Operational update

EUROPA OIL & GAS HOLDINGS PLC                         

                              OPERATIONAL UPDATE                               

The Directors of Europa Oil & Gas (Holdings) plc ("Europa") are pleased to
provide an operational update on a number of projects in three of its areas of
activity - Romania, UK and Western Sahara.

Romania

Seismic Acquisition Programmes

Seismic acquisition in the Bacau Concession (EIII-4) commenced on 27 March. The
programme is designed to mature two leads identified on an earlier survey for
drilling in late 2006 or early 2007. The survey crew will move onto a similar
survey on the Cuejdui Concession (EIII-3) later in April and then on to acquire
a major survey south of Europa's Bilca-Fratauti development in the Brodina
Concession (EIII-1).

Field Development

Work progresses on the Bilca-Fratauti Development. The Operator, Aurelian Oil &
Gas, has informed the group that the current estimate for production start-up
is late July 2006. This development will significantly increase Europa's
production levels during the second part of 2006.

Appraisal Drilling

Europa and its Czech co-venturer, MND, are in the advanced stages of
negotiating the terms of an extension to the Brates Concession (EPI-3) of up to
three years. The work programme will provide for the appraisal of the
Burdigalian gas sands encountered in the Costisa-1 well and further evaluation
of exploration potential of the remainder of the concession area.

UK

North Sea

Europa has begun, with the services of Aberdeen-based Peak Group, to plan the
drilling of 41/24-D, a gas condensate appraisal well anticipated to be drilled
in mid-2007. Peak brings a highly competent engineering team to the project.
Europa is planning to utilise underbalanced drilling technology to drill a 500m
reservoir section which will be tested and potentially retained as a future
producer.

Onshore

The seismic reprocessing on PEDL150, the exploration acreage surrounding the
Whisby Field, Lincolnshire, is almost complete. The results to date show a
dramatic improvement in data quality and prospectivity. Under the terms of the
farm-out with Valhalla Oil & Gas, prospect-specific seismic acquisition will be
undertaken if necessary prior to selecting a drilling location.

Planning work continues on the Holmwood prospect in PEDL143, Surrey. Europa is
taking a deliberately cautious approach to this project, fine-tuning site
selection and environmental issues prior to a formal submission in the next few
weeks.

Western Sahara

Europa was part of a delegation visiting Western Sahara, where its two
Concession agreements, signed in London on 16 March, were ratified by the
Government on 27 March. A reconnaissance of Europa's Bir Lehlou Block, on the
Algerian border, indicated the potential for undertaking geological fieldwork
in the liberated area perhaps as early as late 2006.

For further information, please contact:

Europa Oil & Gas (Holdings) plc                             [phone]
                                                                             
Paul Barrett                                                                 
                                                                             
Westhouse Securities LLP                                     [phone]
                                                                             
Tim Feather