Dear Mr Lay

Issue 32 - 12th October 2000


CONTENTS

1 - This Weeks E-News Stories
2 - Conference News, 2 for 1 Delegate Places
3 - Free issues of MENA Petroleum Bulletin
4 - Personalise Your E-news Stories
5 - Market Analysis Report News
6 - Author Opportunities with SMi's Market Analysis Report Series
7 - Feedback: Let us know how you feel we could improve this service


Welcome to MENA E-News, delivering you the latest Middle East and North
African oil, gas, power and petrochemical headlines to your virtual
doorstep.

MENA E-news is your FREE personalised weekly news service from the
publishers of MENA Petroleum Bulletin
http://www.smipublishing.co.uk/mena-enews.asp

Why is it E-News different?  Because you can personalise your issues to make
sure you receive the stories that matter to you.



******E-NEWS THIS WEEK*******

SONATRACH ASK FOR PATIENCE OVER OZ2 PIPELINE CONTRACTS
Algiers - Sonatrach has asked bidders to extend until the end of 2000 offers
made for the $1bn OZ2 pipeline system, designed to extend the capacity of
the crude oil corridor from the central el_hamra oil field to the Arzew
terminal west of Algiers. The extension will allow the company more time to
evaluate the bids
About six companies/groups are understood to be bidding for the three
contracts which are estimated to be worth $220-250m each. They include CCC;
a consortium of Bonatti, with Entrepose and Dragados & Construcciones and
Bechtel. The first two contracts involve the construction of the pipelines
with a third contract for six pumping stations. The recent political changes
in Algeria, combined with internal administrative changes in Sonatrach, are
said to have contributed to the delay.


OIL PRICES RISE OVER ISRAELI CONFLICT
London - Oil prices soared on global markets last night following rising
tensions in the Middle East.
London Brent blend futures rose 72 cents to $31.48 but remains short of a
10-year high $34.98 touched last month. US light crude was up 92 cents at
$32.79 helped by speculators returning to buy oil after a two-week sell-off.
Following Saudi Arabia's warning that Riyadh and other Arab states would not
"watch with their hands tied" if Israel attacked Lebanon or Syria, the cost
of a barrel of crude went up almost a dollar to $32.79 (o22.60) in New York.
Earlier the International Energy Agency set alarm bells ringing when it said
the West was heading into winter with inventories well below the seasonal
norm.
Oil prices have retreated from their 10-year peaks last month after pressure
from the G7 industrial nations on producers to pump more crude and the US
decision to release 30m barrels from its strategic reserve. After briefly
dipping below $30, prices have risen amid concerns that demand will exceed
supply in the coming months, particularly if the violence in Israel leads to
a broader conflict. Oil prices are seen as a threat to the prospects of low
inflation in the West, and yesterday's increases spilled over into bond
markets, where worries about Wall Street and energy shortages had already
driven yields higher.
A wave of violence between Palestinians and Israelis over the past 12 days
has killed at least 90 people, mostly Palestinians.


BUY-BACK TERMS SET TO CHANGE
Tehran - In an interview with Petroleum Argus this month, Mehdi Hosseini,
former Deputy Oil Minister for international Affairs and now Managing
Director at Kala, the procurement arm of NIOC based in London, indicated
that future negotiations with foreign oil companies will take place using
more favourable terms.
NIOC is reportedly close to implementing a more attractive buy-back formula.
Since the Islamic Republic re-opened its doors to foreign oil companies in
1997, executives had quietly bemoaned the buy-back formula as offering small
capital returns on huge investments. Despite this, Iran's energy buy-back
projects have so far attracted close to $10bn capital to the Iranian energy
sector. NIOC argues that it is their duty to negotiate terms favourable to
its population rather than to foreign entities. It now appears that in the
face of increased competition for foreign investment from its Gulf
neighbours, NIOC is prepared to compromise. For further details please visit
http://www.petroleumargus.co.uk


