Statement re Syria Operations Update

Immediate Release   6 October 2010






                            GULFSANDS PETROLEUM PLC



Syria Operations Update:


London,6thOctober,  2010:  Gulfsands Petroleum plc  ("Gulfsands", the "Group" or
the  "Company"  -  AIM:  GPX),  the  oil  and  gas  production,  exploration and
development  company  with  activities  in  Syria,  Iraq, Tunisia, Italy and the
U.S.A.,  is pleased to provide the  following update on the Company's operations
at Block 26, Syria, where Gulfsands holds a 50% interest and is  operator.

Yousefieh South -1 Exploration Well

The  Yousefieh South-1 ("YSO-1") vertical exploration well has been successfully
drilled  to a total depthof 2100 metres Measured Depth Below Rotary Table ("m MD
BRT").  The  top  of  the  primary  objective,  the  Cretaceous  aged  "Massive"
reservoir,  was encountered 41 metres deep to prognosis  at a depth of 1990 m MD
BRT,  1583 metres True Vertical Depth Below Mean  Sea Level ("m TVD SS").A total
of  12 metres of  continuous oil-stained  core was  recovered from the reservoir
interval  and a formation evaluation programme  consisting of wire-line logs was
then  completed. Analysis  of the  core along  with the wire-line logs indicates
that  the well  encountered a  gross 11.5 metre  (net 10.8 metre)  column of oil
bearing  reservoir within  the Massive  formation, with  an average  porosity of
19.7% and  average oil  saturation of  61.6% over the  pay interval.An oil-water
contact  may be present at  approximately 1595 m TVD SS,  similar to the contact
depth  that was encountered in the Yousefieh field approximately 2 kilometres to
the north.

The  oil-bearing formation was  flow tested under  nitrogen lift conditions, but
only  minor non-commercial volumes of 16 degree API oil and water were recovered
to  surface. The poor  flow performance of  this well may  relate to the viscous
nature of the oil, possible formation damage and the close proximity to the oil-
water  contact. The  well will  be further  flow tested  following plug-back and
acidification  of the  formation via  a rig-less  operation to be conducted mid-
October,  an operation that  has proved very  successful in improving production
performance at the Yousefieh Field.

Khurbet East - 18 Field Delineation Well

The  Crosco 401 drill rig used in the drilling of the YSO-1 exploration well has
now  been  mobilised  to  the  next  well  on  the  Company's Khurbet East Field
development  programme,the Khurbet East-18 ("KHE-18") vertical delineation well,
located  on  the  north-west  flank  of  the  Khurbet  East  Field. Drilling and
evaluation of this well isexpected to require approximately 30 days to complete.


Contract for Second Drilling Rig and Zahraa-1 Exploration Well

Due to the large remaining drilling inventory in Block 26 the Company has signed
a  contract for  a second  drilling rig,  the Crosco  501, to undertake drilling
operations  in Block  26.  The first  well in  the campaign  for this rig is the
Zahraa-1 ("ZAH-1") exploration well located in the far north-east portion of the
Block.

The  ZAH-1 exploration well will be drilled as a "sole risk" well with Gulfsands
having  a 100% interest in the well and any subsequent discovery, subject to the
Company's  partner in the  Block having the  right, in certain circumstances, to
"back  into"  a  50% interest  in  any  discovery  upon  reimbursing Gulfsands a
multiple  of the costs incurred in acquiring 3D seismic data and drilling of the
well.

The  ZAH-1 exploration well will evaluate a  structure that is similar, on trend
and  adjacent to the  neighbouring producing  Karatchok oil field.  The drilling
location  was selected based on interpretation  of 3D seismic data acquired over
the  prospect area.  The  primary targets for  the well are  the Cretaceous aged
Shiranish  and Massive formations, and  the well is planned  to drill to a total
measured depth of 2600metres.

The well will spud after the rig has been mobilised to the location which is now
likely  to occur  in mid-October.  It is  expected that  drilling and evaluation
operations for this well will require approximately 45 days.


