STATEMENT TO THE UNOCAL ANNUAL SHAREHOLDERS MEETING

JUNE 3, 1996

UNOCAL is involved in a natural gas venture with one of the world's most brutal and repressive military regimes: Burma's State Law and Order Restoration Council (SLORC). The human rights abuses and poverty inflicted on Burma's people by the ruling SLORC--especially forced labor to construct Ye-Tavoy railway in Monland--are terrible, almost beyond imagination.

SLORC has been condemned by the U.S. Congress and State Department, the European Parliament, the United Nations Human Rights Commission, the International Labor Organization, Amnesty International, and ten Nobel Peace Laureates. Amoco and Petro-Canada, as well as such major corporations as Eddie Bauer, Levi Strauss, Liz Claiborne, and Smith & Hawkens, have withdraw their investments from Burma.

However, UNOCAL , ARCO, Texaco, and Pepsi-Cola are continuing to support a regime which was overwhelmingly rejected by the people of Burma in the 1990 elections and, thus, has no legitimate right to govern. The SLORC's response to its defeat was to seize power and imprison opposition leaders.

UNOCAL and other oil corporations provide one of the largest sources of income for the SLORC. The military junta sells on-shore and off-shore natural resources at a pittance to those oil corporations. Mon people, who are the ancestral owners of these resources, have no voice whatsoever in the disposal of their inheritance.

UNOCAL is a 28.26 percent shareholder in natural gas venture that is directly contributing to some of SLORC's worst human rights abuses. UNOCAL is drilling for gas in the Gulf of Martaban--Yatana Field-- hundreds miles south of the capital city of Rangoon. To transport the gas, UNOCAL and TOTAL (a France oil company) are building a pipeline from their offshore concession across the Tenasserim region of southern Burma to Thailand.

This area is the homeland of Mon, Karen and Tavoy ethnic nationalities. In the process of constructing the pipeline , the military has been systematically destroying these ethnic communities. SLORC has prohibited the inhabitants from fishing in the water zone surrounding the planned offshore gas pipeline and has evicted them from their farmlands or fruit plantations. SLORC troops extort ruinous "pipeline fees" from them. Claiming security reasons, the SLORC has forcibly removed many entire villages along the route of the pipeline. These people have received no compensation for the loss of their homes, farms, and livelihoods.

Worse still are the widespread torture, rape, and murder committed by SLORC troops throughout the region. Many native inhabitants are virtually enslaved, forced to build military camps and roads to serve the pipeline. Those who can are fleeing their homeland to Mon refugee camps on the Thai-Burmese border.

Just two weeks ago, the SLORC arrested more than 250 supporters of the National League for Democracy who were preparing to attend the party's congress on May 27. This date marks the sixth anniversary of the 1990 election in which the NLD won more than 80 percent of the seats in the legislatures. The New York Times reported that the NLD supporters are being held in a prison "notorious for torture."

Therefore, due to the severe human rights abuses under the SLORC regime, the Monland Restoration Council, asks UNOCAL to respect the will of the entire people of Burma and the moral judgment of the world's major democracies and human rights organizations by immediately ending all business activities with and withdrawing all investments from the illegitimate military regime of Burma.

Central Executive Committee

Monland Restoration Council