As reported previously, the Company has sold for £240,000 its interest in SL
Energy Waste Treatment Limited, through which company it held an interest of
9% in the Russian Econeft Oil Treatment and Recovery Project in the Komi
Republic. The sale proceeds were to be received over a period to 30 April 2000
from the cash flow of another project in Komi of the purchaser which was
provided as collateral security. Due to delays in the commencement of this
project, which has only recently been approved by the Russian State Duma, the
repayment period will almost certainly need to be extended.

The Board continues to operate the Company with a low level of overheads, in
particular, directors' remuneration has been maintained at a fixed level which
is in aggregate £75,000 per annum to the Company's three executive directors.
In view of the increasing time and effort being put in by all the directors of
the Group, the Board is proposing to grant options over up to a maximum of
1,000,000 new shares, expiring on 31 December 2004. Directors of the Company,
its subsidiary companies and any of the Company's representatives on the board
of its associated company, Fusion, will be eligible. Initially the Board
intends to grant options or rights equivalent to options over a total of
875,000 10p shares of the Company, with effect from 14 December 1999 at a
subscription price of 33.5p per share.

I set out below a review of the Company's investments.

United Kingdom - North Sea

The Group owns an overriding royalty based upon 0.5% of oil won and saved from
Licence P241 in the central North Sea, including approximately 90% of the
producing Buchan Oilfield operated by Talisman Energy (UK) Limited. In the
financial year ended 30 June 1999 oil won and saved from the P241 area
totalled 2,190,397 barrels, compared with 2,629,117 barrels for the previous
financial year. The shortfall was due partly to an unscheduled shutdown in
January 1999 for 28 days following a failure in the gas lift compressor. Since
the end of the financial year the platform was off-production for some 70 days
in the 

September quarter, for the installation of flexible risers and also for the
repair and upgrading work of the sub-structure, which will extend the
operational life of the platform. This work was completed and the platform was
back on-production at the end of September. The oil is passed through the
Forties pipeline system to shore. The installation of the flexible risers is
part of the re-development project to allow for a coil tubing drilling
campaign in 2000 and 2001, with two coil tubing drilling projects planned for
2000. Assuming success with this plan the remaining production from the Buchan
Oilfield is estimated in the range of 23 million barrels of oil through to the
end of the year 2006. Outside of the Buchan Oilfield there are other prospects
in the Licence P241 area which may be drilled in the future.


North America - Gulf of Mexico and Onshore Louisiana

The Group owns a 0.6167% overriding royalty interest in the South Timbalier
176 Field (Block 162) offshore Louisiana in the Gulf of Mexico, operated by
Tri-Union Development Corporation and Coastal Oil & Gas Corporation and a
0.375% overriding royalty interest in the College Point Field, located in St
James Parish, Louisiana, operated by Linder Oil Company. Total production from
these properties for the year to 30 June 1999 averaged 14 million cubic feet
of gas per day with remaining proved developed producing reserves of
approximately 25 billion cubic feet of gas. 

The producing area in which the Group owned a 5% working interest in the
Eugene Island 176 Field (Block 255) in the Gulf of Mexico, operated by CXY
Energy Offshore Inc., has been sold with effect from 1 October 1998. After
repayment of the non-recourse loan on the property net sales proceeds were
US$112,000. The Group retained an overriding royalty of 0.625% payable on
future production calculated from 1 October 2002. The undeveloped area in
which the Group held a 12.5% interest was farmed out to Forest Oil Corporation
on 11 February 1999 in exchange for an overriding royalty from total
production, calculated at 1.25% before payout and 1.5% after payout with the
option to convert to a 3.125% working interest. A successful well has been
drilled on the property at no cost to the Group, which commenced production in
mid-July 1999 and is currently producing in excess of 14 million cubic feet of
gas per day and 800 barrels of oil per day. It has been estimated that the
farmed out area could contain reserves of 50 billion cubic feet of gas and 5
million barrels of oil.


Falkland Islands - South Atlantic 
and Portugal - Onshore

The Company presently owns 5,500,000 ordinary shares of Desire at a carrying
cost of approximately 9p per share. The middle market closing price on 4
November 1999 of a Desire share was 38.5p. This holding provides the Company
with a substantial indirect investment in the North Falkland Basin and,
following Desire's recent merger with Gaelic, an interest in the appraisal of
a gas discovery onshore Portugal.

