The objectives of this project are to: (1) conduct reservoir studies, laboratory tests, simulation runs, and field tests to evaluate the use of foam for mobility control or fluid diversion in a New Mexico CO{sub 2} flood, and (2) evaluate the concept of CO{sub 2}-foam in the field by using a reservoir where CO{sub 2} flooding is ongoing, characterizing the reservoir, modeling the process, and verifying the effectiveness. Seven tasks were identified for the successful completion of this four-year project: (1) evaluate and select a field site, (2) develop an initial site-specific plan, (3) conduct laboratory CO{sub 2}-foam mobility tests, (4) perform reservoir simulations, (5) design the foam slug, (6) implement a field test, and (7) evaluate results. This report provides results of the first year of the four-year project. By evaluating information from candidate CO{sub 2} floods, a suitable field site in New Mexico, the East Vacuum Grayburg/San Andres Unit, has been identified as appropriate for the proposed work. The first batch of representative reservoir cores have been received from Phillips Petroleum Company. The laboratory tests will begin as soon as this core material has been assessed, and after plugs have been cut and prepared. These tests will consist of both CO{sub 2}-foam mobility measurements, and surfactant adsorption tests. The advisory team agreed that an observation well in the pattern area would be desirable for providing cores and logs that will improve reservoir characterization as well as for monitoring foam performance. Reservoir simulation studies will begin during the next quarter. 5 refs., 7 figs., 4 tabs.