II. Oklahoma Natural Gas Y2K Readiness Disclosures

ONEOK, parent company of ONG, has published its Y2k disclosure on its website at ONEOK .

The "Year 2000 project" statement says that identification and assessment of their y2k risks has not been completed: "Inventory and assessment is ongoing." Their "Y2K Readiness disclosure" says "ONEOK and its companies and divisions, believes it has fully identified and remediated its critical automated business systems and date sensitive equipment for Y2K readiness." This suggests that the company has divided its systems into "critical" and "non- critical" and thus has systems that have not been assessed and/or repaired. They include no data or other information about its definitions of "critical" systems.

About its transmission and distribution network, the company says (Year 2000 Project statement): "Assessment of transmission and distribution operating equipment to date have not found any embedded code that would shut down the pipeline system." They make no warranties about the software that controls the system, and note that this statement also suggests that they have not completed the evaluation of their transmission/distribution systems.

Repair or replacement of at risk equipment and software has not been completed. Besides the "critical" qualifier in the Y2K readiness disclosure, the "frequently asked questions" section says: "Where necessary, equipment or software is being replaced or updated to be Year 2000 compatible." The verb tense suggests the process is on-going.

ONG has contacted its "significant suppliers," to inquire about their y2k readiness, but no information is given as to responses other than "follow up correspondences have been sent as necessary." The Y2K readiness disclosure says that the utility is dependent upon "certain providers, e.g., electric power, communication services, etc." in order to maintain service.

ONG has not completed its testing of equipment, software, and repairs. Two outside vendors are testing their embedded code systems.

Contingency plans: All three documents say that contingency plans are being developed, with a completion deadline of July 31, 1999; as of August 16, 1999, the website had not been updated with news of the completion of this project.

There is no mention of any government oversight or independent outside verification of the company's effort. No contingency plans or data are published are comment and review.

Bottom line August 16, 1999: The company has found y2k problems in its systems and is working to complete its repairs. There is no date mentioned as to when these efforts will be completed. The company itself in its disclosures says there are no service guarantees for January 2000. (It qualifies this by saying that this is true for its service generally, not just in January 2000, due to many factors beyond its control.) Without electric utility service, the ONG natural gas distribution grid may be at risk of failure.

-- robert waldrop (rmwj@soonernet.com), August 17, 1999

Answers

It does get cold here in Oklahoma in the winter.

Got Wood?

-- (cannot-say@this.time), August 17, 1999.

Thanks, Robert.

They say they have not found any embedded code that would shut down the pipeline system. Isn't that reassuring. But, wait! They are still doing inventory and assesment?

I seem to recall a thread from yesterday (Brian?), with snips from oil co's, and didnt exxon or mobil state "95% of business systems and 5% of process automation hardware had to be replaced?

These people are seriously, SERIOUSLY behind schedule here.

It really is all about energy, people.

-- Pinkrock (aphotonboy@aol.com), August 17, 1999.

Pinrock,

Those 95% and 5% numbers were from Texaco, and their description was "needed modification or upgrade"

Jerry

-- Jerry B (skeptic76@erols.com), August 17, 1999.