This paper was presented at the 2nd Micro and Nano Flows Conference (MNF2009), which was held at Brunel University, West London, UK. The conference was organised by Brunel University and supported by the Institution of Mechanical Engineers, IPEM, the Italian Union of Thermofluid dynamics, the Process Intensification Network, HEXAG - the Heat Exchange Action Group and the Institute of Mathematics and its Applications.An experimental study of two-phase pressure drop in a horizontal circular microchannel is presented in this paper. Test tube is made of fused silica having an internal diameter of 781μm with a total length of 261mm and a heated length of 191mm.The external surface of the test tube is coated with an electrically conductive thin layer of ITO (Indium Tin Oxide) for direct heating of test section. Refrigerant R134a was used as the working fluid and mass flux during the experiments was varied from 100 to 650 kg/m2sec. Experiments were performed at a system pressure of 7.70 bar (corresponding to saturation temperature of 30oC). Two-phase frictional pressure drop characteristics with different mass flux, vapour fraction and heat flux were explored in detail. Finally, the prediction capability of well known available correlations in the literature, developed for macrochannels and others especially developed for microchannels was also checked. The homogeneous model predicts the data fairly well with a mean absolute deviation (MAD) of 19% and 69% of data within ±20% error band. The Müller-Steinhagen and Heck (1986) correlation developed for macrochannels predicts the data with a MAD of 19% and 61% of data within ±20% error band. The Mishima and Hibiki (1996) correlation, developed for microchannels, also shows fairly good approximation of the data with MAD of 19% and 57% of data within ±20% error band