FOR FURTHER INFORMATION:

                                   Stan Lampe  (Ashland)
                                   (606) 329-4061  


                                   FOR IMMEDIATE RELEASE
                                   July 1, 1997


Sale of Blazer Energy domestic
E & P holdings finalized

     Ashland, Ky. - Ashland Inc. (NYSE: ASH) announced today the completion
of the sale of Blazer  Energy  Corporation,  its domestic  exploration  and
production  subsidiary.  Statoil, a Norwegian energy company, has purchased
the Blazer Energy stock through its U.S. energy management subsidiary,  The
Eastern Group, Inc.
     Terms of the transaction remain unchanged, with the holdings valued at
$566 million.
     "We are very pleased with this  transaction,"  said Paul W. Chellgren,
chairman and chief executive  officer,  Ashland Inc.  "First,  Statoil is a
quality company.  Secondly, this purchase has been closed with great speed.
Finally, the sale is very straight-forward,  as it is a cash for stock deal
with our domestic exploration and production assets being sold to Statoil."
     The potential  stock sale was first  announced on May 21, when Ashland
Inc. and Statoil  jointly signed a definitive  purchase and sale agreement,
subject  to the  approvals  of  Statoil's  Supervisory  Board  and  federal
government regulatory authorities.
     Ashland  Inc.  is a large  energy  and  chemical  company  engaged  in
petroleum refining and marketing;  coal, and highway construction.  Ashland
Chemical is the largest  distributor  of  chemicals  and  plastics in North
America and a leading supplier of specialty chemicals worldwide.  Ashland's
major  consumer  brands  include   Valvoline  -R-  motor  oils,  Zerex  -R-
antifreeze and Pyroil -R- Performance Products automotive chemicals. As one
of the  largest  independent  refiners  in the  nation,  Ashland  is also a
leading  regional  gasoline  marketer,  with  products  marketed  under the
SuperAmerica -R- and Ashland -R- brand names.
     Ashiand's Internet address is http://www.ashland.com

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