press release

Unocal is high bidder on 13 blocks in OCS lease sale

Sugar Land, Texas, Aug. 18, 2004 - Unocal Corporation (NYSE:UCL) today said it is the apparent high bidder for interests in 13 tracts in the Western Gulf of Mexico OCS Lease Sale 192 conducted Wednesday by the U.S. Minerals Management Service (MMS).

The company along with co-bidders submitted apparent high bids amounting to approximately $6.93 million on 13 deepwater leases. Unocal's net total for the tracts is about $3.24 million. (See table below for detailed bid information.) The MMS is currently evaluating the high bids and will accept or reject the bids in the coming months.

Unocal currently holds an interest in 361 Gulf of Mexico leases including 230 deepwater exploratory leases, 67 shelf exploratory leases and 64 shelf development leases.

The results of Sale 192 bring Unocal's combined portfolio to 374 OCS leases in the Gulf of Mexico, if all bids are approved by MMS.

Area/Block Unocal Working Interest Gross Bid Net Bid
Garden Banks 5211
40%
$1,059,840 $423,936
Garden Banks 5651
40%
$328,320 $131,328
Garden Banks 5661
40%
$1,059,840 $423,936
Garden Banks 6041
50%
$1,088,640 $544,320
Keathley Canyon 5452
40%
$246,861 $98,672
Keathley Canyon 5452
40%
$246,861 $98,672
Keathley Canyon 5892
40%
$487,681 $195,072
Keathley Canyon 6332
40%
$523,681 $209,472
Keathley Canyon 6093
50%
$230,681 $115,340
Keathley Canyon 6533
50%
$253,625 $126,812
Keathley Canyon 8244
50%
$668,681 $334,340
Keathley Canyon 8744
50%
$427,681 $213,840
Keathley Canyon 3195
75%
$278,678 $209,008
Keathley Canyon 3205
75%
$278,678 $209,008
  • 1Bid partner and operator - Kerr-McGee
  • 2Bid partners - Devon and Total
  • 3Bid partner - Total
  • 4Bid partner - Devon
  • 5Bid partner - Spinnaker

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 in North America and Asia.

This news release contains forward-looking statements about matters such as the acceptance by the MMS of the bids submitted by Unocal and its co-bidders. Although these statements are based upon Unocal's current expectations and beliefs, they are subject to known and unknown risks and uncertainties that could cause actual results and outcomes to differ materially from those described in, or implied by, the forward-looking statements, including future decisions of the MMS and other factors discussed in Unocal's 2003 Annual Report on Form 10-K, as amended, and subsequent reports filed by Unocal with the Securities and Exchange Commission (SEC File No. 1-8483). Copies of Unocal's SEC filings are available from Unocal by calling 800-252-2233 or from the SEC by calling 800-SEC-0330. The reports are also available on the Unocal web site. Unocal undertakes no obligation to update the forward-looking statements in this news release to reflect future events or circumstances. All such statements are expressly qualified in their entirety by this cautionary statement.

Updated: August 2004