Sugarloaf Block B Update

Empyrean Energy PLC 19 September 2007 Empyrean Energy PLC ('Empyrean' or the 'Company'; Ticker: (EME)) Sugarloaf Block B Project - Texas, USA --------------------------------------- Kennedy #1H ----------- Empyrean advises that the Kennedy #1H exploration well, located in the onshore Gulf Coast Basin in Texas, USA, commenced drilling at 18:30 hours Texas time on 17 September 2007. At report time (06:00 hours on 18 September 2007, Texas time) the well had reached a depth of 565 feet in 17.5 inch diameter hole and was drilling ahead. The proposed total depth of Kennedy#1H is 17,570 feet (5,360 metres) which includes a horizontal section of approximately 5,000 feet (1,525 metres) to be drilled through the Austin Chalk Formation at a vertical depth of approximately 12,000 feet. The zone to be targeted by this horizontal section is believed to correlate with the producing section in the Sugarkane Field discovery well which is located some 8 km to the west of Kennedy #1H. On a trouble-free basis the prognosed drilling time for this well is about 45 days. Sugarloaf-1 Well Kennedy #1H is located some 1.6 km from the Sugarloaf-1 well where fraccing and testing operations were commenced last week. Fracture stimulation of the deepest of the three zones of gas shows and log interpreted potential gas pay in the Cretaceous age Austin Chalk Formation was carried out on 11 September. The fracture stimulation operation terminated early after a premature screen-out halted pumping after only 6% of the planned proppant was placed in the formation. The reason for the screen-out is not known. Proppant in the well bore is presently being washed out by a work-over rig prior to running tubing to test the zone. Some intermittent gas is being recovered during this operation. The significance of the gas shows will not be known until test operations are completed. Further announcements will be made as results from this test become available. 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: Jonathan Charles / Ed Portman Conduit PR Tel: +44 (0) 207 429 6611 / +44 (0) 7791 892 509 Rod Venables / Cecil Jordaan HB Corporate Tel: +44(0) 207 510 8600 Empyrean Energy plc Tel : +44(0) 207 182 1746 This information is provided by RNS The company news service from the London Stock Exchange
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