Although the analysis of the results from the first six wells drilled in the
North Falkland Basin, in two of which Desire had an interest, is not yet
complete, Desire has stated that it is already clear that considerable
quantities of good quality oil have been generated in the source rocks of the
basin. An extensive, thick, lacustrine source rock, of Cretaceous age, has
been encountered in Tranches A, B, C and F and, based upon seismic
correlation, also appears to be present in Tranches D, I and L. The
development of the North Falkland Basin was characterised by relative
quiescence, such that the source rock is, in most areas, its own seal. This
has resulted in the containment of most of the oil generated below the shallow
reservoir rocks, penetrated by all six wells, although some oil has migrated
into these reservoirs in Tranches A and B, albeit not in commercial
quantities.

It is likely that the potentially large volumes of oil generated may, however,
have migrated somewhere beneath the source rock seal and the next anticipated
round of exploration drilling in the North Falkland Basin will concentrate on
identifying reservoirs and traps beneath the seal. Desire's current effort in
Tranches C, D, F, I and L is focused on this.

The conclusion of the first round of drilling in the North Falkland Basin in
late 1998 coincided with the dramatic fall in the oil price which at that time
led to the departure of the drilling rig, the 'Borgny Dolphin'. 

Although the oil price has recovered in recent months, it will be some time
before the industry is ready to return to drill in the North Falkland Basin
because of the high costs involved. However, two factors may enhance the
prospect of drilling should the oil price remain firm. First, it is the
intention of the Falkland Islands and Argentine Governments to licence new
exploration areas west of the Falklands in the 'Area of Special Co-operation'
and, secondly, major drilling activity is planned offshore Brazil next year.
These factors are likely to renew interest in the North Falkland Basin and to
provide access to drilling rigs within reasonable distance and, hence, at more
reasonable cost.

Desire has completed a detailed analysis of the new seismic data acquired on
Tranches I and L and has received the preliminary results of a technical study
of the North Falkland basin performed by Robertson Research International
Limited which has confirmed the richness of the oil source rock encountered by
all of the six wells drilled to date. Desire is currently studying where this
oil may have accumulated with a view to identifying further drilling locations
and it intends to prepare farm out brochures for Tranches C, D, F, I and L and
actively to seek new partners for further exploration in the North Falkland
Basin.

In the meantime, following the merger with Gaelic, Desire will be involved in
the appraisal of the gas discovery, Aljubarrota No.2 in the Lusitanian Basin
in Portugal. It is anticipated that a first appraisal well to this discovery
could begin drilling before the end of this calendar year, which is expected
to be followed by additional appraisal and exploration drilling in the year
2000. Gaelic has a 25% interest in acreage covering a large part of the
Lusitanian Basin.

West Africa

The Group now owns 20,000,000 fully paid shares of Fusion representing 38% of
Fusion's fully paid shares in issue. It is Fusion's present intention to apply
for a listing for its shares on a recognised stock exchange within the next
twelve months.

Fusion has negotiated a number of agreements in various parts of Africa
including Mauritania, the Republic of Gambia, the Joint Agency of Senegal and
Guinea-Bissau ('AGC'), the Republic of Ghana and the Republic of Liberia.
These include the following: Mauritania deep water Blocks 4 and 5, 20%;
Mauritania shallow water Blocks 4 and 5, 10%; Mauritania Block 3, 10%; an
offshore Gambia Technical Co-operation Agreement, 100%; a Technical
Co-operation Agreement covering the AGC Joint Development area, 100%; the
Ghana-North Tano Exploration Licence, 90%; and an equity interest of 30% in an
exclusive option over Liberia Block A.

In  the Mauritania Blocks 3, 4 and 5, Woodside and British Borneo have funded
the acquisition of 8,000km of seismic and have the right to elect, later this
year, to fund the drilling of two wells to earn 70% of the venture. If
Woodside and British Borneo decide to earn this equity, then Fusion will be
free-carried through the estimated US$30-35 million work programme. The first
well to be drilled under these arrangements is expected to be in the deep
water of Blocks 4 and 5 during the last quarter of the year 2000. Under these
circumstances Fusion's present working interests would reduce to 6% of the
deep water Blocks 4 and 5 and to 3% of the shallow water Blocks 4 and 5 and 3%
of Block 3.

Fusion has recently completed a re-evaluation of data covering deepwater
Gambia which has resulted in the definition of previously unrecognised
deepwater potential. Fusion has submitted a petroleum licence application,
which is currently awaiting government approval.

Following Fusion's entry into the deepwater Technical Co-operation Agreement
covering the AGC Joint Development Area and the acquisition by Fusion of
seismic data the AGC has announced the division of the area into blocks for
licensing. Fusion has now submitted a Petroleum Licence application for a
deepwater block.

