Khurbet East Well Spud

Gulfsands Petroleum PLC 19 February 2007 Khurbet East Well Commences in Syria London, 19th February, 2007: Gulfsands Petroleum plc (AIM: GPX), the oil and gas production, exploration and development company with activities in the U.S.A., Syria and Iraq is pleased to announce that the Company has commenced drilling the Khurbet East ('KHE 1') exploration well within Block 26, Syria. Gulfsands, the operator and 50% working interest owner in Block 26, Syria, has commenced the drilling of the KHE 1 exploration well located in the northeast region of Block 26. The KHE 1 prospect is a fault-bound structural culmination, with closure mapped at multiple potential reservoir levels. These include reservoirs of Cretaceous, Triassic and Palaeozoic age. The well is located approximately 12 kilometers southwest of the Souedieh Oil Field and 12 kilometers south of the Roumelan Oil Field. The total drilling depth of the KHE 1 well is expected to be approximately 3,700 metres and will require approximately 100 days to drill and evaluate at an estimated cost of $7.2 million, or $3.6 million net to Gulfsands. After drilling the KHE 1 well, the Company is planning to drill its fourth ' commitment well' on Block 26 following the return to Gulfsands of the high powered rig used for drilling the Tigris-1 well, which is anticipated to occur around July 2007. Gulfsands' CEO, John Dorrier, said: 'The Company's PSC conveys rights to all depths in the Khurbet East area, so the prospect has potential in multiple zones including the proven productive reservoirs of Cretaceous and Triassic age in the fields just north and east of the prospect location, as well as potential reservoirs in the Palaeozoic. In the event of an oil or gas discovery at Khurbet East, commercialisation would be relatively straightforward through production infrastructure located only 12 kilometers away near Roumelan Field.' Certain statements included herein constitute 'forward-looking statements' within the meaning of applicable securities legislation. These forward-looking statements are based on certain assumptions by Gulfsands and as such are not a guarantee of future performance. Actual results could differ materially from those expressed or implied in such forward-looking statements due to factors such as general economic and market conditions, increased costs of production or a decline in oil and gas prices. Gulfsands is under no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws. For further information including the Company's recent investor presentation, please refer to the Company's website www.gulfsands.net or contact: Gulfsands Petroleum (Houston) + 1-713-626-9564 John Dorrier, Chief Executive Officer David DeCort, Chief Financial Officer Gulfsands Petroleum (London) 020-7182-4016 Kenneth Judge, Director of Corporate Development 07733-001-002 College Hill (London) 020-7457-2020 Nick Elwes Paddy Blewer Teather & Greenwood (London) 020-7426-9000 James Maxwell (Corporate Finance) Tanya Clarke (Specialist Sales) This information is provided by RNS The company news service from the London Stock Exchange
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