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

To: kormac who wrote (60682)	2/21/2000 6:14:00 PM
From: ItsAllCyclical	Read Replies (1) \| Respond to of 95453

More on OPEC price band... canoe.ca Says Mexico has informally agreed to $20-25 price band. I've seen quite a bit of wording on this in the news lately. All sorts of stories out there. What does look likely is that OPEC will increase output, but not by much keeping supplies tight. I don't see crude dropping much below $25 for most of 2000 in this scenario. It would be in our best interest if OPEC came to some sort of informal consensus before March 29th and spread the word in the news to gauge a reaction. In that manner the March 29th meeting would just be a formality. This is already happening to a degree, but the news reports are incredibly varied suggesting there's some dissention in OPEC. I think we could gain 10-20% in the majors/E&P's prior to the OPEC meeting if it looks like the meeting will simply be a formality. I believe Mexico, SA and Ven will meet March 2nd for an informal meeting. ----------------------- Check the related links above. Here's are some interesting tidbits that affirm a small increase, but less than the 2.5 mil barrels that Merril Lynch says is needed to bring oil back to $20. >> Tellez said he was confident both countries would seek a controlled decline in crude prices and that he shared the view more crude should be released onto the market to lower prices a little. But he said the amount of additional supply should be less than the 1.5 million barrels proposed by Venezuela. << >> Tellez is also due to meet with Venezuela and Saudi Arabia on March 2, ahead of an OPEC summit on March 27. << We should start to see some decent movement in oil stocks around March 2nd if we get an informal announcement from these 3. As such I may get more aggressive with margin next week especially when it comes to PXD and FST.