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Texas

Assets

Marathon operates three production areas onshore East Texas and Louisiana and owns interests in Permian Basin fields in West Texas. Including production from the Haynesville and Bossier Shale plays in East Texas and Louisiana, this region accounted for 6 percent and 10 percent of Marathon's 2010 total U.S. liquid hydrocarbon and natural gas sales, respectively.

Eagle Ford

Marathon Oil has a major leasehold position in the core of the Eagle Ford Shale formation in South Texas. The Eagle Ford Shale extends over 400 miles, stretching northeast from the Mexican border near Laredo to beyond Houston, although the most active areas are south of San Antonio. Marathon views the Eagle Ford as the premier liquids-rich resource play in North America, and the Company has invested strategically to grow its presence in the formation’s highest value oil and condensate core areas.

Specifically, Marathon Oil’s activity is focused on Atascosa, Gonzales, Karnes, DeWitt and Wilson counties, and the Company has opened offices in Kenedy, Pleasanton and San Antonio. By the end of 2011, Marathon Oil expects to have 10 rigs operating in the play, with plans to expand to approximately 17 rigs by the end of 2012 and achieve production of approximately 100,000 net barrels of oil equivalent per day by 2016.