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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Tomas who wrote (19788)	3/6/2003 10:35:21 AM
From: aerosappy	Read Replies (1) \| Respond to of 206179

Robry had estimated -168. Perhaps EIA is wrong <g> post.messages.yahoo.com

To: Tomas who wrote (19788)	3/6/2003 2:06:45 PM
From: Tomas	Read Replies (1) \| Respond to of 206179

Bullish on oil Tip Sheet - A daily compendium of market analysis and insights The Globe & Mail, Thursday, March 6 By Angela Barnes Nick Majendie, senior vice-president of Canaccord Capital Corp., has turned more bullish on the oil and gas group following his recent visits with energy companies in Calgary. "Our conversations with senior oil and gas executives seemed to indicate a growing consensus that, even after a presumed invasion of Iraq, oil prices would stay higher longer than most people would have suggested even a few weeks ago," said Mr. Majendie in a strategy report. Furthermore, several executives told him the global supply/demand situation for oil is "much tighter" now than it had been going into the Persian Gulf war in 1990-91, he added. Crude prices peaked at $40.42 (U.S.) a barrel in the earlier period, only fractionally above the nearly $40 a barrel they reached last Thursday. Also last Thursday, the head of the Organization of Petroleum Exporting Countries said the organization would make up for any shortfall if Iraqi production becomes unavailable as OPEC had spare capacity of four million barrels a day, Mr. Majendie said. However, some have questioned that figure and say the number is closer to two million barrels. "In 1990-91, excess OPEC capacity was in the order of six million barrels per day," he noted. He also noted that only two-thirds of normal Venezuelan production is expected to be on stream by the end of this year. "Add in the loss of Nigerian capacity through strike action, an increase in Japan's oil imports to an estimated 600,000 barrels a day for April, largely as a result of the closure of 13 out of 17 of Tokyo Electric Power's nuclear reactors (supplying 44 per cent of Tokyo's electricity needs) and the possibility of Iraq torching its oil fields and we could easily see oil prices averaging in the high $20 (U.S.) for the full year," he said. Crude closed yesterday at $36.69. Once the fighting began in the Persian Gulf war, the price of crude fell rapidly. But Mr. Majendie doesn't see such a rapid deterioration in price occurring this time because of the tighter supply/demand situation. globeandmail.com