press release

Unocal unit adds new production at North Fresh Water Bayou Field

Sugar Land, Texas, April 23, 1997 -- Unocal Corporation said today that its Spirit Energy 76 domestic exploration and production unit successfully completed a fourth development well in the North Fresh Water Bayou Field in Vermilion Parish, La., that has raised the field's natural gas production by more than 15 percent and more than doubled the liquids production.

The North Fresh Water Bayou Field's F-21 well was completed at a drilled to a total depth of 14,106 feet and is producing a daily average of 3.5 million cubic feet (mmcf/d) of gas and 700 barrels of condensate (bcp/d) through a 15/64-inch choke. Flowing tubing pressure is 5,000 pounds per square inch. The well is producing from 48 feet of perforations in the Lower Miocene Discorbis Bolivarensis sands.

The North Fresh Water Bayou Field is currently producing 22 mmcf/d and 1,000 bcp/d. Spirit Energy 76 has a 100-percent working interest in the field.

Log interpretation and formation testing indicate there are high-liquid yield reserves in other shallower Discorbis sands. Additional development opportunities will be evaluated throughout the field.

The current producing interval was originally tested in 1958 at a rate of 150 bcp/d and less than 1 mmcf/d. The current higher production rate of well F-21 can be attributed in large part to advances in drilling fluid and perforating technology and drilling fluids.

Unocal established Spirit Energy 76 in 1996 to compete as an independent energy company aggressively focused on increasing domestic reserves and production in the Gulf of Mexico region through selective exploration, joint ventures and strategic alliances.

In early 1998, Spirit Energy 76 plans to begin exploring some of the 55 deep-water and 18 continental shelf blocks it won at a March OCS Central Gulf of Mexico lease sale.

Updated: April 1997