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Press release from Business Wire

ConocoPhillips and CNOOC Reach Agreement with the State Oceanic Administration

Monday, April 30, 2012

ConocoPhillips and CNOOC Reach Agreement with the State Oceanic Administration08:00 EDT Monday, April 30, 2012 HOUSTON (Business Wire) -- As announced by the Chinese State Oceanic Administration (SOA) on Friday, April 27, ConocoPhillips [NYSE:COP] through its affiliate ConocoPhillips China Inc. (COPC) and the China National Offshore Oil Corp. (CNOOC) have reached an agreement with the SOA related to the June 2011 incidents at the Peng Lai 19-3 Field. This agreement resolves all pending governmental claims. Under the agreement, COPC will pay $173 million to the SOA over the next two years and will also contribute $18 million by December 2014 toward social projects benefiting Bohai Bay. The agreement also provides that CNOOC will contribute $76 million toward such projects. The initial programs will focus on improving marine environment protection and reducing pollutants in the bay. COPC continues to work closely with CNOOC to meet the requirements of relevant government agencies to permit the field to return to normal operations. ConocoPhillips is one of the largest foreign investors in China's energy sector, and looks forward to continued operations in China. For more on the incidents, response and clean-up, go to www.conocophillips.com.cn. CAUTIONARY STATEMENT FOR THE PURPOSES OF THE "SAFE HARBOR" PROVISIONSOF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995This press release contains forward-looking statements. Forward-looking statements relate to future events and anticipated results of operations, business strategies, and other aspects of our operations or operating results. In many cases you can identify forward-looking statements by terminology such as "anticipate," "estimate," "believe," "continue," "could," "intend," "may," "plan," "potential," "predict," "should," "will," "expect," "objective," "projection," "forecast," "goal," "guidance," "outlook," "effort," "target" and other similar words. However, the absence of these words does not mean that the statements are not forward-looking. Where, in any forward-looking statement, the company expresses an expectation or belief as to future results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, there can be no assurance that such expectation or belief will result or be achieved. The actual results of operations can and will be affected by a variety of risks and other matters including, but not limited to, changes in commodity prices and refining and marketing margins; changes in expected levels of oil and gas reserves or production; operating hazards, drilling risks, unsuccessful exploratory activities; difficulties in developing new products and manufacturing processes; unexpected cost increases or difficulties maintaining or improving company manufacturing or refining facilities; unexpected difficulties in manufacturing, transporting or refiningcrude oil; international monetary conditions; potential liability for remedial actions under existing or future environmental regulations; potential liability resulting from pending or future litigation; limited access to capital or significantly higher cost of capital related to illiquidity or uncertainty in the domestic or international financial markets; and general domestic and international economic and political conditions; as well as changes in tax, environmental and other laws applicable to our business. Other factors that could cause actual results to differ materially from those described in the forward-looking statements include other economic, business, competitive and/or regulatory factors affecting our business generally as set forth in our filings with the Securities and Exchange Commission (SEC). Unless legally required, ConocoPhillips undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. ConocoPhillipsAftab Ahmed, 281-293-4138 (media)aftab.ahmed@conocophillips.comVladimir dela Cruz, 212-207-1996 (investors)v.r.delacruz@conocophillips.com