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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (60130)	2/7/2005 2:48:56 PM
From: Maurice Winn	Read Replies (3) \| Respond to of 74559

Jay, dividends are what I like! New Zealand has taxation rules making dividends a good thing for me. I will decline Vermillion because I'm sure that the production cost of energy is far below the current oil/gas prices. The reason for the current high prices is not depletion of fossil fuels, but a short-term gap between supply of energy and demand for it at $20 or $30 a barrel oil equivalent, which is the price at which it is economic to expand production. At current prices, production will exceed demand once all the projects are geared up. ElM's ethanol production is economic at these prices, for export even! Once bioethanol is widely economic, there is effectively no limit to the amount that can be produced. There is a LOT of land. China is gearing up to turn coal into liquid fuels. There is a LOT of coal around the world. There are swarms of energy production projects under way around the world. Plus continuing conservation measures. Note that Lord John Browne of BP is not interested in buying energy supplies at current prices. That's because they are too expensive. That means they are going to get cheaper. He is one to watch and take guidance from unless you have special insight in some respect and can say why he is wrong in that instance, if not in general. The US$ is on the comeback trail. Note rumours of Bill Clinton being appointed UN Secretary General. He'd be an excellent candidate. I'm sure he'd love to be the first World President of a reconstituted UN. Mqurice