TURKIOG' 2000 UPDATE
London - Please be advised that time is running out to register for TURKIOG'
2000 conference in Istanbul on 16th and 17th of November. The event,
supported and endorsed by the Ministry of Energy & Natural Resources, Botas,
Tupras, TPAO, Directorate of Petroleum Affairs and Petkim, has now attracted
in excess of 600 delegates according to the organisers, ITE Exhibitions. The
supporting exhibition has attracted the participation of over 100 companies,
all of whom want to participate at what will prove to be the country's main
oil and gas event of 2000.
The MENA Petroleum Bulletin is pleased to offer you the chance to join us at
the event and hear the latest presentations from all of the state entities
and foreign companies involved in the growing oil and natural gas markets of
Turkey. For further details please send an e-mail to
oilgas@ite-exhibitions.com or visit their website at
http://www.ite-exhibitions.com



*****CONFERENCE NEWS*****

2 FOR 1 DELEGATE PLACES
B2B MARKETPLACES IN OIL AND GAS
1 & 2 November 2000, The Hatton, London

Find out about the successes and experiences of those already operating in
B2B Marketplaces in Oil and Gas at SMi's forthcoming conference.  This event
will include presentations from:

* Jeff Bennett, Global Procurement Manager, Amerada Hess
* Ash Bakshi, V.P. & Managing Director, Petrocosm (International)
* Robert Moony, CEO, Envera
* Steve Pottle, Chief Executive, EnergyPrism
* Bill Coates, E-commerce Co-ordinator, Schumberger Oilfield Services

Other issues to be covered include effects of e-commerce on traditional
procurement and logistics, e-procurement trends, development and
implementation of an e-procurement strategy and many case studies of
projects taking place during 2000.

There will also be two half-day interactive workshops following the
conference.  The first 'Becoming an Integral Part of the Oil and Gas E-
Business Agenda' will enable delegates to test and evaluate e-market
decisions before roll out using Pagoda's dynamic e-market simulation tool.
The second 'Human Resources Procurement On-line for Oil and Gas' will
discuss how to tap into a low cost, global human resources base through
e-commerce.

The full conference programme is available at
http://www.smi-online.co.uk/B2Benergy.asp

Or contact our delegate co-ordinator Bethan Jones
bjones@smiconferences.co.uk or telephone + 44 (0) 20 7827 6176


MIDDLE EAST GAS
13 & 14 January 2001, Dubai

Maximise the opportunities offered by the global increase in demand for
natural gas.  SMi's Middle East Gas Conference offers you the opportunity to
be up to date with the latest market developments in just two days.

The conference will address key issues including Oman's Gas Reserves, the
Iranian buy back situation and potential investments in Saudi Arabia.  But
that's not all, the conference also includes practical case studies from
those already established in the area.  These case studies include UAE's
Dolphin Project, Qatar's role in the Middle East gas market and LNG projects
in Oman.

The excellent speaker line up includes;

* Dr Peter Wells, Managing Director Middle East, Lasmo
* Sheikh Ahmed Al-Maskari, Head of Public Affairs, Oman LNG
* Naser Al Jaidah, Director for Oil and Gas Ventures, Qatar General
Petroleum Company
* Dr Ranald Spiers, Regional Director Middle East & Africa, National Power
* Edward Walshe, Senior Vice President LNG, BG International
* Abdulla Khouri, Communications Manager, UAE Offsets Group
* Roger Haines, Deputy Chairman, Gulfstream Resources
* Marie Francoise Chabrelie, General Secretary, Cedigaz

There will also be plenty of opportunities to meet the key players and
discuss market developments and potential.  The high quality of our speakers
means you can be confident of gaining insight from the experts.

