TAQA completes acquisition of Brae assets

TAQA Bratani agreed to purchase Brae from Talisman Energy Inc.'s wholly owned UK subsidiaries Talisman Energy (UK) Limited and Talisman LNS Limited on the 20th December 2006.

Commenting on the completion, TAQA Chief Executive Officer, Peter Barker-Homek, said:

"Our vision is to establish TAQA as a global energy company that now has $21bn in high quality assets diversified across the value chain. Today's closing of the Brae investment is another important milestone in TAQA's growth and evolution. We are a company of some 2,500 employees who span Chennai India to Calgary Canada. We pride ourselves on being a meritocracy, participating constructively with workers councils and having exemplary standards when it comes to health, safety, security and the environment."

"Our investment in Brae presents the ideal entry position into the UKCS Upstream Oil & Gas market. The Brae Area infrastructure has significant future growth potential and provides a robust, reliable base for TAQA to build and grow our UK business. This asset transaction increases our European position, where we have been active in the Netherlands with TAQA Energy since February 2007, investing significant resource to optimise performance and maintain the highest possible operational and safety standards. This culture of continuous improvement does not just apply to the assets we buy, but equally to the people we work with and the communities we serve. Our commitment to our partners and our people is unwavering."

TAQA's investment in Brae and TAQA Bratani's future growth will be led by Steve Bowyer, Head of Upstream Exploration & Production, and the TAQA Bratani team based in Aberdeen. The company intends to establish a new operational headquarters in Aberdeen during the second half of 2008.

Talisman's net production from the Brae assets for 2007 averaged approximately 14,600 boe/d. As at December 31, 2006 proved reserves were 18.5 mmboe, with proved plus probable reserves of 34 mmboe.