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Gold/Mining/Energy : ARAKIS: HIGH RISK OIL PLAY (AKSEF) -- Ignore unavailable to you. Want to Upgrade?

To: Jim Lamb who wrote (7436)	12/14/1997 10:30:00 AM
From: Marantz	Read Replies (2) \| Respond to of 9164

There may be some uncertainty about Malaysia's ability or willingness to participate financially in the Sudan oil project. Read the following excerpts: ---------------------------------------------------------------------- KUALA LUMPUR -- Malaysian Prime Minister Mahathir Mohamad pledged Saturday to carry out economic austerity measures aimed at slowing economic growth and preparing the country to emerge from its economic crisis. In a speech to Southeast Asian businessmen, Mr. Mahathir acknowledged that Malaysia is facing severe economic problems, and said unviable projects and unnecessary workers need to be eliminated to reach a recovery. "We must reassure the world that we will carry out what we have undertaken to do at whatever cost," Mr. Mahathir said. Two weeks ago, Anwar Ibrahim, finance minister and deputy prime minister, announced austerity measures that included an 18% cut in government spending for 1998. Mr. Anwar also cut Malaysia's economic growth forecast for 1998 to 4% to 5%, from previous projections of 7%. Mr. Mahathir said Malaysia was paying a heavy price for being "caught unawares" by the increasing globalization of the world economy. During the past four months, the Malaysian ringgit has dropped some 45% and stock prices have plunged amid concerns that Malaysia has been living beyond its means by promoting expensive infrastructure projects that have swollen the country's current account deficit. But unlike previous comments on the crisis that have laid the blame on foreign speculators, Mr. Mahathir on Saturday acknowledged the need for sacrifices to help make the economy more efficient. "What is not viable must be killed outright so the survivors can be free to consolidate their positions. People unnecessarily employed should be retired," Mr. Mahathir said. "As a doctor who once practiced surgery, I appreciate the need to amputate gangrenous legs to save the rest of the body. What we have to do is surgical. And we will do it," he added. ---------------------------------------------------------------------- All I'm doing here is speculating about the uncertainties that are hurting the price of our "beloved" Arakis. I haven't heard any specific comments concerning Malaysia's commitment to honoring their agreements in the Sudan. Naturally, in the spirit of the thread, everyone is invited to think out loud. Marantz

To: Jim Lamb who wrote (7436)	12/14/1997 3:10:00 PM
From: Edward M. Zettlemoyer	Respond to of 9164

Jim, BRE-X ran their scam behind closed doors, outside inspectors were not allowed to visit their operations in the field. AKSEF's oil reserves are tested and confirmed by an independent company. Last year Schlumburger (sound company on NYSE) was doing the testing. I'll have to review the annual report to see if there still with us. Also oil reserves are subject to an independent audit. Last year someone made the point that test results are electronically logged and tamper proof. Right now I think the big investor who can move the price of a stock are busy reviewing and rearranging their holdings since the Asian flue hit Wall St. Marantz brings up a good point, maybe investors are waiting to see if the Asian money crisis will severely affect Petronas, one of our consortium partners. Looks like we'll have to feel our way through the dark until some news breaks. Ed