Mitsui & Co Ltd: Acquisition of part of Total’s Interest in an onshore oil field in Italy

  Mitsui & Co Ltd: Acquisition of part of Total’s Interest in an onshore oil
  field in Italy

UK Regulatory Announcement

LONDON

This announcement is for our U.S. $5,000,000,000 Euro Medium Term Note
Programme

Mitsui & Co., Ltd. (“Mitsui”, Head Office: Chiyoda-ku, Tokyo, President and
CEO: Masami Iijima) has reached an agreement with Total E&P Italia S.p.A
(“Total”), a group company of Total S.A, to acquire Total E&P Energia Italia
S.r.l which owns a 25% participating interest in the Tempa Rossa onshore oil
field in the Gorgoglione concession in Italy through its newly established
subsidiary Mitsui E&P Italia A S.r.l (“MEPIT”). The sale and purchase
agreement was signed on March 18, 2013. The transaction will be completed
after fulfilling certain conditions, including the approval of the Italian
government. Total will remain as operator with a 50% participating interest.

Tempa Rossa is an onshore oil field located in the Potenza province of Italy’s
southern state Basilicata. Its original oil in place is estimated to range
between 6 to 10 billion barrels, which makes it the largest proved and
undeveloped onshore oil field in Western Europe. The oil storage layer to be
developed is one of the thickest in the world, comprising about 2,000m. To
date, six exploratory wells have been drilled, followed by long-term
production tests, which all confirmed good level of productivity. Total has
been the operator of this concession since 2002. In July 2012, it has declared
a final investment decision together with its partner Royal Dutch Shell plc
(“Shell”) and development work has been commenced.

The total development costs of the concession (100% of the project) are
estimated to be approximately 1.6 billion Euros (approx. 200 billion Yen,
including sunk cost). Production of crude oil and LPG is planned to commence
in 2016. In addition to a lump sum consideration, MEPIT will bear its share of
the development costs based on its participating interest incurred after the
Effective Date. The recoverable reserves of the entire project are estimated
to be approximately 440 million barrels of oil equivalent, with an estimated
peak daily production rate of approximately 50,000 barrels of crude oil and
approximately 240 metric tons of LPG. MEPIT’s corresponding share is
anticipated to be recoverable reserves of approximately 110 million barrels of
oil equivalent, and production of approximately 13,000 barrels of oil
equivalent per day at peak production.

The project is Mitsui’s first acquisition of an interest in natural resources
in Italy. It is part of the company’s plan to acquire crude oil and natural
gas assets in the European region, following the participation into the Polish
shale gas exploration activity in 2011 and the acquisition of oil and gas
producing assets in the U.K. North Sea in 2012. While the decline in
production rate for an oil field tends to be relatively fast in general, this
project is expected to continue production and generate income for over 50
years and is expected to become a core asset in Mitsui’s energy business in
the region. Given its huge original oil in place, there is also upside
potential in reserves by improving the oil recovery rate further in the
future. Furthermore, Mitsui expects to further build upon the existing strong
relationship with Total through this project.

Contractual Coverage

Buyer           Mitsui E&P Italia A S.r.l (“MEPIT”)
Seller           Total E&P Italia S.p.A (”Total”)
                 Entire stake of Total’s 100% subsidiary Total E&P Energia
Acquisition      Italia S.r.l, which owns 25% of the Tempa Rossa oil field in
                 the Gorgoglione Concession
Effective Date   November 30, 2012

Project Overview

Asset                 Tempa Rossa oil field in the Gorgoglione concession
                       50%      Total [Operator]
Interest Holders
                       25%     Shell Italia E&P S.p.A (a 100% subsidiary of
(after closing)                 Shell)
                       25%
                                MEPIT
Location               Potenza province in Basilicata, Southern Italy
Recoverable Reserves   approx. 440 million boe*
                       approx. 52,500 boe per day at peak
Daily Production
                       (Scheduled to commence production in first quarter of
                       2016)

* barrels of oil equivalent

Overview of MEPIT

Company Name                   Mitsui E&P Italia A S.r.l
                                Mitsui & Co., Ltd.:60%
Composition of Shareholders^*
                                Mitsui Oil Exploration Co., Ltd.:40%
Location                        Milan, Italy
Establishment                   March 12, 2013

* Shareholding in Mitsui E&P UK Limited, which wholly owns MEPIT.

Mitsui Oil Exploration Co., Ltd. owns 40% of Mitsui E&P UK Limited since
December 2012.

Overview of Total S.A

Company Name       Total S.A.
Headquarters        Paris, France
Founded             1924
Traded on           Paris Bourse (NYSE Euronext)、New York Stock Exchange
                    (NYSE)
Business            Exploration & Production, Refining, Marketing and Trading
                    of Crude Oil and Natural Gas
Employees*          96,104
Total Assets*       approx. €164.05 billion
Total Production*   approx. 2.35 million boe per day
Total Reserves      approx.11.4 billion boe

* Financial Year 2011

For further information, please contact:

Mitsui & Co., Ltd.                
Investor Relations Division         Tel: +81-3-3285-7910
Corporate Communications Division   Tel: +81-3-3285-7540

Notice:

This announcement contains forward-looking statements. These forward-looking
statements are based on Mitsui's current assumptions, expectations and beliefs
in light of the information currently possessed by it and involve known and
unknown risks, uncertainties and other factors. Such risks, uncertainties and
other factors may cause Mitsui's actual results, financial position or cash
flows to be materially different from any future results, financial position
or cash flows expressed or implied by these forward-looking statements. These
risks, uncertainties and other factors referred to above include, but are not
limited to, those contained in Mitsui's latest Annual Securities Report and
Quarterly Securities Report, and Mitsui undertakes no obligation to publicly
update or revise any forward-looking statements. This announcement is
published in order to publicly announce specific facts stated above, and does
not constitute a solicitation of investments or any similar act inside or
outside of Japan, regarding the shares, bonds or other securities issued by
us.

http://www.mitsui.com/jp/en/release/2013/1199943_4686.html

Contact:

Mitsui & Co Ltd