ARCO Permian Overview

ARCO Permian
600 N Marienfeld
P O Box 1610
Midland, TX 79701
(915) 688-5200

Contents:
Introduction to ARCO
Hybrid Concept
Coyote Culture

Overview ARCO Permian is a unit of Atlantic Richfield Company (also known as ARCO). We are headquartered in Midland, Texas, in the heart of the largest oil and gas producing basin in the United States...the Permian Basin (hence, our name).
ARCO Permian was created in 1993 as a part of the restructuring of ARCO's domestic oil and gas exploration and producing business. We manage oil and gas producing properties and related facilities in West Texas and southeast New Mexico, plus extensive holdings in the historic East Texas oil field. ARCO Permian also owns a prolific CO2 field in southeastern Colorado, and the pipeline that connects it with oil fields in West Texas.

ARCO Permian's daily production is approximately 36,000 barrels of crude oil, 130 million cubic feet of natural gas and 22,000 barrels of natural gas liquids, making us one of the ten largest operators in a basin that contains 20% of the nation's petroleum reserves.
We employ approximately 500 people, including about 160 in the Midland headquarters. Our professional workforce is multi-disciplined, in the areas of engineering, operations, geosciences, accounting, finance and business planning, land management, marketing, legal, information technology and human resources.
During the relatively short time since its creation, ARCO Permian has evolved organizationally into what we like to refer to as a "hybrid company," which we believe makes us unique in the industry.

What is the Hybrid Concept?
What constitutes a "major" oil company?
What part do "independent" oil companies play in this industry?

ARCO Permian's
Hybrid Organizatiion

ARCO Permian's Mission
Values and Strategies

Our mission can be stated very simply: to make as much money as we can for as long as we can. As part of a publicly-held corporation, we have an obligation to our stockholders to pursue profitability.

However, our mission can be truly understood only within the context of the core values under which we operate:

Recognition of the Importance of People
Safety Excellence
Integrity
Teamwork
Innovation
Street Smarts/Business Savvy
Candid Communications
Regulatory Compliance
Community Involvement

We employ the following strategies to help us meet our financial and operating goals:

Focus Regionally
We will continue to focus on opportunities in the geographic areas we know best: the Permian and East Texas Basins.

Respond to Market
We will "reality-test" everything we do to ensure that we are competitive with and responsive to the expectations of our economic markets.

Pursue Economic Growth
We will aggressively pursue opportunities to replace our reserves and increase production, while strictly adhering to our economic criteria to ensure continued strong financial performance.

Excel in Key Technologies
We will focus on and perfect field- and reservoir-specific technology to ensure optimal exploitation of our assets.

Manage Assets For Maximum Value
We will proactively manage all aspects of our assets to ensure that we capture their full value.

Every company can be said to have its own "culture"...that unique blend of attitude and atmosphere that helps define the level of employee creativity, productivity and satisfaction. ARCO Permian has developed something we like to refer to as a "Coyote Culture."

ARCO Permian's Culture

Introduction to ARCO | Hybrid Concept | Coyote Culture