The fundamentals of performance of the gas-lift well drilled in the formation which contains gas-dissolved water are written in this paper. The method is presented for predicting the gas production by means of gas-lift method applied to a well producing gas-dissolved waterfrom two formations as shown in Fig. 1. Some of the results obtained are as follows: (1) except for a low pressure formation, the production increases with the increase of gas injection, (2) when the gas-lift method is applied to this well, the production of the two zones is about 1.3 times that of the lower zone only. The cause may be due to the higher bottom hole pressure created by flowing water which contains a small amount of gas from the shaller zone into the well.