ABERDEEN, Scotland, November 30 /PRNewswire/ -- Talisman Energy (UK) Limited and Talisman North Sea Limited, both wholly owned subsidiaries of Talisman Energy Inc., have entered into an agreement to sell the Beatrice oil field and transfer operatorship of the Nigg oil terminal to Ithaca Energy (UK) Limited, a wholly owned subsidiary of Ithaca Energy Inc. The sale is subject to the usual government and third party consents and due diligence. The transaction has an effective date of January 1, 2008, and is expected to complete later in 2008.

It is expected that the current workforce, the majority of who are contractors, will be retained by Ithaca and no job losses are anticipated as a result of the transaction.

"We see this transaction as the best way forward for the Beatrice field," said Nick Walker, Vice-President of Talisman Energy (UK) Limited. "When we acquired the Beatrice field in 1997, the previous operator projected an end of field life in 1998. We have invested significantly in the Beatrice assets and have extended field life by over 10 years. This agreement should ensure the field life is extended still further."

"Ithaca has its Jacky discovery, which it intends to develop via Beatrice and has other exploration prospects in the area. Ithaca is better placed to maximise recovery from the field and surrounding opportunities, thereby securing jobs and investment and writing the next chapter in the life of the field and the Nigg oil terminal."

"The remaining opportunities in the Beatrice field are not material to Talisman and this transaction will allow us to focus our resources on our active development programme elsewhere in the North Sea. This is a win-win for Talisman and Ithaca and the benefactors are the Beatrice assets and the wider UK North Sea where we continue to seek and develop new opportunities."

The sale to Ithaca does not include Talisman's interest in the Beatrice Wind Farm Demonstrator Project, a joint venture between Talisman and Scottish and Southern Energy. The project, which will provide data on the viability of a commercial deepwater offshore wind farm, will continue to provide power for the Beatrice platform.

Talisman Energy (UK) Limited took over from BP as operator of the Beatrice field and Nigg oil terminal in 1997 in an arrangement which also saw the company acquire the Buchan and Clyde fields. The Beatrice field is located approximately 76 miles North West of Aberdeen, in UKCS Block 11/30a and comprises the Beatrice Alpha, Bravo and Charlie platforms, as well as the Nigg oil terminal. Oil is exported to Nigg from Beatrice via a 16 inch pipeline.

Talisman Energy Inc. is an independent upstream oil and gas company headquartered in Calgary, Alberta, Canada. Talisman has operations in Canada and its subsidiaries operate in the North Sea, Southeast Asia, Australia, North Africa, the United States and Trinidad and Tobago. Talisman's subsidiaries are also active in a number of other international areas. Talisman is committed to conducting its business in an ethically, socially and environmentally responsible manner. The Company is a participant in the United Nations Global Compact and included in the Dow Jones Sustainability (North America) Index, as well as the Jantzi Social Index. Talisman's shares are listed on the Toronto Stock Exchange in Canada and the New York Stock Exchange in the United States under the symbol TLM.

Forward-Looking Statements

This news release contains statements that constitute forward-looking statements or forward-looking information (collectively "forward-looking statements") within the meaning of applicable securities legislation. These forward-looking statements include statements regarding: expected closing of the Beatrice sale; planned capital expenditures in the UK North Sea; business plans; and other expectations, beliefs, plans, goals, objectives, assumptions, information and statements about possible future events, conditions, results of operations or performance.

Often, but not always, forward-looking statements use words or phrases such as: "expects," "does not expect" or "is expected," "anticipates" or "does not anticipate," "plans" or "planned," "estimates" or "estimated," "projects" or "projected," "forecasts" or "forecasted," "believes," "intends," "likely," "possible," "probable," "scheduled," "positioned," "goals," or "objectives" or state that certain actions, events or results "may," "could," "would," "might" or "will" be taken, occur or be achieved.

Undue reliance should not be placed on forward-looking statements. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated by Talisman and described in the forward-looking statements. These risks and uncertainties include:

- failure to obtain government and third party consents and the results of due diligence investigations;

- the risks of the oil and gas industry, such as operational risks in exploring for, developing and producing crude oil and natural gas, market demand and unpredictable facilities outages;

- risks and uncertainties involving geology of oil and gas deposits;

- the uncertainty of reserves estimates, reserves life and underlying reservoir risk;

- the uncertainty of estimates and projections relating to production, costs and expenses;

- potential delays or changes in plans with respect to development projects;

- health, safety and environmental risks;

- changes to general economic and business conditions;

- the possibility that government policies or laws may change or governmental approvals may be delayed or withheld; and

- the Company's ability to implement its business strategy.

Readers are cautioned that the foregoing list of risks and uncertainties is not exhaustive. Additional information on these and other factors which could affect the Company's operations or financial results are included: (1) under the heading "Risk Factors" in the Company's Annual Information Form; and (2) under the headings "Management's Discussion and Analysis - Risk Factors" and elsewhere in the Company's 2006 Annual Financial Report. Additional information may be found in the Company's other reports on file with Canadian securities regulatory authorities and the United States Securities and Exchange Commission.

Forward-looking statements are based on the estimates and opinions of the Company's management at the time the statements are made. The Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change, except as required by law.

For further information, please contact: In the UK, Jonathan Moore, Public Relations, Talisman Energy (UK) Limited, Tel: +44(0)1224-352977; In Calgary, David Mann, Senior Manager, Corporate & Investor Communications, Phone: +1-403-237-1196 Fax: +1-403-237-1210, E-mail: tlm@talisman-energy.com; Christopher J. LeGallais, Senior Manager, Investor Relations, Phone: +1-403-237-1957, Fax: +1-403-237-1210, Email: tlm@talisman-energy.com