The Ghana-North Tano Exploration Licence is situated in the Tano sub-basin,
adjacent to the Cote d'Ivoire border. The licence comprises the onshore margin
of the Tano Basin, where significant oil seepages exist, and the nearshore
shelf surrounding the North Tano gas and oil field. The North and South Tano
fields are operated by the Ghana National Petroleum Corporation and are part
of an active field development scheme, aimed at supplying gas to a
barge-mounted electricity generating station located on the coast within the
Fusion licence. Fusion will evaluate possible field extensions and satellite
structures in the vicinity of the North Tano field and proposed
infrastructure, in addition to assessing large untested offshore exploration
plays and onshore potential.

Fusion is now assembling data to carry out a prospectivity review of Block A
offshore Liberia to earn equity in the area.

Fusion also has an ongoing programme of new venture evaluation in West Africa,
which presents further exploration opportunities and the potential for
acquisition of producing assets.

Corporate Strategy

The Company continues with its strategy of holding direct interests in
producing oil and gas fields, principally in the North Sea and the Gulf of
Mexico where there is upside potential for reserves and where substantial
operators are in place. These investments are targeted to maximise cash flow
from the funds invested. The Company also invests indirectly at low risk in
oil and gas exploration ventures in other parts of the world where there is
the possibility to provide considerable enhancement to shareholder value on
the funds invested. Participations are taken through companies which are at an
early stage of development, where seed capital can be provided for building up
and enhancing assets prior to raising public funds for bringing forward and
financing further development by listing on a recognised stock exchange. 

The Board regularly reviews the Group's portfolio of assets to ensure
satisfaction of the stated criterion of producing significant return in
respect of income, capital or both. The Group's investments, in the main have
potential value significantly in excess of their carrying cost. 

Derek G. Williams
Chairman
5 November 1999


CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 30 JUNE 1999

(Expressed in United Kingdom Sterling)

                                      1999                     1998
                                     £          £           £        £       
Turnover                                      97,485              204,796
Operating costs                              (53,632)            (112,856)
Operating profit before 
administrative expenses                       43,853               91,940
Administrative expenses                     (244,827)            (222,740)

Net operating (loss)                        (200,974)            (130,800)

Interest receivable                 30,743                 25,495
Profit on disposal of 
fixed asset                         28,367                      -
Profit on disposal of 
investments                         50,211                328,781
                                   109,321                354,276
Net (loss)/profit on 
ordinary activities
before taxation                               (91,653)             223,476
Tax on net income 
on ordinary activities                         33,202              (27,319)
(Loss)/profit retained 
for the year                                  (58,451)             196,157

Basic (loss)/earnings 
per share                                       (0.51)p               1.75p
Diluted (loss)/earnings 
per share                                       (0.51)p               1.71p


Turnover and operating costs for 1999 and 1998 related wholly to continuing
activities.

STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES      1999                1998
FOR THE YEAR ENDED 30 JUNE 1999                       £                  £

(Loss)/profit retained for the year              (58,451)            196,157
Currency translation differences on
foreign currency net investments                  (3,839)                  -
                                                  ______              ______
Total recognised gains or losses 
relating to the year                             (62,290)            196,157

Note of historical cost profits and losses
Reported (loss)/profit on ordinary 
activities before taxation                       (91,653)            223,476
Difference between a historical cost 
amortisation charge and the actual 
amortisation charge of the year calculated 
on the relevant amount                            24,712              24,161
Historical cost (loss)/profit on ordinary 
activities before taxation                       (66,941)            247,637
Historical cost (loss)/profit for the year
retained after taxation                          (33,739)            220,318

       
CONSOLIDATED BALANCE SHEET
AT 30 JUNE 1999

(Expressed in United Kingdom Sterling)

                                      1999                     1998
                                     £          £          £        £

FIXED ASSETS
Tangible fixed assets              331,224               456,106
Investments                        815,397               473,550
                                              1,146,621            929,656
CURRENT ASSETS
Investments                        223,339               223,339
Debtors                             43,167                40,713
Cash at bank                       417,809               747,814
                                   684,315             1,011,866

CREDITORS: Amounts falling due
within one year                    (56,970)             (136,707)
NET CURRENT ASSETS                 627,345               875,159
TOTAL ASSETS LESS CURRENT
LIABILITIES                      1,773,966             1,804,815
CREDITORS: Amounts falling due 
after more than one year                 -                13,559
                                  ________              ________
NET ASSETS                       1,773,966             1,791,256


SHARE CAPITAL AND RESERVES
Equity share capital                           1,149,653           1,119,653
Share premium account                            289,127             274,127
Profit and loss account                          335,186             397,476
EQUITY SHAREHOLDERS' FUNDS                     1,773,966           1,791,256

These financial statements were approved by the Board of Directors on 5
November 1999

Director D G WILLIAMS