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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: Douglas V. Fant who wrote (46347)	6/12/1999 8:13:00 AM
From: Crimson Ghost	Respond to of 95453

Russia cooperating with OPEC: thr 006 russia-iran-oil russian minister calls for expansion of tehran-moscow ties moscow, june 12, irna -- russian minister of fuel and energy viktor kalyuzhny here friday called for further expansion of tehran-moscow ties in different areas, particularly in the field of oil and energy. making the remark in a meeting with iran's ambassador to moscow mehdi safari, the russian minister voiced his country's interests in boosting the two countries' cooperation in order to help stabilize oil prices in international markets. moscow is fulfilling its commitments regarding a cut in its daily production of 100,000 barrels, he added. kalyuzhny also announced russia's readiness to cooperate with the member countries of the organization of petroleum exporting countries (opec) to improve oil prices. fs/ks end ::irna 12/06/99 11:17

To: Douglas V. Fant who wrote (46347)	6/12/1999 11:44:00 AM
From: Crimson Ghost	Read Replies (1) \| Respond to of 95453

Mexicans bullish on crude prices: FINANCE The News México City, June 12, 1999. TELLEZ: BRENT CRUDE PRICES TO RISE Bloomberg News New York -- Mexico sees 18 dollars to 20 dollars a barrel as a desirable target price for Brent Blend crude, the international benchmark, and that price will be reached as long as world producers adhere to promised supply cuts, Mexican Energy Secretary Luis Tellez said Friday. Brent crude oil is currently trading at around 16.20 dollars a barrel on the International Petroleum Exchange. "Mexico has the idea of 18 dollars to 20 dollars Brent: The price will be reached when we have entered into the American driving season and see how inventories are ahead of the "Northern hemisphere winter," he said. "I am optimistic." Speaking to reporters after a speech in New York, Tellez wouldn't say exactly when he expects Brent to reach the target. He also wouldn't say how high prices need to go before Mexico, OPEC and other producers would consider boosting output again. In March, Mexico promised additional export cuts of 125,000 barrels a day on top of 200,000 barrels cut last year as part of an agreement between the Organization of Petroleum Exporting Countries (OPEC) and non-OPEC producers to reduce supply and boost prices. The producers have trimmed output by more than 5 million barrels a day, or 7 percent of world supply. Tellez visited the Persian Gulf last weekend to meet with his Saudi Arabian and Kuwaiti counterparts, during which all three countries reaffirmed their commitment to output cuts which have so far helped boost Brent prices from December's low of 9.55 dollars a barrel. He said he took with him assurances from Venezuelan President Hugo Chavez that the South American OPEC member would stick to its cuts too. Chavez gave those assurances to Mexican President Ernesto Zedillo three weeks ago at a meeting in Mexico City. Saudi Arabia, Venezuela and Mexico are credited with spearheading cuts in oil supply, bringing together OPEC members and non-OPEC producers such as Mexico and Norway. Last year "we noticed that they were not speaking to each other, especially Saudi Arabia and Venezuela," said Tellez. "Mexico acted as a middleman." While Tellez said he was a supporter of free markets, he said Mexico had agreed to join OPEC output cutting efforts simply because "we needed the money" from higher oil revenue. During discussion in March, Saudi Arabian oil minister Ali Al-Naimi had asked Mexico to cut 250,000 barrels a day. Zedillo, though, balked at making more cuts, complaining that ''every time you meet with (Middle East) producers and cut supply, the price goes down, there must be something wrong" with thier economics, Tellez recounted. Buoyed by an anticipatory rise in oil prices, Zedillo relented, allowing Mexico to agree to its latest 125,000 barrel-a-day cut in exports. Mexican crude oil prices are now at about 13 dollars a barrel, Tellez said, compared with $8.20 to $8.60 in the first two months of the year. [FINANCE]

To: Douglas V. Fant who wrote (46347)	6/12/1999 3:40:00 PM
From: Big Dog	Read Replies (1) \| Respond to of 95453

SLB entering a business they don't know? I don't know what you mean by this Doug (you must have had a temporary mental lapse -- it happens as you get older, like me). SLB is already in the drilling business via Sedco Forex, one of the largest drillers in the world. They would not have to take on debt as they are brimming with cash. I look for SLB to buy "somebody"...I'll make a couple of guesses who in the ODB newsletter for tmw. big atoffshore.com