NAPS Napster Group Plc

RNS No 847p
AVIVA PETROLEUM INC
17th April 1998


AVIVA PETROLEUM AND GARNET RESOURCES ANNOUNCE MERGER PLANS

Financing For Drilling In Gulf Of Mexico A High Priority


Aviva Petroleum Inc., the Dallas-based oil and gas exploration and production
company, and Houston-based Garnet Resources Corporation announced today that
they have signed a Letter of Intent to merge the two companies.

The proposed arrangements include Aviva refinancing Garnet's outstanding debt
to the U.S. Overseas Private Investment Corporation (OPIC), issuing
approximately 1.1 million and 13.0 million new Aviva common shares to Garnet's
shareholders and debenture holders, respectively, and canceling Garnet's US$15
million of 91/2% subordinated debentures due 21st December 1998.

ING Baring (U.S.) Securities, Inc., Aviva's existing lender, has been asked to
arrange a new US$15 million credit agreement with Aviva for purposes of
refinancing the OPIC debt and providing the funds to commence drilling Aviva's
shallow oil and gas prospects at its Breton Sound property in the Gulf of
Mexico.

Completion of the arrangements outlined above is planned to take place before
the end of July, and is subject to various contingencies including approvals
by the lender, OPIC, Colombian agencies and shareholders of Aviva and Garnet. 
Documentation, including an Agreement and Plan of Merger, will be sent to
shareholders as soon as possible.

Ron Suttill, Aviva's CEO, said: "This merger makes good sense for both
companies.  Consolidating ownership of Aviva and Garnet will enable
operational, management and overhead cost savings to be achieved in the
near-term, particularly in Colombia where each company has an interest in the
same properties.  At year-end 1997, Garnet had 1.8 million barrels of proved
reserves of crude oil in Colombia, compared to Aviva's 1.5 million barrels."

"In addition, this package of measures may provide Aviva with the necessary
financing to drill what has been a high priority target for some time.  The
shallow prospects in Breton Sound are relatively low cost, and we believe low
risk, and have the potential to add significantly to both reserves and
production."

The surviving entity will be Aviva, with a Board comprised of Ron Suttill as
CEO, Gene Fiedorek, of Dallas, currently an Aviva Director, and Robert Cresci,
of New York, currently a Garnet Director.  Doug Fry, CEO of Garnet, will
continue as a consultant for a period of three months following completion of
the merger.

In addition to its Colombian interests, Garnet Resources also holds a Carried
Working Interest in an oil and gas Production Prospecting License in Papua New
Guinea.

Aviva is engaged in exploration for and development and production of oil and
gas in Colombia and offshore in the United States.  In addition to its London
Stock Exchange listing, the Company's Depositary Receipts (one of which equals
five common shares) are traded on the American Stock Exchange under the ticker
symbol "AVV".

(Safe Harbor for Forward-Looking Statements:  Except for historical
information contained herein, the statements in this press release are
forward-looking statements that are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. 
Forward-looking statements involve known and unknown risks and uncertainties
which may cause the Company's actual results in future periods to differ
materially from forecasted results.  These risks and uncertainties include,
among other things, general economic conditions, volatility of oil and gas
prices, the impact of possible geopolitical occurrences world-wide,
imprecision of reserve estimates, changes in laws and regulations, unforeseen
engineering and mechanical or technological difficulties in drilling or
working-over wells, and other risks described in the Company's Annual Report
on Form 10-K and other filings with the Securities and Exchange Commission.)



Further Information:
Ron Suttill
Aviva Petroleum Inc.
Dallas, Texas
001 214 691 3464

Andrew Edwards
Henderson Crosthwaite Corporate Finance Limited
0171 772 7081

George Collie
George Collie and Company
0171 603 7765

END

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