Cabot to sell GoM properties to Phoenix Exploration

Offshore staff

HOUSTON -- Cabot Oil & Gas Corp. has entered into a definitive agreement to sell its offshore portfolio and its south Louisiana properties to Phoenix Exploration Co. LP.

Under the proposed transaction, Cabot will sell the properties to Phoenix for $340 in cash. The sale is expected to close on September 29, subject to due diligence and other customary closing conditions.

At year-end 2005, the assets identified for sale totaled 73 bcfe in Cabot's proved reserve report.

08/29/06