Emerald Energy Plc

FOR IMMEDIATE RELEASE

Emerald Energy Plc

29 January 2007

Aureliano No.1 Well Update

Emerald Energy Plc (“Emerald” or the “Company”) would like to provide the following update on the status of the Aureliano No.1 exploration well in the Fortuna Association Contract area in the Middle Magdalena Valley in Colombia. Emerald has a 90 percent interest in this contract.

The well has been drilled to a total measured depth of 8,745 feet with a maximum deviation through the target formations of 45 degrees. The target La Luna limestone formations were encountered as forecast, hydrocarbon shows were recorded while drilling the La Luna sections and analysis of the electric wireline logs indicates the presence of potential hydrocarbon-bearing zones.

The well has been prepared for production testing to determine the productivity of the reservoirs encountered. The programme includes the use of natural flow, artificial lifting, and stimulation to establish well flow rates. The programme has commenced and is anticipated to take up to 2 months to complete.

A detailed study of all the data acquired during the drilling and testing of the well will be undertaken to determine both the production potential of the well and the potential for further development drilling of the Aureliano accumulation.

With the drilling phase completed, the drilling rig, Saxon 223, is being de-mobilised from the location. This rig will now go on loan to another operator to drill one well prior to returning to Emerald in April to continue with Emerald’s 2007 drilling programme.

Emeralds’ Chief Executive Officer, Angus MacAskill, said:

“We are very encouraged that the results of the well, to date, are consistent with the pre-drill prognosis and we look forward to the outcome of this next critical phase of production testing. If successful, there is potential for further development in this area.”

Enquiries: Helen Manning 020 7925 2440