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Gold/Mining/Energy : ABC - Abacan Resources, Nigerian Oil $$$ -- Ignore unavailable to you. Want to Upgrade?

To: SDR-SI who wrote (2654)	4/5/1999 8:33:00 AM
From: Razorbak	Read Replies (1) \| Respond to of 3156

Next Best Alternative Steve: I have a good friend at Enron, and I can attest to the fact that they have some of the sharpest financial minds and contract negotiators in the industry. They conduct these kinds of negotiations on a daily basis year round. Abacan and the government play this game only on rare occasions. If you were Enron, why would you push the project negotiations ahead now when you think you can get better terms if you hold out for a "fire sale"? When evaluating Abacan's and the government's negotiating position, remember to look hard at their next best alternative to waiting for Enron to cave on their negotiating points. Remember to analyze who has the upper hand in the negotiations. How many other players have expressed a legitimate interest in doing a deal? Can Abacan and the government really walk from the deal? Do they have time to make Enron sweat? If Abacan execs haven't even been to the country to visit since taking over the reins, as was reported on this thread earlier, how much leverage do they have with the government anyway? These are the kinds of questions I would be seriously considering before pinning any real hopes on this negotiation reaching a successful conclusion for Abacan shareholders. Just my opinion, of course. Razor