3D Seismic Acquisition Programme

The  2010 3D seismic acquisition programme, consisting of approximately 1025 km2
of  new  3D seismic  data  directly  west  of  the Greater Khurbet East area, is
approximately  50% complete.   The  programme  remains  on track to be completed
during  the fourth quarter  of this year,  with delivery of  the final processed
data during the first quarter of 2011.


Results of Well Testing of Development Wells

The   recently  completed  horizontal  development  well  Yousefieh-4H has  been
subjected  to an extended flow test. Following  a clean-up flow period, the well
flowed  at an average production rate of 1617 barrels of oil per day ("bopd") of
22 degree  API oil over an 11 hour flow period on a choke setting of 48/64" at a
wellhead  flowing pressure  of 72 psi.  The well  has now  been diverted  to the
Yousefieh Early Production Facility ("EPF").

The  Khurbet East  horizontal development  well, Khurbet  East-17H has also been
subjected  to  an  extended  flow  test.  Over  an 18 hour flow period, the well
produced at an average rate of 1564 bopd of 26 degree API oil on a choke setting
of  24/64" at a  wellhead flowing  pressure of  272 psi. The  well has  now been
hooked  up to the  Khurbet East EPF  and is contributing  to production from the
field.


Khurbet East and Yousefieh Production

Combined  production  from  the  Khurbet  East  and Yousefieh fields has reached
approximately  21,000 bopd, with approximately 3000 bopd being produced from the
Yousefieh  field, and  18,000 bopd from  Khurbet East.  Both fields  continue to
produce oil with negligible associated volumes of formation water.


Pipeline and Oil Storage Tanks Project

Commissioning of the 22 km oil pipelinelinking the Khurbet East EPF with the oil
export  facility at Tal Adashas been completed  and oil is now being transported
to  Tal Adas  via the  new pipeline.  The oil  trucking operation which has been
utilised  since production commenced in July  2008 has been discontinued and all
of  the current production from the Khurbet  East and Yousefieh fields are being
transported via the new pipeline.

The  Company  is  also  pleased  to  report the completion of constructionat the
Khurbet  East  EPFof  anew  oil  storage  tank  taking  the EPF combined storage
capacity  to approximately 15,000 barrels of oil.   This tank has been installed
to  provideadditional storage that can be utilised  in the event of an unplanned
shut-in of the oil export pipeline.

Commenting on this operations update, Ric Malcolm, CEO of Gulfsands, said

"We  continue to improve  efficiencies and build  momentum in Block 26, with two
rigs  to be  drilling concurrently  from mid-October.   We are now producing oil
from 12 wells and within reach of our year-end target of 22,000 barrels per day.

The commencement of operations using the new pipelinemarks a major milestone for
the  Company which will further enhance operational efficiencies and reduce even
further  our already low cost of producing and transporting oil. I would like to
express  our  gratitude  for  the  considerable  assistance  and  cooperation we
received  from Syria's General Petroleum  Corporation and various departments of
the  Syrian government to  bring this important  project online and congratulate
our team in Syria for their terrific execution of this project."


This  release has been approved by Richard Malcolm, Chief Executive of Gulfsands
Petroleum  Plc who has a Bachelor of  Science degree in Geology with 30 years of
experience in petroleum exploration and management. Mr. Malcolm has consented to
the  inclusion of  the technical  information in  this release  in the  form and
context in which it appears.

For more information please contact:

Gulfsands Petroleum (London)[phone]
Richard Malcolm, Chief Executive Officer
Andrew Rose, Chief Financial Officer
Kenneth Judge, Director: Corporate Development & Communications

Buchanan Communications Limited (London)[phone]
Bobby Morse
Ben Romney
Chris McMahon

RBC Capital Markets (London)[phone]
Josh Critchley
Matthew Coakes
Martin Eales

ABOUT GULFSANDS:

Gulfsands is listed on the AIM market of the London Stock Exchange.

