Unocal Will Spend More on Exploration

Unocal Corp., the El Segundo-based oil and natural gas explorer, said it plans to boost spending on drilling and exploration by as much as 14% to take advantage of higher prices and demand for fossil fuels. Unocal plans to spend $1.5 billion to $1.6 billion next year to increase production and reserves, from an estimated $1.4 billion this year, Unocal spokesman Barry Lane said. Nearly two-thirds will be spent on projects in North America, where a strong economy and frigid weather have sent gas prices soaring to record highs. In New York Stock Exchange trading, Unocal shares rose 38 cents to close at $36.44.