2009-04-14-2009-01-29

Canceled unsolicited bid for company with net reserves of 2.1 billion BO.

Total E&P Canada Ltd., a subsidiary of Total SA, Paris, (NYSE: TOT) has canceled its unsolicited offer to acquire UTS Energy Corp., Calgary, (Toronto: UTS) in a deal valued at approximately C$830 million (US$681 million) in cash. Total offered C$1.75 per share, which Total reports is a 111% premium to UTS' Jan. 27 closing price of C$0.83. Total previously offered C$1.30 per share in a deal valued at C$617 million (US$505 million) in cash. UTS had approximately 464.2 million shares outstanding as of year-end 2008. UTS rejected the offer as "inadequate and opportunistic." UTS's main asset is a 20% stake in the Fort Hills Project, located in the Athabasca region, in Alberta, at approximately 100 kilometers northeast of Fort McMurray. Petro-Canada, a Canadian company, is the operator of this project with a 60% stake, the remaining 20% stake being held by Teck Cominco. The company has more than 240,000 net acres of lands. Total net reserves for UTS are approximately 2.1 billion barrels. The asset would have strengthened Total's portfolio in the Athabasca region, comprising principally of the Joslyn Project and the Northern Lights Project, that are both in the immediate vicinity of the Fort Hills project, owned by Total 74% and 60% respectively. These projects will also be developed by mining techniques. Total is the operator of the Joslyn Project with a 74% interest. The project will be mainly developed using surface mining technologies. The production potential of the project is currently estimated at 230,000 barrels per day. RBC Capital Markets and TD Securities Inc. were financial advisors to UTS.