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

To: GlobalMarine who wrote (39548)	3/10/1999 11:54:00 PM
From: Douglas V. Fant	Read Replies (2) \| Respond to of 95453

Rand, Ha! I laughed when I read your post! In October we ran our economics based upon $16.50 bbl wti, realizing that that was optimistic. Then in December upper management said "Nah, $16.50/bbl is unrealistic- run 1999 economics based upon $13.50/bbl wti. Then about three weeks ago upper management got seriously concerned and said "Hey rerun those economics based upon $10/bbl wti which we just finished.... Offically my company states that oil prices will stay over the next ten years or so around $15/bbl wti with deviations above and below that price level, but always a return to that mean.... Guys/girls US industry is very flexible like Gumby and the energy sector is no different. Over the last six months both producers and OS companies have (painfully) pulled costs out of our structures inventively in ways never considered before. Most companies are now very lean and mean..... BTW anybody looking for a risky but potentially lucrative gas play in a smaller producer?