Trading Update

LEPCO plc
9 August 2000

                     LEPCO plc ('the Company')

                          TRADING UPDATE

                                 
Update on activity on block 47/9c in the UK Southern gas basin and
bid in the UK 9th onshore licensing round.
                                 
The  Company is pleased to announce the outcome of its  evaluation
programme  on  block  47/9c in the UK  Southern  Gas  Basin.   The
Company  announced on 9 May that, as the newly appointed  Operator
of  block  47/9c  it  had commenced a full  re-evaluation  of  3-D
seismic  and  other  data held over this block.   This  evaluation
programme   has  been  undertaken  by  IKODA  Limited  under   the
management  of Dr Richard Stabbins, formerly Exploration  Director
of Goal Petroleum plc.

The  Company  has  now  concluded  that  block  47/9c  contains  a
potentially  commercial  gas discovery  and  has  advised  the  UK
Department of Trade and Industry that it is committing to drill  a
well on the block subject to finding suitable farm-in partners.

The  Company is also pleased to announce that it has been  advised
by  the  UK  Department of Trade and Industry  that  it  has  been
successful  in its application for acreage in the UK  9th  Onshore
Licensing Round and has been offered a 20 per cent interest  in  a
licence  over 11 blocks.  Further details on the acreage  will  be
released shortly upon completion of final award of the licence.

For further information contact:

     Peter Wilde          LEPCO plc      020 7233 5245
     Graham Cole         Beeson Gregory 020 7488 4040