Unocal adds Gulf of Mexico leases in OCS sale
Unocal said its Gulf Region USA and Deepwater USA business units are the apparent high bidders for interests in 7
shelf blocks and 6 deepwater blocks in the Central Gulf of Mexico OCS Lease Sale No. 178 conducted by the US Minerals
Management Service (MMS).
The company exposed a total of $ 6.5 mm, with apparent high bids amounting to approximately $ 3.4 mm. "We approached
this lease sale with our eyes on shelf acreage that could yield near-term drill sites with quick turnaround to
production, as well as blocks that could add reserves through our longer-term exploratory program," said Ken Butler,
vice president for Unocal Gulf Region USA.
Mike Bell, vice president for Unocal Deepwater USA, said that the company pursued a selective strategy of building on
its existing deepwater lease holdings. Prior to the sale, Unocal was operator for 474 Gulf of Mexico leases. Of that
total, 226 exploratory leases are located in deep water, while another 114 exploratory leases are on the shelf. The
company also has 134 development leases on the shelf. The results of Sale 178 will bring Unocal's total portfolio to
487 OCS leases, if all bids are approved by the MMS.
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, Indonesia, and Bangladesh).
