CALGARY, May 14, 2012 /CNW/ - Sterling Resources Ltd. (TSX-V: SLG)
 ("Sterling" or "the Company") is pleased to announce that development
 drilling operations have commenced at Breagh in the UK Southern North
 Sea. The Ensco 70 rig has been deployed to start the Breagh development
 drilling program in anticipation of first gas production from the field
 during the third quarter. Previously drilled wells 42/13-3 and
 42/13-5Z, suspended for future use as early development wells, will be
 re-entered and sidetracked to re-drill the reservoir interval.
 Following the recompletion of these two wells, up to eight new
 development wells are expected to be drilled, completed and put on
 production over the next 2 years, in line with the approved FDP.


The Breagh field is located in UKCS blocks 42/12a and 42/13a of the
 Southern North Sea in 62 metres water depth, approximately 100 km east
 of Teesside.  The field is a conventional Carboniferous reservoir and
 will be the first large scale production for Sterling. The Breagh Alpha
 platform situated in the western region of the field will collect gas
 from the wells. Gas will be exported through the 100 km, 20 inch
 pipeline to Coatham Sands, Redcar on the UK mainland, and a 10 km
 onshore pipeline for processing at the Teesside Gas Processing Plant
 (TGPP) at Seal Sands.  Following processing at the TGPP, the gas will
 enter the UK National Transmission System.  The potential maximum
 capacity of the Breagh pipeline and onshore plant is 400 MMcf/d,
 providing the flexibility to transport gas from potential satellite
 fields owned by the Breagh partners and on behalf of third parties in
 adjacent fields. Sterling holds a 30 percent interest in Breagh, with
 RWE Dea, as operator, holding the remaining 70 percent.