Activity Update

Sterling Energy PLC
13 September 2005



13 September 2005

                              STERLING ENERGY PLC

                         ('Sterling' or 'the company')



                                ACTIVITY UPDATE



Sterling Energy, the AIM listed (symbol: SEY) independent oil & gas exploration
and production company, today provides an update of its global and corporate
activities.



Gulf of Mexico

The company has been only marginally impacted by Hurricane Katrina. One
platform, Eugene Island 268 which represents approximately 20% of Sterling's
production, was shut down for 5 days, and resumed production on 2 September
2005. The company's facilities in the western Gulf of Mexico were not affected
and production has continued without interruption.



Mauritania

Following the recent change of government in Mauritania, Sterling is able to
report that it is continuing its operations there as normal. The company has
held meetings with the new Minister for Energy and Petroleum and is confident
that it will be able to build on its existing contract with the government
relating to the offshore Chinguetti development, expected on-stream in the first
quarter of 2006.



Gabon

Sterling is pleased to announce that the company has signed a Technical
Evaluation Agreement for the Ibekelia licence. The agreement has been signed
with the Gabonese government and Sterling (40% interest & operator)  The
agreement covers a 673 km2 area which is contiguous with the Gamba and Olowi oil
fields and Sterling's existing Themis Marin and Iris Marin licences. The
evaluation term is 12 months at the end of which there is an option to convert
to a full Production Sharing Agreement.



Having reached a depth of 2035 m, the Iris Iboga Marin No 1 well penetrated over
30 metres of excellent reservoir-quality sub-salt Gamba sandstones but
unfortunately these were water bearing. Accordingly the well is now being
plugged and abandoned. A further exploration well is scheduled in the Themis
Marin license commencing in 1st quarter of 2006. Sterling will again be carried
for most of its 20.57% working interest and will pay only 2.57% of the costs.



Enquiries



Sterling Energy (01582 462 121)              Web site: www.sterlingenergyplc.com
Harry Wilson
Graeme Thomson

Citigate Dewe Rogerson (020 7638 9571)
Media: Rachel Lankester/George Cazenove
Analysts: Nina Soon

Evolution Securities (020 7071 4300)
Rob Collins / Henry Turcan


                      This information is provided by RNS
            The company news service from the London Stock Exchange