Virtual Oil Company Closer to Reality, SaysChristopher Ross, Senior Director of Arthur D. Little...

Business/Energy Editors

HOUSTON--(BUSINESS WIRE)--April 11, 2000

Driven by rapid advances in technology, a former dream is nearing reality, when Internet communications will allow oil companies to reduce their costs and generate new value by offering customers a higher level

In a World Energy(R) article currently available at www.worldenergysource.com, Ross reviews a concept ADL introduced five years ago, a "virtual" oil company that controls the final customer interface through an "e-link" with the customer at the gas pump.

While oil companies currently possess the resources to implement this model, Ross worries that many will not move quickly enough, allowing "new intermediaries to capture much of the added value and reducing existing players to little more than bulk commodity suppliers."

Ross updates his model with examples of virtual business being implemented today, and a look at where the trend is going.

Also in this issue, former Commerce Secretary Robert Mosbacher calls for a realistic view of the new oil pricing environment, noting that adjusted for inflation, prices between $25 and $35/bbl are "right in line with other commodities, goods and services." He criticizes news coverage that overlooks "the benefits from alternative fuels that become feasible in this new pricing environment." Additional articles provided by Sir John Browne -- group chief executive of BP Amoco; Phillip Carroll -- chairman and CEO of Fluor Corporation; and Dr. Rilwanu Lukman -- secretary general of OPEC.

The new issue of World Energy(R) contains an entire section devoted to the explosion of opportunities within the Canadian oil and gas industry. All of the new articles, written by the leaders of the energy industry, are available free at World Energy's website, translated into six different languages.

The site is an energy industry research asset, with a searchable database of information and links to companies, governments, stock exchanges and energy organizations worldwide.

World Energy(R) is the voice of the energy industry, publishing articles by company CEOs, presidents and top government officials in an unedited and unfiltered format. Based in Houston, it is a publication of International Business Publications Inc.