Gas Discovery

Gulfsands Petroleum PLC
13 June 2005

13 June 2005

Gulfsands Petroleum PLC
('Gulfsands' or 'the Group')

Gulfsands makes gas discovery in the Gulf of Mexico

Gulfsands provides operational update on the Gulf of Mexico

Gulfsands Petroleum PLC (symbol GPX), the AIM listed oil and gas exploration,
development and production company with activities in the USA, Syria and Iraq,
announces a gas-well a discovery within Northstar Gulfsands LLC, a subsidiary
company owned 52.6% by Gulfsands.

Gas Discovery

Northstar Gulfsands has participated in two exploration wells in the Gulf of
Mexico so far in 2005.  The first well was unsuccessful; however the second
well, on Eugene Island Block 83, discovered natural gas in Upper Miocene-aged
sandstone reservoirs below 13,000 feet of depth.  It is currently being
completed for production. Northstar Gulfsands owns a 10% working interest in
both the exploration wells.  The unsuccessful well cost approximately $390,000
net to Northstar Gulfsands while the estimated cost for the discovery well on
Eugene Island Block 83 including drilling, completion and hook-up is estimated
at a total cost of $765,000 net to Northstar Gulfsands.

The discovery well tested natural gas at a rate of 5.2 million cubic feet of gas
per day on a limited choke size.  The potential gross reserves for this
discovery are approximately 8-10 billion cubic feet of natural gas.  Production
from this discovery should commence within the next 60-90 days.

Further Exploration Wells

Northstar Gulfsands commenced drilling a new exploration well in West Delta
Block 64 in the Gulf of Mexico in late May and anticipates this well to be
completed by the end of June.  Northstar Gulfsands has further committed to
drill three additional exploration wells in 2005, is reviewing numerous other
opportunities for exploration drilling and expects to drill a total of
approximately 8 exploration wells in the Gulf of Mexico during 2005.

Increased Reserves

Since the beginning of 2005, Northstar Gulfsands has participated in 10
recompletions and workovers on wells within existing producing fields in the
Gulf of Mexico which has resulted in approximately 3.2 billion cubic feet of
natural gas equivalent reserve additions net to Northstar Gulfsands (determined
by internal engineers) at a cost of approximately $0.50 per million cubic feet
of natural gas.

Production Rates

Since the beginning of 2005 net working interest production for Northstar
Gulfsands has been at an average daily volume of between 5,000 - 6,000 barrels
of oil equivalent per day.

Gulfsands' CEO, John Dorrier, said:

'These exploration and re-development programs are providing reserve replacement
and growth for Gulfsands' Gulf of Mexico operation at very reasonable cost.
While 2003 and 2004 were years in which Northstar Gulfsands made significant
acquisitions of reserves, in 2005 we expect to grow mainly through field
redevelopment and exploration.'

Enquiries:

Gulfsands Petroleum (Houston)                         713-626-9564
David DeCort, Chief Financial Officer

College Hill (London)                                 020-7457-2020
Ben Brewerton / Jim Joseph

Seymour Pierce (London)                               020-7107-8000
Richard Redmayne
Jonathan Wright

Note to Editors
          
     •    Gulf of Mexico, USA

          The Group has a 52.6% interest in Northstar Gulfsands, which owns 
          interests in 39 producing oil and gas fields offshore Texas and 
          Louisiana and operates 8 of those fields. Northstar Gulfsands has 
          proved and probable reserves of 4.7 mmbbls of oil and some 29.2 bcf of 
          gas as of November 1, 2004.
          
     •    Syria

          In Syria, Gulfsands owns a 50% working interest in Block 26 and is the 
          operator. The block covers 11,000 sq kms and surrounds areas which 
          currently produce over 100,000 bopd from existing fields.  The Group 
          is planning the acquisition of an extensive 2D seismic programme and 
          the drilling of the first well during 2005. Gulfsands has identified 
          27 exploitation and exploration prospects and leads with mean 
          resources potential of 1 billion barrels of recoverable oil.
          
     •    Iraq

          Gulfsands has recently signed a Memorandum of Understanding with the 
          Ministry of Oil in Iraq for the Misan Gas Project in Southern Iraq and 
          is currently negotiating the definitive contract for the project.  The 
          project will gather, process and transmit natural gas that is 
          currently a waste by-product of oil production in the region and will 
          end the environmentally damaging practice of gas flaring. Gulfsands 
          has completed a feasibility study and expects to conduct further 
          technical work and commercial discussions with the Iraq Oil Ministry 
          in the first half of 2005.
     
     •    Onshore USA

          At the Emily Hawes field, which has previously produced approximately 
          1.7 bcf of natural gas before being shut-in, gas production is 
          expected to start during the summer of 2005.  The first well in the 
          Barb Mag oil field is expected to be drilled in the third quarter of 
          2005.  Darcy Energy has a 25% and 37.5% working interest in these 
          fields respectively.


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