18 December 2007

Acquisition of Oklahoma oil & gas leases, and commencement of drilling programme.

Irvine Energy plc, the AIM listed oil and gas exploration and production company, has completed the acquisition of a 50 per cent working interest in 12,849 acres of oil and gas leases in the North Cherokee area of Oklahoma for a cash consideration of US$1.927 million.

The acquisition adds to the previously announced lease purchase of 4,167 acres in the Bearden area of Oklahoma (RNS 08/11/07) and forms part of the Oklahoma oil and gas assets that Irvine has contracted to buy from Metro Energy, as announced on 16 July 2007. The acquisition of the remaining Oklahoma assets is expected to take place in early January 2008.

The North Cherokee area is considered highly prospective for oil and gas, with both multiple conventional reservoirs and stacked oil pays. It is the Board's view that the North Cherokee leases increase the production potential of the Company, whose portfolio now comprises over 130,000 acres across Kansas and Oklahoma.

The Company's joint venture partner, Metro Energy, has completed drilling of the Patriot 3-15 well, the first development well offset to the Patriot 1-15 oil discovery in Oklahoma (RNS 20/07/07). The Patriot 3-15 well has reached its target total depth of approximately 3,400 feet with positive pay indications from the mud log and wire line logs. It is being cased in preparation for it to become a producing well. Initial flow rates will be established by the end of December 2007 and are expected to be comparable to the 1.2 MMCFD Patriot 1-15 well drilled earlier in the year.

The Patriot 3-15 well is the first of three wells planned to be completed by January 2008 using this drilling rig and Irvine will be funding an average working interest of 34.6 per cent in the 3 wells after forced pooling.

Irvine Managing Director Aaron Close said, "Activity continues at pace with the Company, both with the expansion of our lease holding and the identification, through seismic acquisition, and drilling of wells in highly prospective and historically producing regions. Importantly, the drilling programme has included the first development well offset to the Patriot 1-15 discovery, which we believe has excellent potential."

The information contained in this announcement was completed and reviewed by the Managing Director of Irvine Energy plc, Mr Aaron Close, who has over nine years experience as a geoscientist in the North American oil and gas sector, and is a graduate from the Colorado School of Mines Golden with a Bachelor of Science, Mathematics and Computer Science Engineering and Geophysics. Mr Close is a member of the Society of Petroleum Engineers.

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.