North West Shelf LNG Confirms Sales Agreement with Osaka Gas

Further to its news release on December 21, 2006, the North West Shelf LNG Venture sellers confirm that following the signing of a binding Heads of Agreement a Sales and Purchase Agreement (SPA) has now been executed with Osaka Gas for the supply of around 0.5 million tonnes of LNG a year starting in April 2009, for six years on an ex-ship basis.

This agreement increases the North West Shelf LNG Venture sales to Osaka Gas to around 1.5 million tonnes a year after 2009.

North West Shelf Australia LNG President Peter Cleary welcomed the completion of the SPA between Japan's second largest gas utility Osaka Gas and each North West Shelf LNG Venture seller.

"The North West Shelf LNG Venture sellers highly value their long-standing business relationship and friendship with its Japanese customers and we are delighted that Osaka Gas which has been a major customer of ours since 1989 has chosen to continue this relationship through the additional purchase of LNG.

As previously stated we believe that this confirms growing market interest in the safe, secure and reliable supplies of LNG from the North West Shelf," Mr. Cleary said.

The six equal participants in the North West Shelf LNG Venture are: BHP Billiton Petroleum (North West Shelf) Pty Ltd; BP Developments Australia Pty Ltd; Chevron Australia Pty Ltd; Japan Australia LNG (MIMI) Pty Ltd; Shell Development (Australia) Proprietary Limited; and Woodside Energy Ltd (Operator).

CNOOC NWS Private Limited is also a member of the North West Shelf Venture but does not have an interest in North West Shelf Venture infrastructure.