Wind Farm Demonstrator

Scottish & Southern Energy PLC
27 August 2004


SSE AND TALISMAN ENERGY TO BUILD OFFSHORE

WIND FARM DEMONSTRATOR PROJECT


Scottish and Southern Energy plc (SSE), and Talisman Energy (UK) Limited, a
wholly owned subsidiary of Talisman Energy Inc, have announced plans to
construct a £24 million deepwater wind farm demonstrator project adjacent to the
Talisman-operated Beatrice Field, 25 kilometres off the east coast of Scotland.
The demonstrator project will test technologies for deepwater wind farms distant
from the shore, with no visual impact. The results will help determine if
large-scale developments of this type are a practical source of renewable
energy. The project will include the design, construction, installation and
operation of two prototype turbines.

The power generated by the turbines will be used at the Beatrice platform and
will operate alongside Talisman's existing operations at Beatrice without
affecting production. It is anticipated that construction of these turbines will
begin later this year and first electricity generation is expected to begin late
in 2006.

The demonstrator project will receive £3 million in funding from each of the
Scottish Executive and the UK Department of Trade and Industry and €6 million
from the European Commission. SSE, and its co-venturer in this project,
Talisman, will each contribute around £7 million. To date, Talisman and SSE have
conducted four feasibility studies, together spending £2 million.

'There is widespread agreement that the key to realising the full potential of
renewable energy over the long term is the development of new technologies,'
said SSE Chief Executive Ian Marchant. 'We are committed to building on our
position as the UK's largest generator of electricity from renewable sources.
Our participation in this demonstrator project reflects our belief in the long
term opportunities that renewable energy offers and confirms that Scotland and
the rest of the UK is well positioned to become a leader in this field.'

                                    - Ends -

contacts:
Alan Young - Director of Corporate Communications 0870 900 0410.
Denis Kerby - Media and IR Manager0870 900 0410.



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