Spain Hontomin Well Spud

LENI GAS & OIL PLC

("LGO" or the "Company")

25 August, 2010

SPAIN HONTOMIN WELL SPUD

Leni Gas & Oil plc (LGO) the AIM listed international oil and gas production, development and exploration company, today announces the commencement of the drilling activity and the spudding of the hole for the Hontomin extended well test in northern on-shore Spain.

The objective of the Hontomin programme is to appraise the long term production potential of the Hontomin-2 well.

Electric wireline logging and perforation of the existing hydrocarbon intervals and other potential undepleted zones is scheduled for September/October 2010 to assess the full production potential of the structure.

All well production from Hontomin will be transported to the central production facilities at the Ayoluengo operations base for processing and oil sales.

Competent Person's Statement:

The information contained in this announcement has been reviewed and approved by Fraser S Pritchard, Executive Director for Leni Gas & Oil Plc (member of the SPE) who has over 20 years relevant experience in the oil industry.

Enquiries:

Leni Gas & Oil plc

David Lenigas, Executive Chairman

Fraser Pritchard, Executive Director

Tel +44 (0) 20 7016 5103

Beaumont Cornish Limited

Roland Cornish / Rosalind Hill Abrahams

Tel +44 (0) 20 7628 3396

Mirabaud Securities Limited

Rory Scott

Tel +44 (0) 20 7878 3360

Pelham PR

Mark Antelme

Tel + 44 (0)20 3178 6242

NOTES TO EDITORS

Leni Gas & Oil Plc is an international oil and gas exploration, development and production company headquartered in London, trading on the London Stock Exchange's AIM index. LGO's strategy is to acquire projects and businesses within the oil and gas sector that contain a development premium which can be unlocked through a combination of financial, commercial, and technical expertise.

LGO operates a low risk portfolio of production expansion assets in the US Gulf of Mexico, Spain, Trinidad and Malta with significant play upside using similar strategies to leverage technologies and proven production enhancement techniques. LGO specifically targets near term production with upside exploitation potential and manages its portfolio to ensure all assets have accelerated incremental reserves and production enhancement programs.