Update: ConocoPhillips completed the sale of its prior holding of LUKOIL shares in the first quarter of 2011. The company no longer owns interest in LUKOIL.

HOUSTON, Sept. 27, 2010 --- ConocoPhillips [NYSE:COP] today announced it received notice of LUKOIL’s intent to exercise its option to purchase 42,500,000 of the LUKOIL depositary receipts held by ConocoPhillips at a price of $56 per share. ConocoPhillips has been advised by LUKOIL that the depositary receipts will be delivered to a third party financial institution. ConocoPhillips expects to receive pretax proceeds of $2.38 billion at closing on September 29, 2010.

With completion of the option exercise, combined with the previously announced $3.44 billion sale of shares to LUKOIL and open market sales, ConocoPhillips will have generated year-to-date pretax proceeds of $6.44 billion. These proceeds will be used primarily to repurchase ConocoPhillips common stock. Following the option exercise, ConocoPhillips will hold a 6.15% remaining interest in LUKOIL.

ConocoPhillips is an integrated energy company with interests around the world. Headquartered in Houston, the company had approximately 29,900 employees, $151 billion of assets, and $181 billion of annualized revenues as of June 30, 2010. For more information, go to www.conocophillips.com.

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CONTACTS

Nancy Turner (media) 281-293-1430
nancy.e.turner@conocophillips.com

Clayton Reasor (investors) 212-207-1996
c.c.reasor@conocophillips.com 

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