Robert Rapp¹

(1) UpstreamInfo, Houston, TX

ABSTRACT: Transition Strategies for the New Economy

To thrive, today's upstream oil company must be a low cost finder and producer of hydrocarbons while distinguishing the company in its ability to find and develop oil and gas reserves. The Upstream Industry is entering the brave, new world of electronic commerce. What will this brave, new world be like? How will it change both the internal processes of the upstream oil company as well as its relationships with partners, vendors, and government agencies? How do "new economy" companies fit in the mature petroleum economy? Is there truly a value-add opportunity for the upstream industry? What forces must be in place to move the industry to a new economy business model?

New economy service companies must be able to transition a significant internal cost activity of an "old economy" company to a new economy business model. At the same time, they must offer the old economy company better, faster, cheaper options to improve process and economic efficiencies. This presentation will present some insights into what this blending of these forces means to the upstream petroleum industry.

AAPG Search and Discovery Article #90906©2001 AAPG Annual Convention, Denver, Colorado