OREANDA-NEWS. Mitsui & Co., Ltd. approved the accelerated expansion of the Eagle Ford Shale development in Texas, USA, which is currently owned through Mitsui's 100% subsidiary Mitsui E&P Texas LP, as well as the participation of Mitsui Oil Exploration Co. Ltd. ("MOECO") in the Project.

Mitsui initially acquired the interest in the Project in December 2011 and since then has participated in the development and production, approving its expansion in November 2012. Based on the high profitability outlook of shale oil production assisted by the recent firm oil prices, as well as the ability to focus the development on high productivity areas based on the expertise accumulated to date, Mitsui approved a further accelerated expansion of the Project as outlined below. It is expected that the total production and recoverable reserves throughout the project life will increase as a result of increase in peak production levels and extension of peak production period.

Capital will be spent as drilling activities and facility expansion progress.

In addition, Mitsui has approved that MOECO, a subsidiary of Mitsui, will acquire 40 percent of MEPTX's equity and participate in the Project in October 2013. Mitsui aims to further enhance the value of the Project, leveraging MOECO's expertise and experience in the E&P business.

The Eagle Ford Shale area is located in Texas, USA, which is one of the major oil & gas consuming areas. Mitsui will aim to maximize the value and profitability of the Project through the accelerated expansion as well as the participation by MOECO, and expects the Project will continue to be one of its core businesses, contributing to its cash flow and net income over the long term.