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Gold/Mining/Energy : TLM.TSE Talisman Energy -- Ignore unavailable to you. Want to Upgrade?

To: Tomas who wrote (1257)	6/27/2001 5:16:08 PM
From: Greywolf	1 Recommendation Read Replies (1) \| Respond to of 1713

Sudan 'will not suffer' if Talisman pulls out, Calgary \|Reuters \| 27-06-2001 Sudan's fledgling oil industry would not suffer if its most prominent investor, Canada's Talisman Energy Inc, pulled out to escape any U.S. moves aimed at punishing foreign oil firms operatingin the war-torn country, a top Sudanese official said yesterday. "It wouldn't affect us because they are going to sell to someone else who may be operating in Sudan now," Abdel Rahim Hamdi, Sudan's minister of finance and national economy, told Canadian reporters in a conference call. "Investors are coming to Sudan. The Chinese and Malaysian companies have reconfirmed their intentions keep working in Sudan," Hamdi said from his home in Khartoum. The Islamist government of President Omar Hassan Al Bashir is under intense pressure from the United States and numerous human rights groups, who charge it is using oil revenues to fuel a protracted civil war against rebels in the largely Christian and tribal southern part of the African country. Talisman chief executive Jim Buckee - who has staunchly defended his company's involvement in Sudan amid a firestorm of criticism from some religious and human rights groups - said last week he would unload the interest if the United States moved to prohibit Talisman's shares from being traded on the New York Stock Exchange. The company, one of Canada's biggest oil producers, has a 25 per cent interest in the consortium that operates Sudan's main oil concession, now producing 200,000 barrels a day. Its partners include China National Petroleum Corp, Malaysia state oil company Petronas and Sudan's Sudapet. Buckee has long said his company's presence would only help matters in Sudan, through such humanitarian efforts as building schools and hospitals, and reporting to shareholders and the Canadian public on human rights issues. "The other companies are very reputable and very advanced, and I don't think the oil industry will deteriorate in any way (if Talisman pulls out)," Hamdi said, adding that he hoped the company would decide to stay. "We are grateful for Talisman and we hope that it will continue. It doesn't mean that we want to abandon them." Last year, Sudan received $500 million in oil revenues and expects its take to be $600 million this year, Hamdi said. Talisman said last week its Sudanese investment was not cast in stone after the U.S. House of Representatives passed an amendment that would prohibit foreign firms operating in Sudan from raising capital in the United States. The legislation still requires Senate and presidential approval. Hamdi said Sudan was not concerned by the U.S. bill because many of the firms operating there did not raise money in the United States. U.S. firms are already barred from operating there. "The Americans have been lashing us with sanctions for some years now. For us, this is something that is not affecting our development at all," he said in the conference call, aimed at promoting Canadian investment in Sudan. Ottawa has attempted to discourage Canadian corporate investment in the African country, but has conceded there is little it could do to prevent it. In late 1999, Canada threatened to sanction Talisman if it was found that the oil operation was sustaining the war, but later backed off saying it could not unilaterally impose economic measures. Talisman shares closed down 36 Canadian cents yesterday at C$58.64. The stock has ranged between C$65.77 and C$43.75 over the past year.

To: Tomas who wrote (1257)	7/6/2001 11:03:40 AM
From: Tomas	Read Replies (1) \| Respond to of 1713

Value player upbeat on oil - Despite 'short-term pain,' stocks are cheap The Globe & Mail, July 6 SHIRLEY WON Fund manager Daniel Bubis is upbeat on Canada's oil patch even though falling commodity prices have recently knocked the wind out of energy stocks. "If you invest in bottlenecks you generally don't go wrong -- as long as you buy the companies at a reasonable price," says the chief investment officer of Winnipeg-based Assante Asset Management Ltd. Demand for energy is going to keep rising over the longer term because there are capacity constraints in a lot of different areas, Mr. Bubis adds. "If the Federal Reserve Board is successful at rejuvenating economic growth, those constraints are going to be that much more acute a year from now." Mr. Bubis, a contrarian value investor, says there could be "short-term pain" in the energy sector, but likes the oil patch stocks because they are cheap. They are trading at three to four times this year's expected cash flow, he says. The manager, who buys cheap stocks of firms with strong cash flow, has been adding to the following positions. Talisman Energy Inc. (TLM-TSE). The Calgary-based oil and gas producer, which closed yesterday at $57.50, traded at a 52-week low of $43.75 a year ago and a 52-week high of $65.77 last month. He likes the management team, adding that it used its strong cash flow to buy back shares and pay a dividend this year for the first time in a decade. Mr. Bubis says the stock is cheap because of concerns about its controversial stake in an oil venture in Sudan, but he believes Talisman "will do something with the Sudan project prior to impairing shareholder value." ...