Sterling Set to Drill in UK North Sea with ENSCO 70 Jackup

Sterling Resources Ltd. reported that it expects to receive the ENSCO 70 jackup rig from the previous operator during the week of August 11th to commence the three well program in the Sterling operated Quad 42 area of the United Kingdom Southern North Sea. Sterling is also pleased to announce that it has converted its option for a second well using the Prometeu rig in the Romanian Black Sea to a firm well commitment.

United Kingdom

Drilling activity is anticipated to begin in the Breagh Field area, which Sterling operates with a 45-percent working interest, with a vertical well at East Breagh (42/13-4). This well is designed to confirm reservoir extent and potential significant upside to natural gas discovered and appraised in the West Breagh area in conjunction with the recent 42/13-3 well completed by Sterling during the 4th quarter of 2007. Following drilling of the East Breagh well, a high angle/horizontal well is planned for West Breagh (42/13-5) to further evaluate this part of the field. Once these two appraisal wells are completed, the rig will move to Block 42/19 and drill the Airidh prospect which is an undrilled shallower structure targeting the Triassic Bunter formation.

"These two appraisal wells will provide key information towards assessing the economic viability of a major Breagh development program in terms of hydrocarbon resource base and well performance. They will also add to our understanding of further potential in the greater Breagh area. We are pleased that Advanced Drilling Technology International (ADTI) will be providing turnkey well management services on the ENSCO 70 rig, starting with East Breagh," stated John Rapach, Vice President of Operations for Sterling.


Offshore drilling in the Black Sea using the Prometeu jackup rig on the Doina-4 appraisal well continues as previously announced. The second well option has now been converted to firm status and this will lead to the
drilling of a second well on the Ana discovery (formerly known as Doina Sister) which was drilled and tested by Sterling earlier this year.

"These are exciting programs of appraisal and exploration drilling for Sterling and we are pleased to be back drilling on both of our significant discoveries in the UK and Romania. With the drilling of the Cladhan (Block
210/29a) well in the Northern North Sea also planned for the fourth quarter using the Sedco 704 rig, it is by far the busiest period for the Company to date," stated Stewart Gibson, Chief Executive Officer of Sterling. These plans are based on completion of certain farmout or alternative arrangements and are subject to change.


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