To: Frank Pembleton who wrote (92348 ) 7/17/2001 9:54:39 AM From: Art Bechhoefer Respond to Re: Long term investing. I rely on fundamentals and am only interested in long term opportunities that look sound over a period of at least five to ten years. The prospects for fossil fuel, particularly crude oil and natural gas, look good for this time period because of what I previously noted; namely, that the rate of consumption of these resources is growing faster than the rate of new reserve discoveries. I certainly agree that under the current scenario, oil service companies and those involved in drilling might have to endure falling demand. I look at the companies involved mainly in oil and gas production (and much less in refining or distribution) as the best strategic investments in conventional energy. I then focus on the companies with the best management, most conservative debt positions, and the best record of new discoveries as the prime targets for investing. Many of the companies in this category can easily make money in the present market, with oil and gas prices at their present levels, or even at lower levels.
