Issue of Equity

Gulfsands Petroleum PLC
11 July 2007



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


Issue of Equity

The Board of Gulfsands announces that options have been exercised by a former
employee of the Company in respect of 75,000 ordinary shares of 5.714p in the
Company ('Ordinary Shares') at an exercise price of 130 pence each.

The new Ordinary Shares will rank pari passu with the existing Ordinary Shares
of the Company and have been allotted and issued credited as fully paid.

Application has been made for the new Ordinary Shares to be admitted to trading
on AIM and dealings are expected to commence on or around 18 August 2007.

Following the issue and allotment of the new ordinary shares the issued share
capital of the Company will be 103,093,750 Ordinary Shares.



Enquiries:


Gulfsands Petroleum (Houston)                                001-713-626-9564
David DeCort, Chief Financial Officer




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