EMK3 adds natural gas marketing at the well site to online energy marketplace

HOUSTON, April 4, 2001 à‚– EMK3 is launching the natural gas component of its online energy marketplace, making it the first such energy marketplace to offer domestic buyers and sellers of both oil and natural gas the ability to electronically purchase and sell production at the well.

Energy companies have been joining the EMK3 online marketplace since the company officially launched, around the first of the year, including some of the largest companies in the oil and gas industry.

“Since opening our online petroleum marketplace in February, customers have expressed a strong desire to use the EMK3 system for marketing natural gas,” said Gary Wittsche, President of EMK3. “California’s energy crisis has fostered talk of price caps on natural gas and accusations of industry price gouging. We see EMK3 providing a safe harbor from these accusations because the marketplace provides a neutral environment to establish fair prices. It can be used to aggregate natural gas production at the well in order to make it very easy for utilities and end users to find natural gas at the well site all over America. End users will have price transparency at the well site that was not possible to obtain from the old closed loop system”.

In the offline world, end-users of natural gas can only realistically deal in gas that is both easy to locate and easy to transport. EMK3’s online marketplace enables those end-users to now search for and purchase natural gas directly from well-sites anywhere in the U.S. using a variety of search parameters: by pipeline, county, selling company, field and more. Aggregators and end-users benefit by having greater access to natural gas production and pricing information through the online market and in turn, sellers enjoy the dual benefits of having greater access to buyers and the ability to always receive the best possible sales price via the online marketplace. It is through the efficient allocation of supply and demand that the EMK3 marketplace is poised to become the preferred marketplace for both oil and natural gas.

“Without an efficient marketplace like EMK3, the oil and gas industry has for many years received the scorn of consumers and regulators whenever energy prices suddenly spike,” said Wittsche. “Companies are now looking to EMK3 as a safe-harbor for the industry because of the marketplace’s superior price-setting mechanism and the protections afforded through the open exchange of information between a greater number of end-users and sellers.”

About EMK3

EMK3 offers the first online marketplace to market lease oil and natural gas production directly at the well. Large or small, every offer to sell lease production on the EMK3 marketplace distills prices from the deepest possible pool of buyers and leverages Internet efficiencies to reduce transaction costs, increase revenues and potentially eliminate fair-pricing conflicts. It is the one web site where all offers to buy and sell crude oil and natural gas converge in a single dynamic marketplace environment. EMK3 (www.emk3.com) is a private company with offices in Dallas, Midland and Corpus Christi, Texas, leading oil and gas marketing into the third millennium.

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