14 December 2007

Irvine Energy plc raises £4,064,000

Irvine Energy plc, the AIM listed oil and gas exploration and production company, has received share placing commitments to raise £4,064,000 through the issue of 203,200,000 new ordinary shares at 2.0p per share.

The funds raised will be used to complete the acquisition of producing and prospective oil and gas acreage in Oklahoma, and for additional working capital. The Oklahoma assets being acquired were previously described in the Company's announcement on 16 July 2007. Further information in respect of the completion of the acquisition of these Oklahoma assets will be provided shortly.

The placing includes the issue of 50,000,000 new ordinary shares to Adelise Services Limited, an entity associated with Michael Frayne, a director of the Company. Following completion of the placement, Adelise Services Limited will be interested in 59,345,238 ordinary shares in the Company, representing 8.8 per cent. of the issued share capital of the Company following the placing.

The new ordinary shares will represent 30.2 per cent of the Company's enlarged issued share capital following the placing, and will, when issued, rank pari passu in all respects with the existing issued ordinary shares, including all rights to all dividends and other distributions declared, made or paid following their issue. Application will be made to the London Stock Exchange for the new ordinary shares to be admitted to trading on AIM and it is expected that admission will become effective and that trading in the new ordinary shares will commence on 20 December 2007.

The total number of ordinary shares in issue following the placing will be 673,424,826.

Additionally, the Company has received a commitment to effect a deferred subscription for 34,000,000 ordinary shares at 2.0p, with settlement due in two tranches; the first in respect of 7,000,000 new ordinary shares by 29 February 2008 and the second in respect of 27,000,000 new ordinary shares by 31 March 2008 respectively.

Irvine Managing Director Aaron Close said, "This placing positions Irvine for the next phase of its aggressive growth strategy as an emerging on-shore USA oil & gas producer targeting low risk, high return reservoirs. We are implementing a number of development programmes to increase production and reserves significantly, which should greatly enhance our value. I would like to thank our investors for their support and look forward to updating on what I believe will be an exciting period for the Company."

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

Irvine Energy plc
Michael Frayne, Tel: +44 (0) 207 016 9579

Nabarro Wells & Co Ltd
Hugh Oram, Tel: +44 (0) 207 710 7400

St Brides Media & Finance
Hugo de Salis, Tel: +44 (0) 207 242 4477

St Brides Media & Finance
Felicity Edwards, Tel: +44 (0) 207 242 4477

Notes to Editors:

Irvine Energy Plc strategy is to establish itself as a leading player in the exploration and development of the Chattanooga Shale gas formation in Kansas, USA. The Company already has a 75% working interest in approximately 61,000 acres of oil and gas leases as part of a lease acquisition, exploration and development strategy with a target acreage of between 100,000 and 200,000 hectares. The aim is to explore unconventional "shale gas", with its joint venture partner the Metro Energy Group Inc, as well as conventional gas targets, within an exclusive area of mutual interest covering approximately seven million acres in the Chattanooga Shale.

Organic rich shales are hydrocarbon source rocks which are pervasive across large geographic areas, and not confined to limited traps or structures. These shales typically have lower gas flow rates than conventional reservoirs, but tend to produce over longer periods. Recent technological advancements, including fracture stimulation combined with horizontal drilling, and higher gas prices have enabled economic natural gas production from extensive shale basins. This has resulted in the development of the multi-billion dollar shale gas industry in the US, one of the fastest growing energy sectors in onshore US.

Following the appointments of Mr Manner and Mr Close, the Board has extensive experience of the energy sector and has a good understanding of the potential value of shale gas projects. By utilizing industry contacts Irvine hopes to rapidly develop and expand its portfolio to increase shareholder value.