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Gold/Mining/Energy : Harken Energy Corporation (HEC) -- Ignore unavailable to you. Want to Upgrade?

To: Richard Mazzarella who wrote (4608)	10/20/1999 8:45:00 PM
From: Ed Ajootian	Read Replies (2) \| Respond to of 5504

Richard, It amazes me that anyone in their right mind would be buying (or holding) this stock at this time. The most recent news was horrid, and I don't believe there is any good news that is expected to come out prior to year-end that would stem the rush of tax-loss selling. So even if you were a HEC bull I don't understand why you wouldn't wait until 12/20 or so to make the buy. Even with the recent downswing in the stock price it is still overvalued IMO. Due to the problems with this latest Bolivar well, I would bet that this company's reserves will be adjusted downward quite radically by its petroleum engineers for the y/e '99 valuation. There is a lot of leeway to valuing proved undeveloped wells and my guess is that they will be ultra conservative given this latest well was a dud. At $1 a share the stock is trading at a significant premium over book value. Given the uncertainties of the Bolivar geology and the production problems of the Palo Blanco field I would think book value is closer to a fair valuation of this stock than the current quote. Not short but I would be if there were a way to be that way with this stock at this point.