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AMOCO'S EARLY, CARL ADDRESS SAN FRANCISCO ANALYSTS

 SAN FRANCISCO, May 6 /PRNewswire/ -- Amoco Corporation's (NYSE: AN) "high-stakes" efforts to develop the Azeri oil field in the Azerbaijan sector of the Caspian Sea are focused in three areas, Vice Chairman Patrick J. Early told San Francisco security analysts today.
 Early said Amoco is:
 -- finalizing the development contract;
 -- working with other potential operators in the area to minimize the costs of common infrastructure facilities;
 -- participating in the study of the various pipeline alternatives for exporting the oil.
 Early said Amoco does not have a deadline for completing the negotiations. "This is a high-stakes process, and we intend to proceed at a prudent pace to ensure that we balance the risks and returns associated with this project," he said.
 Once agreements are completed, Early anticipates a staged development program, with the first oil production about three years after the project begins. Gross production should rise to 300,000 barrels per day. The Azeri field has reserves of more than 1.8 billion barrels.
 In Amoco's worldwide exploration efforts, Early said the company will drill about 50 wells in 19 countries this year, with as many as half in the North Sea. Amoco will drill as many as four wells in Egypt's gas-prone Nile Delta. In Trinidad, Amoco is drilling one offshore well and has two others planned.
 Early said Amoco is sharpening the geographic focus of its exploration program. He noted that Amoco recently left Madagascar, Mauritania, and Qatar and "will be leaving other countries as we satisfy our obligations."
 In the area of major development projects, Early said natural gas from Amoco fields will soon be flowing in the Amoco-operated Central Area Transmission System in the U.K. North Sea. An oil development project in the Scott Field will start up this year in the U.K. sector, as will a major natural gas project in the Dutch sector.
 In North America, Early said Amoco was the leading producer of natural gas in both the U.S. and Canada in 1992.
 He said Amoco's gas reserve-to-production ratio of about 13 years is the highest among major producers, and that Amoco has "extensive exploitation opportunities." Budgeted spending for natural gas in 1993 should maintain production at 1992 levels.
 John L. Carl, Amoco Corp. vice president and controller, said Amoco's U.S. exploration and production segment had reduced costs in a two-year period by more than 20 percent. "Profitability in 1992 was in excess of $3 per barrel of oil equivalent, more than $1 per barrel above the average of six major competitors, and the highest of any of these companies," he said.
 Carl said a low-cost structure--besides providing cash generation for use in financing growth in other segments of Amoco--"may provide us with opportunities for expansion by taking over some properties from higher-cost operators."
 -0- 5/6/93
 /CONTACT: Greg Clock of Amoco Corporation, 312-856-5481/
 (AN)


CO: Amoco Corporation ST: Illinois IN: OIL SU:

AR -- CL024 -- 5622 05/06/93 16:09 EDT
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Publication:PR Newswire
Date:May 6, 1993
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