Unocal finds Indonesian oil

Unocal finds Indonesian oil

EL SEGUNDO, Calif., (Reuter): Unocal Corp announced Monday
that one of its exploratory wells offshore Indonesia hit
significant amounts of natural gas and oil.

The well, drilled in deep waters of the Makassar Straight,
tested at a rate of 24.8 million cubic feet of gas and 860
barrels of condensate per day.

The discovery earns Unocal a 50-percent working interest in
the Strait, which is part of a larger Unocal exploration program
in Indonesia. Mobil Makassar will hold the remaining working
interest.

Unocal announced last year a deal with Mobil Makassar to
acquire an interest and assume operations of the area, which is
adjacent to Unocal's East Kalimantan field.

"These discoveries demonstrate there is significant
hydrocarbon potential in this deep water area offshore East
Kalimantan," said Timothy Lauer, president and managing director
of Unocal Indonesia.

Unocal and Mobil Makassar plan more seismic surveys, drilling,
and testing to evaluate the region's potential.