EnerGulf Completes Prado #1 Well in Columbia

EnerGulf Resources has completed the Prado #1 exploration well in the Alborada block in Colombia, South America. The well has reached total depth and Schlumberger has run electric logs. The well was drilled to a depth of 2,247 feet to test a large seismic-defined structure at the Monserrate (La Tabla) formation. Independent analysis of the electrical logs indicates a potentially significant oil column in the Monserrate sandstone in the intervals of 1,000 to 1,400 feet and 1,700 to 2,100 feet. Further log analysis and testing will be conducted to determine the potential net productive interval in this well. The operator, Gulfsands Petroleum Ltd. of Houston, is running 7" production casing in the well and anticipates testing operations will commence mid-week.

EnerGulf owns a 25% working interest in the Prado #1 and the Alborada block. Additionally, EnerGulf owns a warrant convertible into 150,000 shares of privately held Gulfsands Petroleum Ltd. at US$6.00 per share and Gulfsands owns 2,000,000 common shares of EnerGulf.

EnerGulf has restructured its management organization. Directors James Askew and Jeffrey Greenblum, both of Houston, have been appointed President and Chairman of the Board, respectively. Clive Brookes, formerly President, remains a director of EnerGulf.

EnerGulf's previously announced private placement has been completed and is pending final acceptance for filing of documentation by the TSX Venture Exchange.