The full conference programme is available at
http://www.smi-online.co.uk/transportgas7.asp

Or contact our delegate co-ordinator Bethan Jones
bjones@smiconferences.co.uk or telephone + 44 (0) 20 7827 6176



******FREE ISSUES OF THE MENA PETROLEUM BULLETIN******

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The MENA Petroleum Bulletin analyses the major developments in the region's
oil, gas, power and petrochemical sectors. From Morocco to Iran the MENA
Petroleum Bulletin delivers market commentary on the liberalisation and
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month subscribers to the MENA Petroleum Bulletin receive news of policy,
regulation and liberalisation that directly impact upon the ability of you
and your organisation to take advantage of the emerging business
opportunities. With the suspension of UN sanctions against Libya and the
ameliorating relationship between Iran and The West, there is no better time
to take advantage of the myriad projects on offer.

Our features, which are written by industry insiders and regional
correspondents, provide in-depth news coverage, incisive commentary and
vital market analysis. Each issue contains a country profile, project
profile and an interview with a leading industry expert to ensure that you
are kept informed of recent developments in the region.

FREE with the MENA Petroleum Bulletin each month is the PROJECT TRACKER,
which analyses the status of individual projects and tenders in each
country. With over 32-pages of projects, the PROJECT TRACKER ensures that
you are informed of licensing rounds, EOR projects, 'Buy-back' projects,
FEED and EPC tenders as and when they happen. Complete with contact listings
for each project the information you need is always at your disposal when
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*****MARKET ANALYIS REPORT NEWS*****


FISCHER-TROPSCH GTL REPORT, PROSPECTS AND IMPLICATIONS

SMi's Fischer-Tropsch GTL Report is the first report of its kind on the
market. It provides a concise and informed understanding of Fischer-Tropsch
technologies. It is aimed at the non-technical executive or consultant who
needs to keep up to date with new technologies for forward planning.

It provides you with a description and analysis of:
* what is Fischer-Tropsch GTL technology, in layman's terminology
* the commitments of the principal companies and governments involved in
Fischer-Tropsch developments
* the main economic, commercial and financial factors which determine the
viability of Fischer-Tropsch GTL projects
* the competitive relationship between Fischer-Tropsch GTL, Liquified
Natural Gas and Natural Gas Hydrates
* potential impacts of the new technology on the oil industry - both
upstream and downstream
* forecasts for the growth of Fischer-Tropsch GTL production up to 2005, and
its likely growth up to 2010 and 2015
* the impact of Fischer-Tropsch technologies on pertinent political and
environmental questions: issues of climate change and global geopolitical
relationships

For more information on this report e-mail us at:
mailto:enquiries@smipublishing.co.uk

Alternatively visit us
http://www.smipublishing.co.uk/gastoliquidsreport1.asp


THE MIDDLE EASTERN POWER REPORT

This market analysis report is designed to provide a comprehensive
understanding of all aspects of the power industry in the countries of the
Middle East.  The report features energy profiles, industrial structures,
supply and demand data and forecasts, policy and de-regulation issues of the
private sector, as well as investment and future prospects within the
following countries:

* Iran  * Iraq  * Kuwait
* Jordan * Oman  * Saudi Arabia
* Syria  * UAE  * Qatar
* Yemen * Pakistan * Turkey
* Egypt  * Bahrain * Lebanon

For more information on this report e-mail us at:
mailto:enquiries@smipublishing.co.uk

Alternatively visit us at http://www.smipublishing.co.uk/mena-enews.asp



****AUTHOR OPPORTUNITIES WITH SMi's MARKET ANALYSIS REPORT SERIES****

SMi Publishing Ltd is a leading publisher of business to business
information.
Our Market Analysis Reports are 30,000 word rigorous analytical briefings
providing timely industry and market forecasts. We are looking for authors
to write for our Energy portfolio on topics such as:

- Deep and Ultra-Deep Water Drilling
- Smart Reservoirs
- Coal-Bed Methane
- EP Data Management

If you or one of your colleagues are interested in writing a Report, please
contact Elizabeth Gray: mailto:egray@smi-online.co.uk



******YOUR FEEDBACK********

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service. mailto:feedback@smipublishing.co.uk

Regards,

Richard Nolan

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