Unocal Successful At East Breaks Block 161

Unocal's East Breaks Block 161 ##2 well was drilled in 1,107 feet of water to a total vertical depth of 10,473 feet by Diamond Offshore's semisubmersible, Ocean Ambassador. The well is currently being completed in the GA-3 zone. Log calculations indicate the completed zone contains 22 feet of net oil pay with an expected initial gross production rate of 1,500 to 2,000 barrels of oil per day. Unocal is the operator of the well with a seventy-five percent interest and Panaco owns the remaining twenty-five percent working interest in the well. Production is expected to begin during the fourth quarter of this year, after necessary facility modifications.

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