Burlington Resources Signs Historic Onshore Gas Sales Agreement in China.

Business/Energy Editors

HOUSTON--(BUSINESS WIRE)--May 1, 2002

Burlington Resources Inc. (NYSE:BR) today announced that one of its subsidiaries has signed a historic Natural Gas Purchase and Sales Agreement with PetroChina Company Ltd. The agreement is a first step toward developing a market for substantial natural gas resources discovered on the Chuanzhong Block in the Sichuan Basin in central China, and is the first long-term agreement of its kind in that nation. The agreement covers a large natural gas field known to have several trillion cubic feet of potentially recoverable resources in tight sand reservoirs, with remaining potential awaiting evaluation.

The agreement was signed on April 18 in Beijing by Burlington Resources China Ltd., which serves as operator of the 1.8 million-acre block with 100 percent working interest, and by PetroChina, which is the largest national oil and gas company of the People's Republic of China. The agreement complements the existing Petroleum Contract between the parties.

"We are excited by the potential found thus far in the block, and by the cooperation displayed by PetroChina and the Chinese government," said Bobby S. Shackouls, Burlington's chairman, president and chief executive officer. "The field's characteristics are a perfect fit with our substantial expertise in conducting major basin-centered gas development programs and maximizing production from tight, gas-saturated reservoirs. With a population of 1.4 billion people and one of the world's fastest-growing economies, China represents an appealing market for natural gas."

Burlington acquired its interests in the block during 2001, and has since been engaged in evaluating the block's potential. The company anticipates filing a development plan for the block's first field, Bajiaochang, during the fourth quarter of 2002, with development to follow in 2003. Maximum production would not occur for several years, pending expansion of the area's existing pipeline infrastructure and development of gas markets.

China is a growing focus area in Burlington's international program. The company is also active in offshore oil development in the Pearl River Mouth Basin area of the South China Sea, 100 miles south of Hong Kong. A partnership that includes the China National Offshore Oil Corporation is conducting the Panyu Development Project on Block 15/34, which contains the Bootes and Ursa fields and an estimated 75 million barrels of recoverable reserves. Fabrication is under way on two offshore platforms as well as a floating production, storage and offloading facility. Burlington owns 24.5 percent working interest and expects net peak production of 17,500 barrels of oil per day to begin in late 2003.

Headquartered in Houston, Texas, Burlington Resources is one of the world's largest independent oil and gas companies, with natural gas comprising the vast majority of its reserves. The company has properties in the U.S., Canada, the United Kingdom, South America, Africa and China. Additional information is available on the Burlington Resources Web site at www.br-inc.com.

Forward-Looking Statements

This press release may contain projections and other forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Any such projections or statements reflect the company's current views with respect to future events and financial performance. No assurances can be given, however, that these events will occur or that such projections will be achieved and actual results could differ materially from those projected. A discussion of important factors that could cause actual results to differ materially from those projected is included in the company's periodic reports filed with the Securities and Exchange Commission.