Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: ldo79 who wrote (32232)	11/30/1998 9:37:00 AM
From: Stephen L. Smith	Read Replies (1) \| Respond to of 95453

I posted a similar question about potential Y2K issues in the oil sector several months ago, and got no response from anyone on this thread. There are probably some legitimate issues, but the magnitude of potential exposure in the oil sector is beyond my capability to assess. Is there anyone tuning in here who can separate the wheat from the chaff???

To: ldo79 who wrote (32232)	12/2/1998 1:10:00 AM
From: Douglas V. Fant	Read Replies (1) \| Respond to of 95453

Ido79, Y2K and the oil industry. Well I'm pretty well up on those issues in my company. First I agree- the oil industry is very heavily computerized. For example do you know that every one of our oil/produced tanks in west Texas now have wireless cell phones and an antennae attached to it that automatically dial a number 24 hours/day whenever a high or low level alarm is tripped? Those alarms weren't there say four-five years ago. And so it goes throughout the whole oil production and refining chain. IMO North America is reasonably well prepared in the oil industry for Y2K problems. But the article you cited is correct- at least in the Middle East the problem is being addressed, but at a much lower level of energy. Now can an oil field or refinery unit be run manually? Yes, of course it can. But that pre-supposes that you have a 20-year veteran at the helm of the field/process unit who once ran a process unit by the seat of his/her pants. Most unit operators with less than 10 year experience probably are used to computer-controlled operations. indeed if you get the chance go into a refinery definitely go tour the refinery control room- looks like an air traffic controllers' workspace no? It is a massive darkened room under positive air pressure and filled with computers and 17",20", 25"monitors everywhere showing the status of different units in the refinery or chemical plant. Banks of computers everywhere and usually hammocks strung between the banks with people sleeping in them- backup operators, not currently on duty. The bigger problem is probably at pipelines and refineries- if you have oilfield problems with computers usally the field will continue running- you just need to get pumpers out on patrol in trucks manually checking wells and tank batteries, headers, etc. At a refinery, if one process unit shuts down, it often "dominoes" adjacent units and takes them down too- then you need to do something with all of the product caught in the units when they shut down... Point being is that it will take a while to straighten out the mess and restart the refinery.... Sincerely, Doug F.