Mongolian Discovery

Soco International PLC
13 July 2000

                                 
 Successful Drilling Results on First Two Wells in Mongolian 2000
                       Drilling Campaign and
            Re-commencement of Crude Oil Sales to China
                                 
                                 
SOCO  is  an  international oil and gas exploration and production
company headquartered in London.  In addition to its interests  in
Mongolia,  the  Company has operations in Yemen, European  Russia,
Vietnam, Tunisia, Thailand and North Korea.

SOCO's  total  crude  oil production net to its  working  interest
during  the  first  six months of 2000 has averaged  approximately
8,525  BOPD  (7,205  BOPD in 1999).  Average prices  received  for
total  crude  oil sold by the Company during the period  has  been
approximately US$25 per barrel ($16.70 per barrel in 1999).

SOCO announces that it has successfully completed the 19-9 and 19-
10  wells, the first two wells drilled this year on Contract  Area
19  in  the  Tamtsag  Basin of Mongolia.  Initial  log,  core  and
production  results indicate that both wells appear  to  equal  or
exceed results from the 19-3 well drilled in 1997. The 19-3, which
open-hole tested from a net 36 metre interval at a stabilised rate
of  approximately 690 barrels of oil per day was produced on  pump
during  1999  at a stabilised rate of 250 barrels of oil  per  day
(BOPD).  The new wells were not drill stem tested during  drilling
operations in order to avoid potential formation damage  which  is
believed  to have hampered the production rates of the 19-3  well.
Each  of  the new wells is producing at approximately 250 BOPD  at
pump  capacities  which may not reflect ultimate  flow  potential.
Full  assessment of the stabilised production capabilities of  the
new  discoveries is pending completion of pumping  and  production
facilities.

The  results are particularly encouraging in that these wells  are
the first to be drilled based upon the 3D seismic acquired in 1999
and  under the reduced cost drilling contract. The 19-9  well  was
drilled as an appraisal well to the 19-3 discovery well and the 19-
10  tested a new structure approximately 2.5 kilometres  north  of
the  19-3 well. Upon completion, both wells flowed oil to surface.
Log  analysis  on  the  19-10 exploratory  well  indicates  a  net
productive  reservoir  of  approximately  77  metres  in  a  gross
interval  from  2,324 metres to 2,449 metres that could  yield  in
excess of thirty million barrels of recoverable oil.

A  third well, the 19-11 was spud on 2 July as an exploratory test
of  a  structure  approximately 1.5 kilometres east  of  the  19-3
location.  It  is anticipated that a further two  wells  could  be
drilled this year, one of which will  test the extent of the 19-10
discovery.  Under the terms of the reduced cost drilling programme
(from  approximately $2.2 million per well to  approximately  $0.5
million  per  well), Huabei Oilfield Services, a  Chinese  company
providing the drilling services, would earn the right to elect  to
participate in Contract Area 19 after completion of the full eight
well programme.  Huabei's participation of up to 20% would be on a
working  interest basis and fully funded by Huabei going  forward.
Petrovietnam,  the  Vietnamese  national  oil  company  has  a  5%
interest, carried through the exploration phase, in each of SOCO's
Mongolia production sharing contracts, including Contract Area 19.

Sales  of crude oil to China, which had been suspended earlier  in
the  year,  have been reinitiated as of this week  under  a  sales
contract  signed  29  June  2000 with China  National  United  Oil
Corporation.   As with the previous contract, crude  oil  will  be
trucked to a pipeline in the Aershan Oilfield for further delivery
to  the Horhot Refinery in the Inner Mongolia Autonomous Region of
China.   Although  the  volumes sold are not  significant  from  a
turnover  standpoint, the sales program will free storage capacity
to  gather production data on the new discoveries, while  allowing
some recovery of costs.

Ed Story, Chief Executive of SOCO, said:

'We are particularly pleased that we have advanced our exploration
programme  while continuing to build the Company's cash  balances,
which  currently exceed  £32 million.  The 3D seismic program  has
provided  a  tool  to significantly improve the predictability  of
drilling  results in the Tamtsag Basin.  Of equal  importance,  is
that  we are drilling these wells through our contract with Huabei
Drilling at a fraction of the cost of the earlier wells. Moreover,
the  new  field  discovery potentially places the Company  at  the
threshold  of  having sufficient reserves to  justify  planning  a
comprehensive development program.'

                                                      13 July 2000

Enquiries:

SOCO International plc                       Tel: [phone]
Ed Story, Chief Executive
Roger Cagle, Chief Financial Officer

College  Hill                                Tel: [phone]
James Henderson
Archie Berens