OREANDA-NEWS. November 02, 2012. Mitsui & Co., Ltd. ("Mitsui", Head Office: Tokyo, President and CEO: Masami Iijima), approved its expanded outlook for the scope of the development of the Eagle Ford Shale properties in Texas USA ("the Project"), which is owned through Mitsui's 100% subsidiary Mitsui E&P Texas LP ("MEPTX").

Project Life Outlook at the Time of Participation (MEPTX net)Peak Production approximately 20,000 boed (barrels of oil equivalent per day)
Total Project Costs approximately USD 1.2 billion
Life of Production approximately 30 years

Latest Project Life Outlook (MEPTX net)Peak Production approximately 24,000 - 30,000 boed
Total Project Costs USD 1.8 Billion plus
Life of Production approximately 30 years

The Project is accelerating the drilling activities over and above our previous outlook, and it is expected that the total number of wells to be drilled will increase over the next decade or so. The Project will also expand the gathering and processing facilities in line with the expansion of the drilling activities. It is expected that the total production and recoverable reserves throughout the project life will increase through the increase of peak production and the extension of the peak production period. Capital will be spent as drilling activities and facility expansion progress.

The Eagle Ford Shale is located in Texas, USA which is one of the major oil & gas consuming area. We expect that the total production volume will increase with the expanded scope of the Project, and the Project will become one of our core businesses, contributing to our cash flow and net income over the long term.

We regard our energy and mineral resources business as a strategically important business and will continue to acquire attractive oil and natural gas assets in order to establish a more robust and well-balanced business portfolio.