NEWS RELEASE - Gulf Indonesia, Talisman and Pertamina update the status of Suban-4 well

Gulf Indonesia Resources Limited, a 72 percent subsidiary of Gulf Canada Resources Limited, Talisman (Corridor) Ltd., a wholly owned subsidiary of Talisman Energy Inc., and Pertamina announced today an update on the status of the Suban-4 delineation well in the Corridor Production Sharing Contract (PSC) area in south Sumatra, Indonesia.

The drilling of the Suban-4 well has reached the targeted depth of 3,200 metres, approximately 700 metres deeper than the lowest tested gas in the previous wells drilled into the Suban structure. During drilling, the well penetrated a thicker section of Baturaja limestone and a similar thickness of Talang Akar sandstone compared to the Durian Mabok-2 well, located four

kilometres to the southeast. Logs run over the lower section of fractured pre-Tertiary granites were inconclusive in confirming the depth of the gas/water contact.

Preparations are underway for testing of the well over approximately thirty days. The initial test is planned for an open-hole interval within fractured pre-Tertiary granites between 2,715 metres and 3,200 metres to determine the gas/water contact. Following the initial test, flow tests are planned for selected intervals below 2,234 metres, including an extended flow test to provide additional information about reservoir continuity.

Gas reserves at Suban will be available to supply future expansions of the Corridor Gas Project as well as additional domestic and international gas marketing opportunities.

"The information learned to date from the Suban-4 well is very exciting," said Cliff Zeliff, Vice President, Exploration of Gulf Indonesia. "The results of the upcoming tests will provide valuable information to help establish the magnitude of reserves of the Suban field."

Gulf Indonesia (GRL: NYSE) holds a 54 per cent working interest in the Corridor Block Production Sharing Contract and is contract operator for Pertamina, the Indonesian state oil company. Gulf Indonesia is 72 per cent owned by Gulf Canada Resources Limited (GOU: TSE, NYSE). Partners are Talisman (Corridor) Ltd., a wholly owned subsidiary of Talisman Energy Inc. (TLM: TSE, NYSE), with 36 per cent and Pertamina with 10 per cent.

This release contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including information about proposed testing programs. Although Gulf Indonesia and Talisman believe that their expectations are based on reasonable assumptions, these assumptions are subject to a number of risks and uncertainties, and there is no assurance the companies' objectives will be achieved.

For further information:

Gulf Indonesia Resources Limited, Glen Valk, Manager, Investor Relations, Phone: 62-21-575-4146 (Jakarta), Website: www.gulfindonesia.com;

Gulf Canada Resources Limited, David Carey, Director, Public & Investor Relations, Phone: (403) 233-4000 (Calgary), Website: www.gulf.ca;

Talisman Energy Inc., David Mann, Manager, Investor Relations, Phone: (403) 237-1196 (Calgary), Website: www.talisman-energy.com. (*)