Unocal announces 1998 $ 1.5 bn spending plans

Feb 25, 1998 01:00 AM

Jan. 7, 1998 Unocal plans to spend $ 1.5 bn on exploration and development in 1998, up from the $ 1.3 bn spent this year. It said its capital expenditure plan would focus on exploration efforts in the US Gulf of Mexico and Asia.
About 37 % of the planned capital expenditures, or almost $ 555 million, are earmarked for low-risk oil, gas and geothermal exploration projects in areas with proven reserves. This compares to the $ 315 mm spent on similar exploration projects this year.
"We believe we can significantly grow our production and reserves through the drill bit with an aggressive but intelligent exploration programme," said Roger C Beach, Unocal Chairman and Chief Executive. "We have an outstanding portfolio of exploration prospects in the Gulf of Mexico, Indonesia, Azerbaijan, Vietnam, Bangladesh and elsewhere, and our spending plan next year will enable us to begin exploiting those opportunities."
Unocal said it would spend about $ 1.33 bn of forecast 1998 capital spending on worldwide petroleum exploration and production activities, up 17 % from the $ 1.14 bn estimated to have been spent this year.

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