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Gold/Mining/Energy : Central Pacific Minerals & Southern Pacific Petroleum -- Ignore unavailable to you. Want to Upgrade?

To: Bearcatbob who wrote (68)	10/18/1998 8:06:00 PM
From: Thomas M.	Read Replies (1) \| Respond to of 90

Suncor is producing oil from tar sands in Canada at ~$12/barrel. The Australian oil shale deposit has more favorable conditions, and should be cheaper to mine. suncor.com Tom

To: Bearcatbob who wrote (68)	10/24/1998 2:45:00 PM
From: CLK	Read Replies (1) \| Respond to of 90

All I know is that I spoke with a good geologist, actually several, about this and my understanding is that they can produce the oil for considerably less than 8 dollars a barrel. However, I have also heard that since they are in Southern Australia and the big export markets are in the North, the transportation costs need to be added to that number making it more difficult and then there are the unresolved environmental problems. It is true that this oil shale is more favorable and that this process is quite good from what I have been told in my investigations. The politics is another matter as well. My view is that the jury remains out and that a worldwide economic collapse might be pretty bad news for this play snuffing out the necessary export demand. Furthermore developments in cold fusion or even warm fusion could put a big damper on demand. Still my view is that at this price it is a reasonable speculation although I have yet to put my money on the table.