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

To: Frank who wrote (58163)	1/8/2000 10:58:00 AM
From: seadust	Read Replies (1) \| Respond to of 95453

Frank...Later not so good news from OEI... FYI biz.yahoo.com Regards, WK

To: Frank who wrote (58163)	1/8/2000 1:33:00 PM
From: ItsAllCyclical	Read Replies (1) \| Respond to of 95453

Frank, (OEI) - The sector will for the most part move in unison. OEI will not be able to sustain an upward move as long as PXD and XTO are trading close to 2x cash flows. If OEI hit's 9 people simply rotate into the next laggard. This is somewhat of a simplification I know but I believe it's a factor. As has been said before, this sector is being "rented" not owned. We'll soon see if the bottom has been put in as I expect downward pressure on crude and gas to continue. If these prices hold in the face of declining commodity prices, or at the very least do not make new lows then I think we'll get the whole sector to move up shortly after crude stablizes inthe 21-23 area shortly. Gas cannot break $2 though. Yes the tail end of OEI's report talked about an 18 mil charge but long term I view it as positive. OEI continues to pay down debt, sell non-core assets, focus on higher paying assets, find new reserves and execute their plan. OEI is making the right moves to bring in more institutional investors.