Project Margarita

Empyrean Energy PLC
05 December 2006

                                                                                

                              Empyrean Energy PLC
                  ('Empyrean' or the 'Company'; Ticker: (EME))
                    
                     Project Margarita, Gulf Coast Texas USA
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• Empyrean to earn 44% Working Interest in Project Margarita
• Shallow well program to commence mid December 2006
• Deep high impact wells planned for 2007
            
AIM quoted Empyrean Energy PLC today announces that it has reached agreement 
with the Wandoo Joint Venture (Sun Resources NL - Victoria Petroleum NL - Wandoo 
Energy LLC) to earn a 44% Working Interest in Project Margarita, South Texas, 
USA.

Project Margarita consists of a number of high impact deep prospects and also a 
number of lower risk smaller shallow prospects. The partners in Project 
Margarita have agreed to drill six of the shallow prospects first and then move 
on to three higher impact deep 30 to 200 BCF gas prospects in mid year 2007.

Wandoo Energy LLC ('Wandoo') will oversee the project and associated company
Aurora Resources Corporation ('Aurora') will act as field operator. Wandoo
and Aurora have a team of highly experienced industry specialists with
exceptional Gulf Coast Texas experience.

Much preliminary work has already been completed by the Wandoo Joint Venture,
including the interpretation of 530 km2 of 3D seismic which forms the basis of
Project Margarita in South Texas. Over 60 leads have been recognised in
prospective stratigraphic/structural settings at various depths ranging from
1,000 to 4,000 metres. These leads have been systematically studied, refined and
high graded by further seismic reprocessing and seismic attribute analysis, and
in the case of the shallow leads, reservoir engineering data from nearby
producing analogues has also been used. This has resulted in a prospect
inventory which has a high probability outcome of success on drilling.

Wells are expected to take 8-10 days to reach total depth and be logged with
another 2-4 days to run a completion and test if logs are positive. The Initial
Wells program is expected to commence on or about 18 December and run until the
end of January 2007. The Final Wells program is planned to commence in early
February 2007 and be of a similar duration to the Initial Wells program.
Development of any commercial discovery will be a matter of a few months as the
project area is crossed by a number of gas pipelines with access rights and
capacity available to tie into.

Commenting today, Empyrean's Commercial Director Tom Kelly said 'Empyrean is
delighted to be working with The Wandoo Joint Venture participants on Project
Margarita and we feel the project has a very good balance of higher risk high
impact prospects that will be drilled in 2007 following the drilling of the
lower risk shallow prospect program commencing mid way through this month.'

The information contained in this announcement was completed and reviewed by the
Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has
over 40 years experience as a petroleum geologist.

For further information

Laurence Read/ Ed Portman                                       
Conduit PR                                                                 
Tel: [phone]        

Empyrean Energy plc
Tel : [phone]

Imran Ahmad/ Cecil Jordaan
HB Corporate
Tel: [phone]




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