Total Updates Block B Contractual Terms in Sudan

Total 12-21-2004

Since November 1980, Total www.total.com , via its subsidiary Total E&P Soudan, operates with a 32.5% interest the 118,000-square-kilometer Block B in southeastern Sudan under a production sharing contract, alongside Marathon Petroleum Sudan Ltd (32.5%), Kufpec Sudan Ltd (25%) and state-owned Sudapet (10%).

Deteriorating security conditions in southern Sudan caused the Group to suspend field operations in 1985. The government of Sudan and Total began talks on resuming operations when negotiations between the government and the Sudan People's Liberation Army (SPLA) led to the signature of preliminary agreements.

Within the framework of these talks, Total and its partners recently concluded an agreement with Sudanese authorities to update the 1980 production sharing contract to take account of new international industry standards, particularly in relation to corporate social responsibility.

Operations will not be resumed until peace and genuine, lasting security have been restored in the region.

Total's commitment, in line with its Code of Conduct and corporate values, is to contribute, when circumstances permit, through its oil operations to the reconstruction of a country ravaged by two decades of civil war.