# Presentation: 601499

## Energy Shortages in an

***Energy Shortages in an***
***Energy-Rich America: Why?***

## 1999 North American Gas Production

**1999 North American Gas Production**

*** *************	******Anadarko and Union Pacific Resources 1999 data combined***

***Source: JS Herold***

## Potential Natural Gas Demand Will Continue To Be Strong

**TCF**

**15**

**17**

**19**

**21**

**23**

**25**

**27**

**29**

**31**

**33**

**1970**

**1975**

**1980**

**1985**

**1990**

**1995**

**2000**

**2005**

**2010**

**2015**

**2020**

**Potential Natural Gas Demand ****Will Continue To Be Strong**

## Vast Domestic Reserves of Natural Gas  (55-75 year supply)

**1,259**

**0**

**200**

**400**

**600**

**800**

**1000**

**1200**

**1400**

**1600**

**1800**

**EIA**

**NPC***

**GRI****

**TCF**

**** ******	******Excludes Alaska***
***********	******Excludes Alaska, low technology estimate***

**Vast Domestic Reserves of Natural Gas **** (55-75 year supply)**

## Low Natural Gas Prices and Price Volatility (contributed to less drilling)

**$0.00**

**$1.00**

**$2.00**

**$3.00**

**$4.00**

**$5.00**

**$6.00**

**Average Price ($/MMBtu)**

***Source:  EEA, Inc.***

**1995**

**1996**

**1997**

**1998**

**1999**

**2000**

## North American Rig Count Rebounding

**542**

**1391**

***Source: Baker Hughes***

**North American Rig Count Rebounding**

*(As of April 30, 1999)*

*(As of October 6, 2000)*

## Employee Headcount

**Percentage Change in Employees**
**Anadarko Relative to JSH 25 Giant Oil & Gas Companies**

**0%**

**50%**

**100%**

**150%**

**200%**

**250%**

**1986**

**1987**

**1988**

**1989**

**1990**

**1991**

**1992**

**1993**

**1994**

**1995**

**1996**

**1997**

**1998**

**1999**

**Year**

**Percentage Relative to 1986**

**53% of 1986 Headcount **

**225% of 1986 Headcount **

## Lower-48 Natural Gas ResourcesSubject to Access Restrictions

**Lower-48 Natural Gas Resources****Subject to Access Restrictions**

**21**
**TCF**

***Source: National Petroleum Council, December 1999 Study***

**31**
**TCF**

**24**
**TCF**

## Lower-48 Natural Gas ResourcesSubject to Access Restrictions

**Lower-48 Natural Gas Resources****Subject to Access Restrictions**

**21**
**TCF**

***Source: National Petroleum Council, December 1999 Study***

**31**
**TCF**

**137**
**TCF**

**24**
**TCF**

## Except for historical information, all other information in this presentation consists of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from those projected, anticipated or implied. The most significant of these risks and uncertainties are described in Anadarko’s SEC filings and reports and exhibits to those reports, and include (but are not limited to) the costs and difficulties related to the integration of acquired businesses, commodity pricing and demand, exploration and operating risks, development risks, and the costs and other effects of governmental regulation and legal and administrative proceedings. Anadarko undertakes no obligation to publicly update or revise any forward-looking statements.