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

To: jim_p who wrote (68004)	6/10/2000 9:05:00 PM
From: Douglas V. Fant	Read Replies (1) \| Respond to of 95453

jim, Yes lower multiples because of higher tax rates. The US has the lowest net effective corporate tax rate inthe world for energy development- about 20%. Asia and the Middle East have the highest tax rates...Cananda is in the middle with Europe.... Heck of an intense first period in the hockey game- bodies are flying!

To: jim_p who wrote (68004)	6/11/2000 12:01:00 AM
From: JungleInvestor	Respond to of 95453

This is what came out in Calgary Herald by: gucio_man_1999 6/10/00 6:31 pm Msg: 1397 of 1397 PUBLICATION The Calgary Herald DATE Fri 09 Jun 2000 SECTION/CATEGORY Business: Oil & Gas PAGE NUMBER D2 STORY TYPE Business BYLINE Chris Varcoe, Calgary Herald STORY LENGTH 476 HEADLINE: PanCanadian rumoured as Ranger suitor: Share prices rise as talk spreads Speculation that PanCanadian Petroleum Ltd. will emerge as a white knight for Ranger Oil Ltd. lit a fire under the share price of both companies Thursday. The market was gripped with rumours that PanCanadian will soon ** make a $9-a-share cash offer for Ranger, a senior oil producer trying to fend off a hostile takeover bid from Petrobank Energy and Resources Ltd. Ranger chief executive Fred Dyment said there are no talks going on with PanCanadian, one of Canada's biggest oil and gas companies. ``I'm unaware of PanCanadian making any offer,'' he added. ``Whether they do or not remains to be seen.'' Observers weren't convinced, pushing Ranger stock up eight per cent, or 60 cents, to $8.15 as heavy volumes of almost six million shares changed hands on the Toronto Stock Exchange. PanCanadian rose $1.50 to $33.00. ``I really think there is more than smoke, there is fire potentially behind this one,'' said one large Ranger shareholder who didn't want to be named. ``It makes sense to me.''Ranger, which has been searching for a white knight for the past two months, closed at its highest share price since November 1998. Since April, Ranger has been operating data rooms in Calgary and London and is expecting friendly offers to be submitted by today. Petrobank, a company one-tenth the size of its target, made an unsolicited offer for Ranger on April 6 worth worth $1.6 billion in cash, stock and assumed debt. While Ranger has dismissed it as insufficient -- the bid is worth $6.70 in cash and equity -- Petrobank recently extended the offer until June 19. PanCanadian, which has been rumoured for weeks to be examining Ranger's international assets, is widely seen as a company on the hunt for an acquisition. Like Ranger, it has heavy oil properties in Western Canada and non-operated properties in the British North Sea. PanCanadian is also generating surplus cash flow these days due to red-hot oil prices near $30 US a barrel and natural gas above $5 Cdn per thousand cubic feet. ``This is very plausible,`` said energy analyst Brian Prokop of Peters & Co. ``I think $9 (a share) isn't out of the realm possibility, PanCanadian has the cash to do it, and the assets do fit.'' Officials at PanCanadian were tight-lipped about the matter. ``We don't talk about deals,'' said PanCanadian spokesman Al Boras. Another name making the rounds as a potential buyer was Burlington Resources Inc. of Houston. Burlington, a large independent oil company with a market capitalization of $8.9 billion US, was rumoured to be looking at a bid for Ranger in the $9.50-a-share range. Last August, Burlington swallowed up Poco Petroleums Ltd. for $3.7 billion. Company officials were unavailable for comment Thursday. Meanwhile, Petrobank continues to look at shoring up its offer, which consists of two Petrobank shares and $2.50 cash for each Ranger share.

To: jim_p who wrote (68004)	6/11/2000 12:01:00 PM
From: Craig C	Respond to of 95453

Jim - larger can oil/gas stocks that are out of favour like the two I brought out will be lucky to trade at 4x 1st quarter cf never mine your eight.Last time we had a run on the oils in 97 some companies were trading at 6xcf. There are a few companies like aec,t and bnp,t that are held in high regard and they will trade at a higher cf. Some comp's in canada have to look appealing to some of the big usa comps though. On taxes everyone pays to much here. Companies not only pay tax on there profits but there is also a royalty tax on production. At the high price of the commodities right now the royalty tax is higher per boed than operating cost for most companies. fwiw.