Conoco Sells Non-Strategic Gulf of Mexico Properties

Conoco has entered into asset and stock sale agreements with Stone Energy Corporation to sell a number of non-strategic Gulf of Mexico oil and natural gas properties.

The transactions are valued at $300 million and are effective Dec. 31, 2001. Several third party working interest owners will have elections to exercise their preferential rights on certain properties. The final price paid by Stone is subject to any elections being exercised.

Conoco said the divestiture would have no impact on its deepwater exploration and production program underway in the Gulf of Mexico.

This sale is part of a program of previously announced property sales to be undertaken by Conoco. The proceeds will be used to continue debt repayment.