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Press release from CNW Group

STERLING ANNOUNCES SUCCESSFUL WELL TEST AT CLADHAN

Monday, September 13, 2010

STERLING ANNOUNCES SUCCESSFUL WELL TEST AT CLADHAN02:00 EDT Monday, September 13, 2010CALGARY, Sept. 13 /CNW/ - Sterling Resources Ltd. (TSX-V:SLG) ("Sterling" or the "Company") is pleased to announce successful test results for the Cladhan well 210/29a-4z, for which the initial drilling success was previously announced on August 30th. The Drill Stem Test (DST) of the well has been conducted by perforating the interval at a Measured Depth (MD) of 10,806 to 10,869 feet. The well was flowed for a total of nearly 18.7 hours, over which 13 hours were stabilised at an average rate of 5,903 barrels of 34 degree API oil per day on a 28/64 inch fixed choke, with a final wellhead pressure of 1,874 psig.The original discovery well 210/29a-4 was drilled in November 2008 to a depth of 9,734 feet MD and discovered oil bearing sands in an Upper Jurassic stratigraphic trap. An updip sidetrack was drilled 11,215 feet MD, encountering a gross hydrocarbon column of 159 feet, with 102 feet of net hydrocarbon bearing sandstones compared to the discovery well, which had 31 feet of net pay."These are truly excellent well test results, especially considering we have only perforated half of the net pay in the well. We also had to constrain the flow rate of the well due to limitations on the maximum capacity of the surface separation equipment, and also due to the small diameter of the DST tools and 3 1/2 inch tubing used while testing. Our analysis of the performance of the well indicates that with a larger 4 1/2 inch completion tubing, the well is capable of producing over 15,000 barrels of oil per day," stated John Rapach, Sterling's Chief Operating Officer. "I would like to thank all of our staff and contractors that have helped to make Cladhan a success story so far," added Mr. Rapach."Certainly this is a solid first step towards development of the field, with exceptional production rates from a high quality well," noted Mike Azancot, Sterling's President and CEO. "Now we need to ascertain the scale of the development by drilling downdip of the current well through a second sidetrack operation which will commence later this week," added Mr. Azancot.Sterling holds a 39.9% interest in Cladhan and is the operator of the License P1064. Partners are Wintershall (UK North Sea) Ltd 33.5 %, Encore Petroleum Ltd 16.6 % and Dyas UK Ltd 10%.Sterling Resources Ltd. is a Canadian-listed international oil and gas company headquartered in Calgary, Alberta with assets in the United Kingdom, Romania and France. The shares are listed and posted for trading on the TSX Venture Exchange under the symbol "SLG".The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.Filer Profile No. 00002072Forward-Looking StatementsAll statements included in this press release that address activities, events or developments that Sterling expects, believes or anticipates will or may occur in the future are forward-looking statements. In addition, statements relating to reserves or resources are deemed to be forward-looking statements as they involve the implied assessment, based on certain estimates and assumptions that the reserves and resources described can be profitably produced in the future.These forward-looking statements involve numerous assumptions made by Sterling based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other-forward looking statements will prove inaccurate, certain of which are beyond Sterling's control, including: the impact of general economic conditions in the areas in which Sterling operates, civil unrest, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with oil and gas operations. Readers should also carefully consider the matters discussed under the heading "Risk Factors" in the Company's Annual Information Form.Undue reliance should not be placed on these forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. Sterling's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements. These statements speak only as of the date of the press release. Sterling does not intend and does not assume any obligation to update these forward-looking statements except as required by law.Financial outlook information contained in this press release about prospective results of operations, financial position or cash flows is based on assumptions about future events, including economic conditions and proposed courses of action, based on management's assessment of the relevant information currently available. Readers are cautioned that such financial outlook information contained in this press release should not be used for purpose other than for which it is disclosed herein.%SEDAR: 00002072EFor further information: visit www.sterling-resources.com or contact: Mike Azancot, President and Chief Executive Officer, Phone: 44-1330-826764, Mobile: 44-7740-432883, mike.azancot@sterling-resources.co.uk; David Blewden, Chief Financial Officer, Phone: 44-1330-826766, Mobile: 44-7771-740804, david.blewden@sterling-resources.co.uk; George Kesteven, Manager, Corporate and Investor Relations, Phone: (403) 215-9265, Fax: (403) 215-9279, george@sterling-resources.com