Syria

Gulfsands owns a 50% working interest and is operator of Block 26 in North East
Syria.  The Khurbet East oil field was discovered in June 2007 and commenced
commercial production within 13 months of the discovery. This field is producing
at an average gross production rate of approximately 18,000 barrels of oil per
day through an early production facility. A second field discovery, the
Yousefieh field, was brought on-stream in April 2010, and is currently producing
approximately 3,000 barrels of oil per day. Block 26 covers approximately 5,414
square kilometres and encompasses existing fields which currently produce over
100,000 barrels of oil per day, and are operated mainly by the Syrian Petroleum
Company.  The current exploration license expires in August 2012. Gulfsands'
working interest 2P reserves in Syria at 31 December 2009 were 46.0 mmbbls.

Tunisia:

Gulfsands is acquiring working interest positions in two exploration permits in
Tunisia (Chorbane and Kerkouane Permits) and one exploration permit in Southern
Italy (G.R15.PU) from ADX Energy Ltd the operator of all three permits. The
Company's interest in these permits remains subject to the completion of the
Company's farm obligations and various approvals from the governments of Tunisia
and Italy.

Kerkouane Permit - Offshore Tunisia
G.R15.PU  Permit (Pantelleria Permit) - Offshore Italy

G.R15.PU, is located offshore the island of Pantelleria southwest of Sicily in
Italian waters and the Kerkouane Permit is located offshore northeast Tunisia.
 The two permits are contiguous and comprise a total area of approximately 4500
square km.

The operator has identified multiple leads and targets on these permits.
 Drilling operations were recently completed at the Lambouka-1 well where gas
was encountered in the Abiod Formation. However, as a result of down-hole
problems, no fluid samples or gas flow were established. The well was suspended
with the intention of re-entering at a later date and drilling and testing the
reservoir in a sidetrack hole up-dip of the existing discovery.

Gulfsands has completed its earn commitments with respect to the Kerkouane and
Pantelleria Permits with the drilling of the Lambouka-1 well. Gulfsands has
earned a 30% working interest in both permits by paying approximately 35% of the
cost the Lambouka-1 well and reimbursing the operator for a portion of various
pre-drill costs that include a recently completed 3D seismic programme.

Chorbane Permit - Onshore Tunisia

The Chorbane permit is located in central Tunisia and covers an area of 2,428
square km. The permit is surrounded by several producing oil fields and
extensive oil & gas infrastructure. Gulfsands' forward work commitment for the
Chorbane permit includes the drilling of one exploration well in the fourth
quarter of 2010 for which Gulfsands will pay 80% of the estimate US$5 million
cost of the first exploration well so as to earn a 40% interest in the permit.

A number of prospects and leads have been indentified within the permit, the
most prospective being a large tilted horst block ("Sidi Daher") where the
operator has identified multiple potential targets estimated to hold recoverable
un-risked prospective resources of 80 mmboe.

Iraq

Gulfsands signed a Memorandum of Understanding in January 2005 with the Ministry
of Oil in Iraq for the Maysan Gas Project in Southern Iraq, following completion
of a feasibility study on the project, and is negotiating details of a
definitive contract for this regionally important development.  The project will
gather, process and transmit natural gas that is currently a waste by-product of
oil production and as a result of the present practice of gas flaring,
contributes to significant environmental damage in the region. The Company is
actively engaged in discussions with respect to financing and potential equity
partners.  Gulfsands has no reserves in Iraq.

Gulf of Mexico, USA

The Company owns interests in 37 leases offshore Texas and Louisiana, which
include 24 producing oil and gas fields with proved and probable working
interest reserves at 31 December 2009 of 4.7 mmboe.

Certain statements included herein constitute "forward-looking statements"
within the meaning of applicable securities legislation. These forward-looking
statements are based on certain assumptions made 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.

More information can be found on the Company's website www.gulfsands.com






[HUG#1449370]








This announcement is distributed by Thomson Reuters on behalf of 
Thomson Reuters clients. The owner of this announcement warrants that: 
(i) the releases contained herein are protected by copyright and 
    other applicable laws; and 
(ii) they are solely responsible for the content, accuracy and 
     originality of the information contained therein. 
    
Source: Gulfsands Petroleum PLC via Thomson Reuters ONE