Positive CPR on Offshore Ireland Licence

Europa Oil & Gas (Holdings) plc / Index: AIM / Epic: EOG / Sector: Oil & Gas  

12 May 2015

          Europa Oil & Gas (Holdings) plc (`Europa' or `the Company')          

  Gross Mean Un-risked Prospective Resources of up to 1.5 billion boe (net to  
Europa 225 million boe) Identified by CPR on Irish Atlantic Margin Licence FEL 
                                     3/13                                      

Europa Oil & Gas (Holdings) plc, the AIM quoted oil and gas company with a
combination of producing and exploration assets in Europe, is pleased to
announce the completion of a Competent Persons Report (`CPR') by ERC Equipoise
Ltd (`ERCE') on the Prospective Resources in Frontier Exploration Licence
(`FEL') 3/13 located in the Porcupine Basin, offshore West Ireland. Europa
holds a 15% interest in FEL 3/13, with the operator Kosmos Energy (`Kosmos')
holding the remaining 85%.

Overview

  * Europa's in-house technical team has conducted its own independent prospect
    mapping based on proprietary 3-D seismic data acquired in 2013 and which
    was provided to ERCE, who have undertaken their own independent assessment
    of the Prospective Resources associated with the Wilde, Beckett and Shaw
    prospects
   
  * The CPR details total gross un-risked mean Prospective Resources of 1.49
    billion barrels of oil equivalent (`bboe') on FEL 3/13
   
  * 
      + Net 225 million barrels of oil equivalent (`mmboe') to Europa
       
      + The CPR has upgraded Shaw, previously classified as a lead, into a
        prospect with gross mean un-risked Prospective Resources of 315 mmboe
       
FEL 3/13      Gross Un-risked Prospective Resources (mmboe*)      Geological  
                                                                  Chance of   
Prospect      Low          Best         High         Mean         Success     
                                                                              
Wilde         61           239          952          428          19%         
                                                                              
Beckett       109          424          1,661        749          15%         
                                                                              
Shaw          57           198          681          315          13%         
                                                                              
Deterministic 227          861          3,294        1,492                    
                                                                              
Total                                                                         

*million barrels of oil equivalent, Prospective Resources are recoverable. The
hydrocarbon system is considered an oil play and mmboe is used to take account
of associated gas. However, due to the significant uncertainties in the
available geological information, there is a possibility of gas charge.

  * Europa has identified both a prospect and shotpoint location for what would
    be a play-opening first well in FEL 3/13 - Europa will review this with the
    operator, Kosmos.
   
  * New prospects and leads identified by Europa on FEL 2/13 at additional
    stratigraphic levels to those previously identified by Kosmos in the
    prospect inventory delivered to Europa in December 2014 - Europa is
    consulting with Kosmos to advance these new prospects to a point where they
    can be included in a complete CPR for FEL 2/13 - further announcements will
    be made in due course
   
Europa's CEO, Hugh Mackay said, "This CPR represents the culmination of
substantial work by three very experienced technical teams: Kosmos, Europa and
ERCE. The work has been subjected to robust and in-depth technical challenge. I
have utmost confidence in the quality of the work and the Prospective Resources
and risks derived from the work. The new CPR identifies gross mean un-risked
Prospective Resources of approximately 1.5 billion barrels of oil equivalent
across three prospects in FEL 3/13, with Europa's 15% equity interest equating
to net mean Prospective Resources of 225 million boe. These are very
significant volumes of hydrocarbons. Europa considers the prospects to be at
drillable prospect status and we will update the markets when the operator
Kosmos provides more clarity with respect to drilling plans. This CPR provides
a strong endorsement to our long held view that the Porcupine Basin has the
potential to become a major new North Atlantic hydrocarbon province."

