Pacific Energy Resources Abandons Interests in Operated Alaska Assets

Pacific Energy Resources announced that the United States Bankruptcy Court for the District of Delaware has issued a final court order authorizing the abandonment of the Company's interest in the West McArthur River Unit, the Redoubt Unit, the Kustatan Field, its Kustatan Production Facility and related real property, the West Foreland Field and the Three Mile Creek Field and certain other leases and rights-of-way, platforms, wells, equipment and other personal property in the Cook Inlet region, Alaska (collectively referred to as the Group 1 assets).

This order was approved as a result of the inability of any bidder to demonstrate the required financing necessary to successfully operate these assets. Despite significant efforts, the Company was unable to find a suitable alternative. As a result of this abandonment, Pacific Energy Resources and its subsidiaries no longer have any ownership interest in these properties.