The ratings on Talisman Energy Inc. reflect the company's competitive position, drill bit- and acquisition-focused growth strategy, and conservative financial risk profile. Risks associated with Talisman's high-growth strategy are balanced with low geologic risk in most of the company's major projects, increasing diversification, and its long history of adhering to its stated financial policies. Following the sale of its interests in Sudan, the company's production mix is expected to remain liquids-focused, with the near-term mix shifting to about 55% liquids and 45% natural gas from its current 60% to 40% ratio. Talisman's proven reserves will be located primarily in Canada, the North Sea, Indonesia, Malaysia, Vietnam, and Algeria. The company's 2002 proved finding and development (F&D) costs, which averaged C$8.87