FEL 3/13

The CPR builds on the prospect inventory provided to Europa by Kosmos Energy
(`Kosmos') and previously announced on 8 December 2014. Europa's in-house
technical team has conducted its own independent prospect mapping and this was
provided to ERCE, who in turn also performed their own independent mapping. The
work is derived from interpretation of proprietary 3-D seismic data acquired in
2013 and processed in 2014, analysis of historic well data and consideration of
relevant analogues from the North and South Atlantic basins. The CPR represents
the culmination of a substantial body of in depth technical work and has been
subject to thorough independent peer review.

The CPR details total gross un-risked mean Prospective Resources of 1.49 bboe
across three prospects.

The three prospects Beckett, Wilde and Shaw have Cretaceous submarine fan
sandstone reservoirs and are part of the Cretaceous submarine fan hydrocarbon
play discussed in previous RNS releases. As a consequence of its detailed work
in preparation for the CPR Europa has identified both a prospect and shotpoint
location for what would be a play-opening first well in FEL 3/13. Europa will
review this with the operator Kosmos.

Under the terms of the farm-out agreement announced on 18 April 2013 Kosmos
will incur 100 percent of the costs of the first exploration well on FEL 3/13
subject to an investment cap of US$110 million. Costs in excess of the
investment cap would be shared between Kosmos (85%) and Europa (15%).

The main CPR document will not be released into the public domain at this stage for
reasons of confidentiality arising from the ongoing 2015 Atlantic Margin
Licensing Round that closes in September 2015 and for which awards are
anticipated in H1 2016.

FEL 2/13

During the course of its independent mapping of FEL 2/13 Europa has identified
new prospects and leads at additional stratigraphic levels to those previously
identified in the RNS of 8 December 2014. Europa is consulting with the
operator Kosmos Energy regarding technical work to advance these prospects to a
point where they can be included in a complete CPR for FEL 2/13. Further
announcements will be made in due course.

Kosmos has suggested drilling on a prospect in either FEL 2/13 or FEL 3/13 may
take place in 2017, and has also confirmed that it will seek to farm down some
of its interest in the licences. Europa understands that the farm-out process
may commence after the Atlantic Margin Licensing Round closes.

                                 * * ENDS * *                                  

For further information please visit www.europaoil.com or contact:

Hugh Mackay         Europa                          + 44 (0) 20 7224 3770
                                                                         
Phil Greenhalgh     Europa                          + 44 (0) 20 7224 3770
                                                                         
Matt Goode          finnCap Ltd                     + 44 (0) 20 7220 0500
                                                                         
Simon Hicks         finnCap Ltd                     + 44 (0) 20 7220 0500
                                                                         
Frank Buhagiar      St Brides Partners Ltd          + 44 (0) 20 7236 1177
                                                                         
Lottie Brocklehurst St Brides Partners Ltd          + 44 (0) 20 7236 1177

Notes

Europa Oil & Gas (Holdings) plc has a diversified portfolio of multi-stage
hydrocarbon assets that includes production, exploration and development
interests, in countries that are politically stable, have transparent licensing
processes, and offer attractive terms. In H1/2015 Europa produced 144bopd
generating sufficient revenues to cover corporate overheads and some
exploration expenditure. Its highly prospective exploration projects include
the Wressle discovery (recently drilled and tested at an aggregate of 710 boepd
from 4 zones) in the UK; 100% owned gas exploration prospect (107 bcf) and
appraisal project (CPR 277 bcf) in onshore France a joint venture with
Vermillion Energy also in onshore France; and a joint venture with leading
independent Kosmos to explore two licences in offshore Ireland with the
potential to host gross mean un-risked Prospective Resources approximately 1.7
billion barrels across both licences.

Qualified Person Review

This release has been reviewed by Hugh Mackay, Chief Executive of Europa, who
is a petroleum geologist with 30 years' experience in petroleum exploration and
a member of the Petroleum Exploration Society of Great Britain, American
Association of Petroleum Geologists and Fellow of the Geological Society. Mr
Mackay has consented to the inclusion of the technical information in this
release in the form and context in which it appears.