GOIL Granby Oil

    Wednesday 29 June 2005

Granby Oil and Gas plc

("Granby" or "the Company" or "the Group")

UK North Sea 21/6b-6 Exploration Well

Drilling of North Sea exploration well 21/6b-6 has been completed. The well
began drilling on 18th June 2005 with the rig Bredford Dolphin operated by
Century Exploration (UK) Limited and was targeting a Palaeocene Sandstone
reservoir.

The reservoir was encountered close to prognosis, but was found to be water
bearing.

The well, which was drilled at no cost to Granby, is to be plugged and
abandoned.

David Grassick, Managing Director of Granby Oil and Gas, said:

"Naturally, we are disappointed that this was not a better result for our first
well, but we have many excellent prospects which we are preparing to drill over
the next couple of years. We are already preparing a multi-well programme for
2006 based on our 22nd round licences, as well as looking forward to the
results of the 23rd Licensing Round which we hope will provide further
opportunities."

Enquiries:

Granby Oil and Gas                       020 7464 8473                      
                                                                            
   David Grassick, Managing Director     07785 921080                       
                                                                            
   Nigel Burton, Finance Director        077 8523 4447                      
                                                                            
College Hill                             020 7457 2020                      
                                                                            
   Ben Brewerton / Jim Joseph                                               
                                                                            

Notes to Editors

Background

Exploration well 21/6b-6 was Granby's first exploration well and was drilled on
the Marquis prospect, located to the west of the Forties field in the Central
North Sea. Granby was initially awarded 50% of block 21/6b in the 21st
Licensing Round in 2003, before farming out to Century and Elixir in order to
fund the well. Granby's costs for the drilling of the well will be fully met by
its farm-in partners.

Interests in block 21/6b are as follows:

Century Exploration (UK) Limited (Operator) 70%

Elixir Petroleum Limited 15%

Granby Enterprises Ltd 15%

Overview of the Business

Granby Enterprises Ltd is a wholly owned subsidiary of Granby Oil and Gas plc
(ticker symbol GOIL), which recently listed on AIM raising �10 million in order
to fund exploration drilling on its North Sea prospects.

Granby is an oil and gas business focused on exploration in carefully selected
areas in the North Sea and elsewhere, and also on securing production and
development, initially in the Galoc field in the Philippines.

The Group's strategy is to build a significant portfolio of assets through the
discovery and exploitation of oil and gas reserves. The Group was formed from
the combination of Granby Enterprises and Team Oil, two independent companies
which were closely associated and which since June 2004 have had common
management teams and ownership.

The combined management team includes five former executives from Enterprise
Oil plc, one of the largest independent companies operating in the North Sea
during the 1980s and 1990s.

Granby's portfolio and plans

Granby is planning a multi-well programme for 2006 on a number of its other
North Sea prospects.

The current asset base of Granby comprises interests in six UK offshore
licences spanning a total of ten blocks and part blocks in the Central North
Sea, and containing eight prospects generated by the Company with an unrisked
potential, excluding Marquis, of 259 million barrels.

In addition, the company is in the process of finalising negotiations for
access to a potential offshore oil field development in the Philippines.



END

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