We report the discovery of a 695 Hz quasi-periodic oscillation (QPO) in dat
a taken with the Rossi X-Ray Timing Explorer of the low-mass X-ray binary (
LMXB) EXO 0748-676. This makes EXO 0748-676 the second dipping LMXB, after
4U 1915-05, that shows kilohertz QPOs. Comparison with other sources sugges
ts that the QPO corresponds to the lower frequency peak of the kilohertz QP
O pair often observed in other LMXBs. The QPO was found in the only observa
tion done during an outburst of the source in early 1996. This observation
is also the only one in which the similar to 1 Hz QPO recently found in EXO
0748-676 is not present.