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Gold/Mining/Energy : American Eco (ECGOF, ECX on Toronto exchange) -- Ignore unavailable to you. Want to Upgrade?

To: Chien Li who wrote (1820)	2/28/1998 5:31:00 PM
From: david james	Read Replies (3) \| Respond to of 2841

Thanks Chien, That $7.826 mill in NOLs in 1998 represents 39 cents with the current number of shares (20 mill). If we assume we have a few more shares, say 22 mill for 1998, then that represents 35 cents. So if DBCO breaks even then Eco should be able to do $1.40+35 or $1.75 based on current estimates. I've heard that one of the reasons McGinnis is confident that McGinnis can make a profit with DBCO is because MM Industra is running at full capacity with more work available and with Davie, they could push over to them some of their fabrication work. And that work is high margin (currently averaging 30% margins at MM Industra). So I must admit that its beginning to look like $2.00 might actually be in reach. Hey, I'll be happy with $1.80 and a P/E of 15 which would be $27/share. Tomorrow I am going to do a comparison with FGII. Its the darling of the strictly drilling thread, has about the same number of shares, doing similar work, has about the same earnings expectations, will be competing for contracts in the Terra Nova field (they just bought a yard in Newfoundland). However, FGII is currently about 30, and everyone thinks it will go to 50 once oil prices stabilize. David