DALLAS, Jul 6, 2000 (BUSINESS WIRE) --  Queen Sand Resources, Inc. (OTCBB:QSRI)
announces that the Company, along with Choctaw II Oil & Gas, Ltd., has sold its
interest in the Lopeno and Volpe properties to Cody Texas L.P.
 
In a separate agreement with Cody Texas, L.P., Queen Sand Resources purchased
25% of all the interests in the Lopeno and Volpe properties along with several
other properties in the area that were acquired by Cody Texas L.P. Queen Sand
Resources now owns an approximate 25% working interest in the properties. The
Company netted about $3.3 million in cash from the transactions. The closing
date was June 30, 2000.
 
"We are very pleased with this deal. It is consistent with our stated objective
to evolve our net profits interests into working interests where this change is
beneficial to the overall development of the property. Cody Energy LLC will be
the operator for the properties. We will be pursuing a revitalized development
and exploration program," stated Ted Munden, Chairman, President and CEO.
 
Queen Sand Resources, Inc. is an independent domestic oil and natural gas
company established in 1994 to acquire, develop, operate and enhance oil and
natural gas properties using conventional recovery techniques. An affiliate of
Enron Corporation, an energy industry leader with assets of approximately $34
billion, holds a significant equity interest in the Company. Queen Sand
Resources has interests in over 580 wells in six different hydrocarbon producing
basins in the United States.
 
We make forward-looking statements in this document, and in our public documents
to which we refer, that are subject to risks and uncertainties in addition to
those set forth above. These forward-looking statements include information
about possible or assumed future results of our operations. Also, when we use
any of the words "believes," "expects," "anticipates" or similar expressions, we
are making forward-looking statements. Many possible events or factors could
affect our future financial results and performance. This could cause our
results or performance to differ materially from those we express in our
forward-looking statements. These and other risks are described in the Company's
publicly filed documents and reports that are available from the Company and
from the SEC.
 
 
 CONTACT:          Queen Sand Resources, Inc.
                   Bruce Benn, 613/230-7211, extension 226
                   qsri.com