press release

Unocal adds GOM leases in OCS sale

Sugar Land, Texas, Aug. 22, 2001 -- Unocal Corporation (NYSE: UCL) today said its Deepwater USA and Gulf Region USA business units are the apparent high bidders for interests in 12 deepwater blocks and 5 shelf blocks in the Western Gulf of Mexico OCS Lease Sale No. 180 conducted today by the U.S. Minerals Management Service (MMS).

The company exposed a total of $4.4 million, with apparent high bids amounting to approximately $4 million (See table for detailed bid information).

Mike Bell, vice president for Unocal Deepwater USA, said that the company is pleased with its success in acquiring more acreage in Alaminos Canyon on trend with its recent Trident discovery in the Perdido Foldbelt.

Ken Butler, vice president for Unocal Gulf Region USA, said that this lease sale gave the company an opportunity to acquire leases on the GOM shelf that could take advantage of the company's extensive infrastructure.

About Unocal Corporation

Unocal is one of the world's leading independent natural gas and crude oil exploration and production companies. The company's principal operations are located in North America (Gulf of Mexico region, Alaska and Canada) and in Asia (Thailand, Myanmar, Indonesia, and Bangladesh). The company is also pursuing exploration programs in West Africa and Brazil.

Prior to the sale, Unocal, through its Deepwater USA and Gulf Region USA units, held an interest in 480 Gulf of Mexico leases. Of that total, 237 exploratory leases are located in deep water, while another 113 exploratory leases are on the shelf. Unocal Gulf Region USA also has 130 development leases on the GOM shelf.

The results of Sale 180 will bring the Unocal business units' combined portfolio to 497 OCS leases in the Gulf of Mexico, if all bids are approved by the MMS.

Western Gulf of Mexico Lease Sale No. 180 - August 22, 2001 Apparent High Bids by Unocal (100% W.I.)

Area/Block Bid Amount ($)
Deep Water
Alaminos Canyon 341 255,676
Alaminos Canyon 384 254,876
Alaminos Canyon 385 255,676
Alaminos Canyon 428 255,576
Alaminos Canyon 429 255,776
Alaminos Canyon 472 255,676
Alaminos Canyon 518 236,676
Alaminos Canyon 519 236,676
Alaminos Canyon 430 227,776
Alaminos Canyon 562 227,776
Alaminos Canyon 473 221,876
Alaminos Canyon 516 221,876
GOM Shelf
High Island A-8 428,925
High Island A-444 168,070
East Breaks 294 227,888
High Island 35 160,898
Matagorda Island 711 151,578

Updated: August 2001