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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: The Perfect Hedge who wrote (9906)	1/27/1998 11:44:00 PM
From: Erwin	Respond to of 95453

Glen, Basically, this is what it says. - Though prices have rebounded a bit this week, most of the major exploration and production firms remain exposed if oil prices go down and stay there. - bearish factors are well known. - bullish analysts who say that last week's selloff could mark this year's bottom may be indulging in wishful thinking. - things could get much worse before they get better. crude could drop to $13 a barrel this year before OPEC leaders stop overproduction. stocks could fall another 10% from their current prices. (This impact was pointing toward oil companies like Texaco not at oil service companies.) - analyst at Washington, D.C.-based Petroleum Finance Co., adds that Saudi Arabia isn't willing to act as the "swing producer" until crude prices hit $14 a barrel on a sustained basis. The upshot: "We are going to see new lows before we see stabilization of prices, - An all-out war would, of course, send prices skyrocketing. But it's more likely that Iraq will be allowed by the United Nations to export more oil later this year . - Analyst estimates total world oil demand will grow by 1.9 million barrels per day this year

To: The Perfect Hedge who wrote (9906)	1/27/1998 11:58:00 PM
From: chuck weir	Respond to of 95453

Ok a synopsis: money manager Daniel Rice, who runs the State Street Research Global Resources funds, maintains that crude could drop to $13 a barrel this year before OPEC leaders stop dithering about overproduction. As a result, Rice thinks oil companies' stocks could fall another 10% from their current prices. Mohammed Abduljabbar, an analyst at the Washington, D.C.-based Petroleum Finance Co., adds that Saudi Arabia isn't willing to act as the "swing producer" and curtail its output until crude prices hit $14 a barrel on a sustained basis. He went on to say that we are going to see new lows before we see stabilization of prices. (Abduljabbar was one of the few who said last year that prices would drop below $17 a barrel. The article went on to profile the 1998 eps effect on major oil companies for each $1 change in the price of oil per barrel. Any heard about Mohammed Abduljabbar? ... a pilot in one of the 'Airplane' movies...hockey player? Is he already on this thread hiding under one of the ambiguous monikers so many use?