Gulf Shores Closes First Tranche of Private Placement

Gulf Shores Resources Ltd. (the "Company") (TSX VENTURE:GUL)(FRANKFURT:GFU)
announces that further to its news release dated August 12, 2011 it has received
TSX Venture Exchange ("Exchange") acceptance to the closing of the first tranche
of its private placement and has issued an aggregate 7,610,000 units ("Units")
at a price of $0.05 per Unit for gross proceeds of $380,500 (the "Private
Placement").


2,660,000 of the Units are flow-through Units ("FT Units") and 4,950,000 of the
Units are non-flow-through Units ("NFT Units"). Each FT Unit is comprised of one
flow-through common share and one-half of one flow-through common share purchase
warrant ("FT Warrant"); each whole FT Warrant entitling the holder to purchase
one additional flow-through common share at a price of $0.10 per share for a
period of two years from the date of issuance. Each NFT Unit is comprised of one
common share and one common share purchase warrant ("NFT Warrant"); each NFT
Warrant entitling the holder to purchase one common share at a price of $0.10
per share for a period of two years from the date of issuance. The FT Warrants
and NFT Warrants are subject to an acceleration clause such that in the event
the closing price of the Company's common shares on the Exchange is equal to
greater than $0.15 per share for 20 consecutive trading days at any time
following four months after the date of closing, the Company may, by notice to
the Warrant holders, reduce the remaining exercise period of the FT Warrants and
NFT Warrants to not less than 30 days following the date of such notice. The
Units are subject to a hold period expiring December 13, 2011.


The Company paid aggregate finder's fees of $23,250 and 465,000 finder's
warrants in connection with this first tranche. The finder's warrants are
exercisable at $0.10 for two years, and are subject to a hold period expiring
December 13, 2011.


The private placement proceeds will be used for the drilling of three separate
seismically defined Bakken structures in South East Saskatchewan, and for
general working capital purposes. The first well is expected to commence
drilling this week.


ON BEHALF OF THE BOARD

A. Michael Turko, President and CEO