Placing of Shares/Acquisition

WESTMOUNT ENERGY LIMITED
12 August 1999



WESTMOUNT ENERGY LIMITED
PLACING OF 2,000,000 NEW SHARES
ACQUISITION OF INCREASED INTEREST IN FUSION OIL & GAS NL

Westmount Energy Limited ('Westmount'), the oil investment company quoted on
the Alternative Investment Market ('AIM'), today announced that it has agreed
to support a fundraising of A$2.6 million (approximately £1.1 million) by
Fusion Oil & Gas NL ('Fusion'), by subscribing for up to 15,000,000 new shares
in Fusion at an issue price 13 cents per share (approximately £800,000) (the
'Acquisition').

Fusion, in which Westmount currently holds a 14 per cent. stake, has
exploration interests offshore West Africa in Mauritania, the Republic of
Gambia, Senegal, Guinea-Bissau, the Republic of Ghana and the Republic of
Liberia.  Following the Acquisition, Westmount's stake in Fusion will increase
to approximately 35 per cent. of Fusion's enlarged share capital.

The fundraising by Fusion will allow that company to continue the development
of its oil and gas assets offshore West Africa prior to a proposed application
for listing next year on a recognised stock exchange.

In order to finance the Acquisition, Westmount has conditionally placed,
through Investec Henderson Crosthwaite Securities ('IHCS'), a division of
Investec Bank (UK) Limited, 2,000,000 new 10p ordinary shares (the 'New
Shares') in the share capital of Westmount at 25p per share (the 'Placing'). 
Under the Placing, IHCS will subscribe for 400,000 New Shares.  The balance of
the Acquisition will be financed out of existing cash resources.

The Placing is conditional on the New Shares being admitted to trading on AIM.
Admission is expected to occur, and dealings in the New Shares are expected
to commence, on 13 August 1999.  The New Shares will represent approximately
14.8 per cent. of Westmount's enlarged share capital.

The expenses of the Acquisition and the Placing are approximately £60,000,
including fees payable to IHCS in connection with the Acquisition and the
Placing of £50,000.

Commenting on the Acquisition, Derek Williams, Chairman of Westmount, stated:

'Westmount will hold a substantial stake in Fusion following the placing and
have the opportunity to participate in one of the world's most sought after
petroleum provinces at low cost.'

Enquiries:

Derek Williams         Westmount Energy Limited           0171 351 2925
Chairman

Charles Hue Williams   Investec Henderson Crosthwaite        
Divisional Director    Securities                         0171 597 5031


Notes to editors:

Information on Westmount

Westmount is a Jersey, Channel Islands, based independent oil company and, in
addition to investments in Fusion, its investments include an overriding
royalty interest in the North Sea producing Buchan oilfield, oil and gas
production and exploration working interests and overriding royalty interests
in the Gulf of Mexico and approximately 14 per cent. of the issued share
capital of Desire Petroleum plc.  Through its investment in Desire Petroleum
plc, Westmount is interested in oil exploration offshore the Falkland Islands.

Information on Fusion

Fusion is a Perth, Western Australia, based independent oil company formed
through a joint venture between IKODA, a geoscience consultancy based in
London and Perth, and West Oil NL an oil and gas exploration company listed on
the Australian Stock Exchange.

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 per
cent.); Mauritania shallow water Blocks 4 and 5 (10 per cent.); Mauritania
Block 3 (10 per cent.); an offshore Gambia Technical Co-operation Agreement
(100 per cent.); a Technical Co-operation Agreement covering the AGC Joint
Development area (100 per cent.); the Ghana-North Tano Exploration Licence (90
per cent.) and an equity interest of 30 per cent. in an exclusive option over
Liberia Block A.  Fusion also has an ongoing programme of new venture
evaluation in West Africa which includes further exploration opportunities and
potential acquisitions of producing assets.

Fusion's Mauritania farm-out arrangements with Woodside and British Borneo

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 per cent. 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 per cent.
of the deep water Blocks 4 and 5 and to 3 per cent. of the shallow water
Blocks 4 and 5 and 3 per cent. of Block 3.