Gulf of Mexico Drilling Update

Immediate Release

7 February 2011

Leni Gas & Oil PLC

("LGO" or the "Company")

Gulf of Mexico Drilling Update

Leni Gas & Oil plc today announces a short delay to the start of drilling operations at the Eugene Island Field ("EI-184") in the US Gulf of Mexico.

The current operator of the Ocean Columbia jack-up rig at Eugene Island-51 has had difficulty in withdrawing the legs from the seafloor. Silt jetting and dredging operations are ongoing to free the legs so that they can be raised in order to allow the rig to be towed to the new location. Once the legs have been successfully retrieved the rig will be released by the current operator and moved approximately 55 kilometres to the EI-184 platform to commence operations on the planned A2ST01 sidetrack.

This delay has no cost implications to LGO and its partners in EI-184. A further update will be provided once the rig has been mobilized to EI-184.

Enquiries:

Leni Gas & Oil plc

Old Park Lane

Shore Capital

Pascal Keane +44 (0) 20 7408 4090

Jerry Keen (Corporate Broking)

Pelham Bell Pottinger

Beaumont Cornish Limited