PTTC focusing on survival plan for U.S. independent producers

The Petroleum Technology Transfer Council is redirecting most of its efforts in 1999 to help U.S. independent oil operators survive low oil prices. PTTC's board and regional directors ordered the effort at a Dec. 6 meeting in Salt Lake City. The group was formed in 1994 to accelerate the dissemination of technology to independent exploration and production companies, and to communicate industry's needs to the research and development community.

Dec. 14, 1998

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The Petroleum Technology Transfer Council is redirecting most of its efforts in 1999 to help U.S. independent oil operators survive low oil prices.

PTTC's board and regional directors ordered the effort at a Dec. 6 meeting in Salt Lake City.

The group was formed in 1994 to accelerate the dissemination of technology to independent exploration and production companies, and to communicate industry's needs to the research and development community.

Crisis plan

Robert Nance, president and CEO of Nance Petroleum Co., Billings, Mont., is PTTC chairman. He said, "Everyone involved with PTTC is keenly aware of the crisis facing this industry, and many believe it is the most severe depression in decades. We will dedicate the organization's resources and activities to helping individual producers and companies survive."

PTTC said the price of crude oil remains at a 50-year low, when adjusted for inflation, and in many regions of the nation it is uneconomic to produce much of the existing oil at current prices. In 1999, it will focus its regional technology workshops on helping independents improve cost efficiencies and identifying the best methods for operating in reduced-income situations.

PTTC said, "These activities will be targeted, as much as possible, to address specific technical needs of producers in each region."

The group also will compile a report on how low oil prices are affecting the industry.