2009-08-15-2009-02-01

To acquire 100%-operated interest in Kinsale Head area comprising Kinsale Head, South West Kinsale, Ballycotton gas fields; 86.5% interest in Seven Heads Field; 100% interest in gas-storage business.

Star Energy Group, a subsidiary of Kuala Lumpur, Malaysia-based Petroliam Nasional Berhad (Petronas), plans to acquire Marathon Oil Ireland Ltd. from parent Marathon Oil Corp., Houston, (NYSE: MRO) for US$180 million. Marathon Oil Ireland's assets are offshore Ireland include 100%-operated interest in the Kinsale Head area comprising Kinsale Head, South West Kinsale and the Ballycotton gas fields. The assets also include 86.5% interest in the gas-producing Seven Heads Field which is tied back to Kinsale, and 100% interest in Marathon's gas-storage business with current capacity of 7 billion cubic feet. The deal excludes Marathon's 18.5% interest in the Corrib gas development. Current net production from these operations is approximately 36 million cubic feet of gas per day. Net proved reserves as of year-end 2007 were 46.2 billion cubic feet (7.7 million barrels of oil equivalent) and total net risked resources were 62 billion cubic feet. Marathon executive vice president, upstream, David E. Roberts Jr. says, "With the sale of Marathon Oil Ireland Ltd., our global asset portfolio review and the resulting sale of noncore assets has generated nearly US$1.2 billion in cash pretax. We anticipate that this program will generate US$2- to US$4 billion in cash pretax by mid-year 2009. The objective of this global review is to ensure our assets are fully aligned with our business strategy and that we are well positioned to continue generating sustainable value growth." The deal is expected to close early in the first quarter of 2009.