Alliance Resources - Disposal by Subsidiaries

RNS No 3789k
ALLIANCE RESOURCES PLC
20th October 1997

Disposal of Non-Core U.S. Properties

Monday, October 20, 1997 Alliance Resources Plc (Alliance) today announces
that two of its subsidiaries have sold certain non-operated U.S. oil and gas
properties to Staghorn Resources Limited Liability Company for a cash
consideration of U.S. $1.040 million.  The consideration will be subject to
various post-closing adjustments which are not expected to be material.

The disposal includes non-operated interests owned by Alliance in nine fields
comprising thirteen separate properties located in the states of Mississippi,
Oklahoma, Louisiana and Texas with combined remaining net reserves of 49,200
barrels of oil and 1.4 billion cubic feet of natural gas as of May 1, 1997,
the effective date of the transaction.  These reserves represent approximately
2% of the group's total oil and gas reserves as of May 1, 1997.  In the latest
financial period prior to the effective date of sale, profits attributable to
these properties were not material.

Jak Keenan, Managing Director of Alliance stated:  This disposal follows a
further strategic review of Alliance's operations and assets post the merger
with LaTex Resources, Inc. and continues the policy of selective disposal of
non-operated properties which are not part of Alliance's ongoing core
activities.  The proceeds from the sale are to be re-deployed elsewhere in the
business.

Inquiries to:

Alliance Resources Plc
Jak Keenan, Managing Director
Tulsa, Oklahoma  USA
Telephone: [phone]
Brian Williams, Finance Director
London, UK 
Telephone: [phone]


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