Licence Update

Europa Oil & Gas (Holdings) PLC
06 October 2005



                        Europa Oil & Gas (Holdings) plc



             Licence Update - Blocks 41/24 and 41/25, UK North Sea


The Directors of Europa Oil & Gas (Holdings) plc ('Europa') are pleased to
announce that the UK Department of Trade and Industry has confirmed that the
conditions for the continuation of Licence P1131, covering UK North Sea Blocks
41/24 and 41/25, have been satisfied.  Licence P1131, which is held 100 per
cent. by Europa, contains two gas condensate discoveries with combined potential
gas reserves of 93 billion cubic feet, located 9 km off the Yorkshire coast.



The continuation of the licence, originally awarded as a Promote Licence, will
enable Europa as Exploration Operator to proceed with the drilling of an
appraisal well on the 41/24 gas condensate discovery.  The well is planned to
evaluate the long term performance of the reservoir, which in an earlier test,
flowed at 35 million cubic feet per day.  This flow rate is comparable to test
results achieved by producing North Sea gasfields and equates to 6,000 barrels
of oil equivalent per day.  The well, if successful, will be retained as a
future production well.  Europa is currently in discussions with a number of
potential partners to assist in the development of the field.



Paul Barrett, Managing Director of Europa, said 'We look forward to drilling the
appraisal well, so that we can proceed to develop the reserves.  The economics
of this project were assessed as favourable a year ago using a gas price of 25p
per therm.  Since then, prices have risen to 60p per therm, substantially
improving the net present value of the project.'





For further information, contact:

Europa Oil & Gas (00 33 563 33 18 97)
Paul Barrett

Citigate Dewe Rogerson (020 7638 9571)
Martin Jackson / George Cazenove

Westhouse Securities LLP (0161 838 9140)
Tim Feather




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