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Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?

To: jj_ who wrote (5265)	6/15/2001 2:05:29 PM
From: energyplay	Read Replies (2) \| Respond to of 23153

ROYL -I think most everybody is out of ROYL.. I personally will wait until it stableizes & possibly after they have reported a quarter with the new, somewhat lower gas prices. I thought it would go to around 12-15 by December, when it took off and went way, way up I started selling. Place this in the context that the peak for Natural Gas prices may have been reached this winter, and the very large AGA storage numbers. The other context is that reduced economic activity (read : recession) tends to lead to lower NG and oil prices. The third item is it appears that some of the price level in California were affected by actions of the El Paso pipeline. Since that has stopped, prices have dropped sharply. Energy is cyclical, and we are at the top of the cycle, starting to head down. SO ROYL maybe swimming against the tide for a period of time. A hot summer in California can cause NG prices to rise, creating another buying opportunity. From a longer term view, ROYL is a well run company with excellent geologist and operating people, and they use first class consultants. Long term, I expect they will be able to find hydrocarbons and build a good independent. The California price run up has also given them a good cash positon. Royale will be at the San Francisco Money Show in August, if you are in the area. Alos check out the research from C.K. Cooper on Royale. Best of Luck, energyplay