First Oil from Jasmine Field

Tokyo, Jun. 10, 2005

MODEC, Inc. (TSE: 6269) has initiated production from Jasmine field offshore Thailand for Singapore's PEARL Energy Group on June 7. MODEC undertook the modification and life extension of the MODEC-owned FPSO "Buffalo Venture" which was recently renamed "Jasmine Venture MV7". This is the first contract for MODEC to re-deploy its owned FPSO unit to another field. Buffalo FPSO Pte Ltd., 50% subsidiary of MODEC, Inc. owns the FPSO and MODEC will operate the FPSO for maximum 7 years.

Jasmine field is located approximately 300 km south of Bangkok. Crude oil from the reservoir is transported from a fixed platform to the FPSO via 1.5 km pipeline. FPSO "Jasmine Venture MV7" is a tanker-converted FPSO with an external turret mooring system. The FPSO is installed in 60 m of water and has an oil processing capacity of 20,000 barrels of oil per day and storage capacity of 800,000 barrels.

MODEC operated the FPSO at BHPP's Buffalo field in Timor Sea, offshore Australia from December 1999 to December 2004. In late 2000 Nexen became a new field operator of the Buffalo field.

FPSO Jasmine Venture MV7
FPSO Jasmine Venture MV7