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Gold/Mining/Energy : Alpine Oil Services ASL TSE -- Ignore unavailable to you. Want to Upgrade?

To: Serge Collins who wrote (821)	8/6/1999 3:37:00 PM
From: Serge Collins	Respond to of 896

Correction: Dilution is approx. 25% and not 33%.

To: Serge Collins who wrote (821)	8/6/1999 10:09:00 PM
From: Scott Mc	Respond to of 896

Serge, you did an excellent job of explaining what happened in a way I can understand. Scott

To: Serge Collins who wrote (821)	8/7/1999 3:52:00 PM
From: Gerry	Read Replies (1) \| Respond to of 896

Hi Serge, Techcorp is a strange beast... they have the ubop Alpine started for them which gave Alpine an advantage in the underbalanced market. So the rights are given to Techcorp for a fee (the major transaction) and Alpine buys the first 6 units. To make the product cheaper you have to produce in volume yet only one additional unit is sold. Of course the oil price collapses and drilling activity slows substantially. The fallout is that none of Alpines competitors is interested in this technology. In order for Alpine to protect it's original investment in the Blowout preventers in this upswinging oil and gas market they decide to purchase Techcorp outright with Alpine shares. Limited sales of the UBOPs mean Alpine will always pay full price for the units unless they are under the Alpine banner. Major Shareholders of both companies are the same making it an easy one to pass through. IF the products are as good as they say then the purchase not only cleans up the confusing and complicated ownership issues but also hedges Alpines bets in the underbalanced drilling control market. I know it's long and just my speculation Feel free to add anything Trying to add a positive spin to it all for i am still a shareholder GH