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To: Crimson Ghost who wrote (45942)	6/5/1999 2:44:00 PM
From: Harold S.	Respond to of 95453

Terrific news George! With the Rig count released on Friday, the press release you just posted, and continued reports of the Asian demand increasing....we are going to rock on Monday!!

To: Crimson Ghost who wrote (45942)	6/5/1999 3:35:00 PM
From: pz	Read Replies (1) \| Respond to of 95453

George, Incredible news! It looks like OPEC is serious. Time for the OSX rally now. :o) Paul

To: Crimson Ghost who wrote (45942)	6/6/1999 2:51:00 AM
From: BigBull	Read Replies (1) \| Respond to of 95453

George and all, Here's a Reuters story that elaborates on the Mexico, Saudi meeting. Now we know why the Saudis, and Iranians were so bullish on the price of oil, the reports of OPEC's death were greatly exaggerated! Look for more of this kind of story when Tellez concludes his talks with the Kuwaitis. OPEC is going to screw the shorts, again. I wonder how Doomberg can possibly spin this one? Saudi, Mexico see oil prices rising on cuts RIYADH: Key oil producers Saudi Arabia and Mexico said yesterday they were satisfied with the "high" level of compliance with a global deal to cut crude production and predicted it would deliver higher prices in coming weeks. The positive view of output discipline under the March accord came during talks in Riyadh between Saudi Oil Minister Ali al-Naimi and visiting Mexican Energy Minister Luis Tellez. "Minister Naimi and Minister Tellez expressed their satisfaction with the high level of compliance to the agreed oil reduction by both Opec's members and the independent producers," said a joint statement issued by the Saudi oil ministry. It said the ministers "also reaffirmed their commitment of co-operation with other producers to take whatever action needed to stabilise the market and improve the oil prices". Opec heavyweights Saudi Arabia and Venezuela, as well as Mexico, which is not a member of the group, have since last year masterminded three production cut accords designed to rejuvenate oil prices. Previous deals were undermined by quota busting. Sensitive world oil markets have been monitoring compliance levels closely since the March pact was agreed. Tellez told reporters that he and Naimi had estimated in their meeting that compliance with the March supply restraint package stood at around 90% in May. Responding to a question about whether Mexico was willing to extend its production curbs beyond the end of 1999, he said: "Of course, Mexico is open to extending its participation together with the rest of the countries." Last month, Tellez said that the latest oil cuts may have to be reviewed before they expire next spring if prices continue to recover. Major oil producers have had high hopes that the latest accord would push up prices and generate fresh revenues for their economies that had been battered by a depressed market. There has been some price recovery but targets set after the March deal was sealed in The Hague have not been reached. "The latest price correction notwithstanding, they expressed their firm belief that the oil price will start again to improve within the coming weeks," the statement said of Naimi and Tellez. The ministers "also reaffirmed their commitment of co-operation with other producers to take whatever needed action to stabilise the market and improve the oil prices". International benchmark Brent closed at $15.59 a barrel in London on Friday, having recovered from the week's $14.50 low, but it remains well down on the $17 highs of early May. The March pact is scheduled to run from April 1, 1999 until the end of March next year. Tellez is due to travel to Kuwait today for similar talks with his counterpart there, Sheikh Saud Nasser al-Sabah. Tellez and Naimi reiterated the "firm" commitment of their governments with supply curb deals and "expressed their will to continue with the agreements in terms of timeframe and quantities", the statement said. "Both sides strongly believe that the other oil producers have the same view and will continue to honour their commitment," it added. - Reuters --------------------------------------------------------------------------------