BG Group enters Oman with Exploration and Production Sharing Agreement

BG Group enters Oman with Exploration and Production Sharing Agreement
Stock Exchange Announcement	30 April 2006

BG Group has today signed an Exploration and Production Sharing Agreement (EPSA) with the Government of the Sultanate of Oman for a 100% interest in and operatorship of Block 60 onshore Oman.

Block 60, which covers almost 1500 square kilometres (sq km), contains the Abu Butabul gas and condensate discovery which was made in 1998.

In addition to this discovery there are other exploration prospects within the Block.

BG will acquire seismic over the area and conduct a comprehensive appraisal drilling programme to assess fully the reserve potential.

Speaking today, BG Group Chief Executive Frank Chapman, said:

“We are delighted to be working in partnership with the Omani Government to assist in the development of the natural gas sector within the Sultanate. Our intention is to appraise and commercialise these potential reserves for supply into the domestic market.

“Our entry into Oman represents a significant development in the Group’s aspirations within the region. To this end, we are establishing an office in Oman to support our participation in the continued development of the Omani gas industry and to assess further opportunities in the region.”

Notes to Editors:

BG Group plc is a global natural gas business. Active on five continents in over 20 countries, it operates four business segments – Exploration and Production, LNG, Transmission and Distribution and Power.

Block 60 onshore Oman was formerly part of the Block 6 concession area. It contains the Abu Butabul reservoir which has a single discovery well that was drilled in 1998. This well revealed the presence of gas and condensate in a tight reservoir contained in a structure that is mapped over an area of approximately 560 sq km.

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There are matters discussed in this media information that are forward looking statements. Such statements are only predictions and actual events or results may differ materially. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to the Company's annual report and accounts for the year ended 31 December 2005.

Cautionary note to US investors - The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this press release such as "proved and probable reserves", "initial reserves" and "unbooked resources", that the SEC's guidelines strictly prohibit us from including in filings with the SEC. US investors are urged to consider closely the disclosure in our Form 20-F, File No. 1-09337, available from us at BG Group, 100 Thames Valley Park Drive, Reading RG6 1PT. You may read and copy this information at the SEC's public reference room, located at 100 F Street, NE, Room 1580, Washington, D.C. 20549. Please call the SEC at 1-800-SEC-0330 for further information on the public reference room. This filing is also avail able at the internet website maintained by SEC at http://www.sec.gov.