Offshore staff

ADELAIDE, Australia -- A production sharing contract was signed by Santos Ltd. with Petrovietnam for block 101-100/04 in Song Hong basin, offshore Vietnam.

Under this PSC, which was negotiated directly with Petrovietnam, Santos will operate the block and hold a 55% participating interest. Singapore Petroleum Co. Ltd. will hold the remaining 45% interest.

As part of the work commitment, the co-venturers are required to process and interpret existing seismic data, acquire and process new 3D seismic, as well as drill one exploration well within the first three years of exploration.

The total term of the contract is 30 years with an exploration period of at least seven years.

10-30-06