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Gold/Mining/Energy : Canadian Oil & Gas Companies -- Ignore unavailable to you. Want to Upgrade?

To: Doug who wrote (4718)	2/22/1998 1:22:00 AM
From: Richard Saunders	Read Replies (1) \| Respond to of 24921

Doug/ bottomline - don't know. I do know that the CICA issued an accounting guideline on full cost accounting in September of 1986 but I'm not sure of all the implications and rules, etc. Also, can't really say about switch implications to share price as I suspect it probably depends upon specific situation. Swith to full cost will likely result in higher depletion, depreciation and amortization charge per unit of production so suspect that'd in itself smooth out earnings volatility. But then....... at the moment most producers are valued more on a cashflow basis and earnings aren't really given total importance. Again, bottomline...... don't really know for general rule of thumb. Tangent - if you haven't already seen it hunt down "Handbook of Canadian Security Analysis" editor is Joe Kan. Book is put out by Wiley & Sons and lists for approx. $90. There are approx. 40 pages in the book which are written by the analyst at RBC Dominion and he touches briefly on accounting types, etc. Some of the stuff I was previously spewing was gleaned from sned from some old Price Waterhouse Oil & Gas Surveys I've accumulated since the early '90s. The calgary office has helped me in the past.