Hykeham Update

HYKEHAM UPDATE

The Directors of Europa Oil & Gas (Holdings) plc are pleased to announce the
mobilisation of BDF Rig 28 to drill the main section of the Hykeham-1
exploration well, situated some 5km southwest of Lincoln. The agreed date for
mobilising to the site is November 9th and the well is expected to be completed
by early December.

The Hykeham prospect is a robust four-way dip-closed structure at Namurian
Basal Sandstone level, the reservoir in the nearby Whisby Oilfield where Europa
has a producing interest. Additional potential exists in the overlying
Westphalian channel sands play, demonstrated by the thick Loxley Edge oil pay
in Whisby-4 and this will also be tested by the Hykeham-1 well.

Europa will drill this well with its full 75% equity following Valhalla's
decision not to exercise their option to increase their working interest to
50%.

Paul Barrett, Managing Director of Europa said "The opportunity has arisen to
drill Hykeham with BDF28 earlier than expected. This is the lowest risk of the
prospects in our portfolio and as such we are comfortable proceeding with a 75%
working interest. Success will translate to a significant increase in group
reserves and go straight to the bottom line in terms of production revenues. We
look forward to drilling the well and announcing the results in time for
Christmas."

For further information, please contact:

Paul Barrett Europa Oil & Gas [phone]
Jonathan Wright Seymour Pierce [phone]