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Gold/Mining/Energy : Santa Fe International (SDC) -- Ignore unavailable to you. Want to Upgrade?

To: Doug who wrote (36)	12/19/1997 5:43:00 PM
From: Czechsinthemail	Read Replies (1) \| Respond to of 54

Doug, It is the $64 question. Briefing.com had a write-up today that suggested a psychologically negative climate based on fears of OPEC overproduction, Asian economic weakness and the Kyoto agreement to reduce greenhouse gases reducing demand for oil, and falling oil prices causing oil companies to cut back on their drilling budgets. They discounted the likelihood of these events occurring with enough impact to make much of a dent in the earnings of drilling companies. They expect the drilling and oilfield services companies to be particularly attractive given their high rate of growth and expected earnings slowdowns elsewhere in the economy. Meanwhile the fundamentals remain strong. Virtually all the drilling companies will report strong earnings. Among them, SDC should have higher sequential growth than most. SDC is one of the premier drilling companies, with good management and a strong balance sheet. Their strong international presence and expertise with harsh environment rigs give them an improved competitive position relative to other drillers. I think the way to bet is that continued strong earnings will turn around the negative market sentiment and these companies will again become favorites. I'm expecting SDC and NE to show particularly strong performance among the offshore drillers. My guess would be a rally starting sometime soon and running through at least the next earnings release. Good luck, Baird

To: Doug who wrote (36)	12/20/1997 2:35:00 PM
From: tyc	Read Replies (2) \| Respond to of 54

hi, I also own SDC and lots of other related stocks. I am in this sector for alomost 2 years in and out. Buy more and sell less. Overall, I make big profits on it. I saw this kind of situation more than 10 times. It is so wild. I got tired of searching why. Fist time I got scared out for some irrational reason. Of course, later on I pounded the table I won't do that again. It is the only sector IMO that I fully believed that I can count on for many years. See, only this sector received no downgrade, no warning. Only we can get is stocks upgrade, split, stocks buy back, earning target raised, outlook getting better, dayrate keep going up and supply still tight, the oil co keep drilling, etc. The only negative we can get is 1) MAYBE oil price WILL drop 2) MAYBE OPEC WILL ship too many oil 3) MAYBE winteris WILL not cold enough 4) MAYBE oil co WILL not spend that much 5) MAYBE stocks price WILL not get higher 6) MAYBE SE asia people WILL not have US $ to buy oil 7) MAYBE world warming, people WILL not use oil 8) MAYBE fundamental WILL change 9) MAYBE oil drl/srv co WILL lose money Do you know 1) the oil price is stablized above $18 and the demand is increasing 2) some OPEC countries anounced they had already reached their production limit and couldn't ship more oil even they want to 3) This winter is getting colder & colder in some major cities 4) according to survey, 87% of oil co plan to increase their E & P spending next year since their management believe the current energy situation is better than anytime before. 5) .... Any sector or any stocks, at any time always have postive or negative view around, especial now. I get conviced if I buy aggressive now, I am going to have hugh reward next year. Like few times before. Forget about those MAYBE and WILL Buying opportunity is solidly formed. Merry X'mas and good luck tyc