Peru LNG Holds Official Signing and Site Dedication with President Toledo

Peru LNG, a partnership between Hunt Oil Company, SK Corporation and Repsol YPF announced that a ceremony was held today at Pampa Melchorita with special guests President Alejandro Toledo of Peru; Ray L. Hunt, CEO of Hunt Oil Company, Jeong Joon Yu, Senior Vice President of SK Corporation, and Antonio Brufau, CEO of Repsol YPF, for the purpose of dedicating the Liquefied Natural Gas Plant construction site and signing the official Investment Agreement between the Peru LNG partnership and the Government of Peru.

Participating in the ceremony at Km169 on the South Pan-American Highway along with the partnership representatives and President Toledo was Peru's Minister of Energy and Mines, Engineer Glodomiro Sanchez.

"This project represents for Peru an approximate investment of US$2.5 billion and additional revenues for the government of over US$200 million per year in royalties and taxes", said Alejandro Toledo, Constitutional President of Peru.

Ray L. Hunt, CEO of Hunt Oil Company, said, "Today is a day for national celebration as what has brought us all together on this site at this time is the beginning of a new era in the prosperity of the Republic of Peru -- an era that will benefit every citizen of this great country and help establish the Republic of Peru as a stable and responsible leader in the family of nations which constitute Latin America."

"For Repsol YPF, its commitment to this interesting project represents a significant step forward in achieving its expectations of growing in the Upstream business and increasing its participation in LNG businesses", said Antonio Brufau, CEO of Repsol YPF.

"SK Corporation, together with other project partners, will make utmost efforts to bring out the success of oil & gas development and LNG projects in Peru, and do our best to work more closely with Peruvian government to strengthen the energy and economic cooperation between Peru and Korea", said Jeong Joon Yu, CEO of SK E&P Co. and Senior Vice President of SK Corporation.

"Peru has been blessed in terms of having a political system which is very much aware of its responsibilities to the people of Peru both today, and for many generations to come. The result of the stability and foresight that is represented by the Government of Peru is why we have gathered here today to dedicate the site and sign this most important Investment Agreement", said Mr. Hunt.

"Peru has always demonstrated compliance with the rules of the game and legal stability, which has allowed this ongoing economic growth", said Carlos del Solar, Director of PLNG and President and General Manager of Hunt Oil Company, Peru.