Update on San Alberto 1X

Gold Oil PLC
04 September 2006


For Immediate Release                                         4th September 2006


 Gold Oil plc ('Gold') update on the testing of their Peruvian exploration well
                                San Alberto-1X.



In the offshore San Pedro field wells have drilled some 500 - 600 feet of
Palaeozoic and the wells are completed 'bare foot' with casing set at the top of
the Palaeozoic but none across the Palaeozoic.


In San Alberto-1X Gold drilled 2,300 feet of Palaeozoic and because of severe
wear on the drilling equipment it was agreed with Perupetro to stop drilling at
5,113 feet, 135 feet short of the obligation in our Block XXI licence. The
original plan was to drill to 6,500 feet but because of the geology encountered
in the well Perupetro agreed with our view that at 5,113 feet the well had more
than adequately evaluated the Palaeozoic.


The well was logged and some 250 feet of potential hydrocarbon bearing
Palaeozoic sands were interpreted by our specialists using their experience and
Schlumberger software. 90% of the hydrocarbons are in a single zone below
4,570feet with formation water below it.


Given the experience of San Pedro it was decided to test the well 'bare foot'.
The drilling rig was moved off the location and a workover hoist moved on
together with tanks and testing equipment. To reduce the bottom-hole pressure,
and so allow the well to flow, completion fluid was swabbed out of the well and
the well flowed highly saline formation water at 960 bwpd. We believe that this
water is flowing from the zone below the hydrocarbon zone and is preventing any
flow of hydrocarbons from above the water zone.


We need to pull the uncemented slotted-liner so that we can shut off the water
and definitively test the hydrocarbon leg. Discussions with the contractor are
in hand to mobilise appropriate equipment to the well site.


Once the Palaeozoic test is complete we will test the higher Verdun sands which
have some 315 feet of potential hydrocarbon bearing sands in both the equivalent
gas producing Upper Verdun sands in the nearby Las Casita field and the deeper
thicker Verdun sands that are not present in Las Casita.


The technical information contained in this announcement has been reviewed and
approved by Mike Burchell, B.Sc., 66, member of the SPE and with over 44 years
experience in the oil and gas business.


Enquiries:


Gary Moore                Operations Director             Tel: [phone]
Email: [e-mail]


Mike Burchell             Chairman                        Tel. [phone]
Email: [e-mail]


Roland Cornish            Beaumont Cornish Limited        Tel: [phone]



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