Loan Agreement for Petróleo de Venezuela S.A

Feb. 23, 2007

Main Contents

Mitsui & Co., Ltd. ("Mitsui") announced today the closing of the agreement for loan facilities (US$ 3.5 billion, 15 years) jointly granted to Petróleo de Venezuela S.A. ("PDVSA") by Mitsui and Marubeni Corporation ("Marubeni"), with the support of the Japan Bank of International Cooperation ("JBIC").

In addition to the loan agreements, Mitsui and Marubeni simultaneously, signed frame contracts by which Mitsui and Marubeni obtain the right to negotiate and conclude agreements to off-take crude oil and petroleum products on an annual review basis with PDVSA during the loan period.

JBIC and several commercial banks have formed a syndicate as senior lenders and will provide the loan facilities for such off-taking transactions to two special purpose companies (Caribe Financing Company B.V. and Yupca Finance B.V., -SPCs-,  established in the Netherlands by Mitsui (50%) and Marubeni (50%)).  The loans to the SPCs will be extended to PDVSA, which will service the debt through sales proceeds from oil and petroleum products from Venezuela through the off-taking arrangements.

PDVSA is the national oil company of Venezuela, which is the 8th largest crude oil producer in the world, and is currently producing around 3 million barrels per day of crude oil. Mitsui seeks to strengthen and develop relations with the national oil company and to contribute to diversifying Japan's energy supply sources and to creating and expanding business opportunities for Japanese companies in the oil and gas sector in Venezuela.

Outline of PDVSA ( As of end/December, 2005)

Name Petróleo de Venezuela S.A.
Business Activities Exploration, production, refining, transport and commerce of hydrocarbons.
Sales US$ 85,730 million
Operating Income US$ 19,209 million
Net Income US$ 6,483 million
Total Assets US$ 70,365 million
Shareholders' Equity US$ 47,095 million

This press release includes forward-looking statements about Mitsui. These forward-looking statements are based on the current assumptions and beliefs of Mitsui in light of the information currently available to it, and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. The risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest annual report on Form 20-F, which has been filed with the U.S. Securities and Exchange Commission.
This press release is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.


For inquiries on this matter, please contact

Mitsui & Co., Ltd.
Investor Relations Division
Telephone: +81-3-3285-7910
Facsimile: +81-3-3285-9819
Mitsui & Co., Ltd.
Corporate Communications Division
Telephone: +81-3-3285-7596
Facsimile: +81-3-3285-9819