Press Release: Talisman delivers first natural gas to Singapore

CALGARY, Alberta-- Sept. 26, 2003? Talisman (Corridor) Ltd. ("Talisman"), a wholly-owned subsidiary of Talisman Energy Inc., commenced gas sales from the Corridor Block Production Sharing Contract in South Sumatra to Gas Supply Pte. Ltd. in Singapore on September 16. This marks the first sale of gas from the Corridor Block to markets outside Indonesia.

Under the terms of the 20-year gas sales agreement signed February 12, 2001, sales from the Corridor Block and two other Blocks in Sumatra are expected to peak at 367 million cubic feet per day (MMCFD)in 2009, of which gas sales to Singapore from Corridor will be about 155 MMCFD (Talisman's share approximately 56 MMCFD). This is the third major gas sale from the Corridor Block. Talisman holds a 36 percent interest in the Corridor Block with ConocoPhillips (54 percent) and Pertamina (10 percent).

Production from the Corridor gas plant started in 1998, with Talisman's share averaging approximately 98 MMCFD in 2003. At year end 2002, Talisman had booked over 1 tcf of proved natural gas reserves and expects to transfer more reserves to the proved category with finalization of additional gas sales contracts. These include an agreement to sell gas from Corridor to Island Power in Singapore commencing in 2006. The contract is for up to 15 years and Talisman's share of volumes is expected to be 117 billion cubic feet. In addition, negotiations are underway and Heads of Agreement have been entered into for major gas sales from Corridor to markets on the island of West Java.

Talisman Transgasindo Ltd., another wholly-owned subsidiary of Talisman Energy Inc., indirectly owns a 6 percent interest in the pipeline from the Grissik plant on the Corridor Block to the Duri steam flood project. It also has a right to acquire a 6 percent interest in the 474-kilometre pipeline from Grissik to Singapore.

Talisman Energy Inc. is a large, independent oil and gas producer, with operations in Canada and, through its subsidiaries, the North Sea, Indonesia, Malaysia, Vietnam, Algeria and the United States. Talisman's subsidiaries also conduct business in Trinidad, Colombia and Qatar. Talisman has adopted the International Code of Ethics for Canadian Business and is committed to maintaining high standards of excellence in corporate citizenship and social responsibility wherever its business is conducted. Talisman's shares are listed on Toronto Stock Exchange in Canada and New York Stock Exchange in the United States under the symbol TLM. (end of release)