**Abstract**

Epilepsy is a nervous disease which causes seizures. Electroencephalography (EEG) gives complex information about the brain dynamics but its visual inspection is difficult and requires skilled interpreters. Source localization means identifying the area of the brain where a seizure can occur. In general, source localization is necessary for patients with a special condition in epilepsy, i.e. when their disease is resistant to drugs. One-third of the people having epilepsy are drug resistant and the latest antiepileptic drugs cannot stop the seizures completely. Unexpected occurrence of seizure disturbs the quality of life and causes physical damage and thus epilepsy should be predicted. This study will use various signal processing methods to extract features by studying the pre-ictal and inter-ictal periods, localize the source and then finally predict epilepsy with the help of Artificial Neural Networks. The knowledge thus derived can help in preparing a wearable brain - computer interface.

**Keywords:** electroencephalography (EEG), epileptic seizure, neural networks, epileptic source, localization, epileptic seizure prediction
