press release

Unocal unit completes transfer of Sarulla geothermal project to Indonesia's PLN

El Segundo, Calif., Feb. 27, 2004 - Unocal Corporation (NYSE: UCL) today said that its Unocal North Sumatra Geothermal, Ltd., subsidiary (UNSG) has received US$60 million from PLN, the Indonesia state electricity company, for the transfer of Unocal's rights and interests in the Sarulla geothermal project.

Under the terms of the transfer, PLN acquired UNSG's interest in the Joint Operation Contract (JOC) with Pertamina and the Energy Sales Contract (ESC) with PLN.

Unocal expects to record a special item gain from the transfer in its first quarter 2004 results.

This news release contains certain forward-looking statements about expected gains from the sale of assets. These statements are not guarantees of future performance. The statements are based upon Unocal's current expectations and beliefs and are subject to a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. Actual results could differ materially as a result of factors discussed in Unocal's 2002 Annual Report on Form 10-K (SEC File No. 1-8483) and other reports filed with the U.S. Securities and Exchange Commission. Unocal undertakes no obligation to update the information in this news release.

Copies of the Unocal's SEC filings are available from the company by calling 800-252-2233. The reports are also available on the Unocal web site. You can also obtain filings from the SEC by calling 800-SEC-0330.

Updated: February 2004