RE: Saudi oil field declines.

From: Glenn Morton <>
Date: Thu Apr 29 2004 - 21:23:44 EDT

I have said it before, something happens up there in that rarified, rich
atmosphere. I suspect that one gets there partly by telling higher ups
what they want to hear and partly people below don't tell the CEOs what
the truth actually is for fear of getting whacked. I am fairly
convinced that part of the reason I was demoted from manager in 1994 was
that I had told a VP over lunch that the price of oil would not
permanently go up and stay up until sometime during this decade. I
turned out to be very right---look at the price of oil now compared to
the $15 of 1993. The reaction of this VP was remarkable. His mood, at
this table to thank us United Way leaders, turned very chilly and he
growled at me, "What do you want me to do, stop drilling?" He didn't
like the message and then seemed not to like me. I sat in silence
throughout the rest of that 'very fun' thank you lunch. The next
re-org, in spite of the exploration managers rating me the best of the
company's geophysical managers, I was sent to China--not a bad
consolation prize. But then a few months later my career took an even
worse nose dive when for no reason I was sent to the US onshore--the
place at that time no one wanted to be. That was the only time in the
past 15 years I put my resume on the street.

Happily, my replacement couldn't find oil on his derriere with both
hands. They replaced my replacement with me a year and a half after I
had suffered the fall. Now as a second level manager I am only now
beginning to understand those pressures. But I am too honery to succumb;
and I am as high as I think I want to go because I am already almost a
slave to the corporation.

If anyone thinks CEOs will deliver bad news, think again.

> -----Original Message-----
> From:
> [] On Behalf Of Al Koop
> Sent: Thursday, April 29, 2004 7:22 PM
> To:
> Subject: Re: Saudi oil field declines.
> For all those out there who want great news about oil, here
> it is from the chair of ConocoPhillips.
> You get to figure out who more accurately representing the sitation.
> Oil Age End Coming Soon
> 29.04.2004 5:51

The chairman of ConocoPhillips Inc., Archie Dunham, said technological
advances will replace traditional crude oil, gas and coal long before
the world depletes those energy sources.

The world's oil supply will outlast global demand, remaining relatively
inexpensive and becoming cleaner to burn, predicts the ConocoPhillips

The world can rely on fossil fuels for the bulk of its energy needs for
the next 100 years," Dunham said Wednesday, adding, "the oil age will
end long before the world will run out of oil."

Dunham spoke as domestic gasoline prices hit record highs with crude oil
prices above $30 per barrel. Those prices helped earnings at
ConocoPhillips rise 32 percent to $1.6 billion in the first quarter,
according to company's report.

The world is using more oil than oil producers are finding, despite
improvements in exploration technology. The world demand is expected to
grow by 60 percent in the next 30 years.

Dunham said improved gathering technology and more efficient cars such
as hybrids that use a combination of gasoline and electricity will keep
supplies flowing into the next century.
Received on Thu Apr 29 21:24:12 2004

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