AN26 Citi Fun 25

    


Talisman Energy Inc.



Talisman Energy Inc. today announced that its wholly owned limited partnership
FEI Shale L.P. (Fortuna) has reached agreement to earn up to a one-third working
interest in US properties owned by Hallwood Energy L.P. (Hallwood).

"This agreement gives us exposure in a number of areas where we have not been
active, including the deep Barnett and Fayetteville shales," said John Manzoni,
President and Chief Executive Officer. "We also have a technical services
agreement which is a significant part of this deal. Hallwood has a proven track
record in the early stage development of shale programs and we will use this to
augment our experience in the piloting and development of our unconventional
plays."

The agreement calls for a financial commitment of up to $US 125 million by
Fortuna over a period of 12 to 18 months depending on the pace of drilling. Upon
completion of the capital program, Fortuna will have earned a one-third interest
in substantially all of Hallwood's assets, including properties in Texas,
Arkansas and Louisiana, for a total of 108,000 acres (net to Fortuna). The 2008
drilling program calls for 11 wells with the potential for up to 1,000 locations
on evaluated lands.

The key plays include Hallwood's 40% working interest in over 43,000 acres in
the West Texas Deep Barnett and Woodford shales (Reeves and Culberson counties)
and Hallwood's 24,500 net acres in the Arkansas Fayetteville shale (White and
Faulkner counties). Fortuna would earn approximately 14,000 net acres in these
two areas. In total, 285,000 gross acres (approximately 95,000 net acres to
Fortuna) have yet to be evaluated, the majority of which are in Arkansas.

As part of the agreement, Hallwood will provide Talisman and its affiliates with
technical and consulting services for one year. Talisman and its affiliates will
have access to Hallwood's technical staff for assistance on its developing plays
in the Montney, the Bakken, the Utica and Lorraine shales in Quebec and
Marcellus shales in New York and Pennsylvania. Hallwood was instrumental in the
development of the Johnson County Barnett shale between 2001 and 2005, which was
then sold to a large US exploration and production company.

Talisman Energy Inc. is an independent upstream oil and gas company
headquartered in Calgary, Alberta, Canada. Talisman has operations in Canada and
its subsidiaries operate in the UK, Norway, Southeast Asia, North Africa and the
United States. Talisman's subsidiaries are also active in a number of other
international areas. Talisman is committed to conducting its business in an
ethically, socially and environmentally responsible manner. The Company is a
participant in the United Nations Global Compact and included in the Dow Jones
Sustainability (North America) Index. Talisman's shares are listed on the
Toronto Stock Exchange in Canada and the New York Stock Exchange in the United
States under the symbol TLM.

For further information, please contact:

David Mann, Senior Manager, Corporate         Christopher J. LeGallais
& Investor Communications                     Senior Manager, Investor Relations
Phone: 403-237-1196 Fax: 403-237-1210         Phone: 403-237-1957
                                              Fax: 403-237-1210
E-mail: tlm@talisman-energy.com               Email: tlm@talisman-energy.com

Talisman Website: www.talisman-energy.com

14-08

Forward-Looking Information

This press release contains information that constitutes "forward-looking
information" or "forward-looking statements" (collectively "forward-looking
information") within the meaning of applicable securities legislation. This
forward-looking information includes, among others, statements regarding:

    --  business plans for drilling, exploration, development and estimated
        timing;

    --  business strategy and plans;

    --  estimated amounts and timing of capital expenditures;

    --  planned acquisition of working interests and associated timing; and

    --  other expectations, beliefs, plans, goals, objectives, assumptions,
        information and statements about possible future events, conditions,
        results of operations or performance.

Often, but not always, forward-looking information uses words or phrases such
as: "expects", "does not expect" or "is expected", "anticipates" or "does not
anticipate", "plans" or "planned", "estimates" or "estimated", "projects" or
"projected", "forecasts" or "forecasted", "believes", "intends", "likely",
"possible", "probable", "scheduled", "positioned", "goal", "objective" or states
that certain actions, events or results "may", "could", "would", "might" or
"will" be taken, occur or be achieved.

Various assumptions were used in drawing the conclusions or making the forecasts
and projections contained in the forward-looking information contained in this
press release. Information regarding business plans for drilling, exploration,
development and appraisal assumes that the extraction of crude oil, natural gas
and natural gas liquids remains economic.

Undue reliance should not be placed on forward-looking information.
Forward-looking information is based on current expectations, estimates and
projections that involve a number of risks which could cause actual results to
vary and in some instances to differ materially from those anticipated by
Talisman and described in the forward-looking information contained in this
press release. The material risk factors include, but are not limited to:

    --  the risks of the oil and gas industry, such as operational risks in
        exploring for, developing and producing unconventional plays;

    --  the outcome and effects of completed acquisitions of working interests,
        as well as any future acquisitions and dispositions; and

    --  the ability of the Company to integrate any assets it has acquired or
        may acquire or the performance of those assets.

The foregoing list of risk factors is not exhaustive. Additional information on
these and other factors which could affect the Company's operations or financial
results are included in the Company's most recent Annual Information Form and
Annual Financial Report. In addition, information is available in the Company's
other reports on file with Canadian securities regulatory authorities and the
United States Securities and Exchange Commission. Forward-looking information is
based on the estimates and opinions of the Company's management at the time the
statements are made. The Company assumes no obligation to update forward-looking
statements should circumstances or management's estimates or opinions change,
except as required by law.

Citi Fun 25 (LSE:AN26)
Historical Stock Chart
From Jun 2024 to Jul 2024

Citi Fun 25 (LSE:AN26)
Historical Stock Chart
From Jul 2023 to Jul 2024