CHRISTMAS PARTY, SATURDAY, DECEMBER 9^TH, PLEASE JOIN US-The TOGA Christmas party is scheduled for Saturday, December 9^th at the Cedar Bluff Holiday Inn in Knoxville. The reception starts at 6:00 p.m. EST and Dinner is at 7 p.m. The dinner will feature a filet mignon steak, salad, vegetables, dessert and wine. The charge is only $25 per couple and we now have more than 30 signed up. You don’t have to be a member to attend. Just be able to say crude oil and smile. Those now registered to attend include: Mr. Bill Ray and Anne Byrd, Mr. Rusty Liming and Guest, Mr. & Mrs. Mark Liming and daughter, Mr. and Mrs. Bill Goodwin, Mrs. Barb and Mr. Bill Lockhart, Mr. and Mrs. Dieter Hein, Mr. and Mrs. Bill Lockhart, Mr. and Mrs. Doug Clark, Mrs. Shirley and Mr. Glen Diamond, Mr. and Mrs. Gary Bible, Mr. and Mrs. Bill Grubb, Mr. Lynn Wagoner and Guest, Mr. Glen Burke and Guest, Mr. and Mrs. Jeff Laxton, Mr. and Mrs. Willard Glover and Mr. and Mrs. Lloyd Stephens. Give us a call, if you can join us.

We will have a very brief business meeting after dinner then Chairman Anne Byrd has bought great Christmas presents for everyone attending. Please be there and join in the holiday fun.

SAVE DOMESTIC OIL DUMPING CASE MOVES FORWARD-The Clinton administration has tried every appeal to stall the Save Domestic Oil (SDO) lawsuit charging Saudi Arabia, Mexico, Iran and Venezuela of dumping cheap oil in the United States to drive the price down and running American companies out of business. The 60-day time given by the appeals court has now expired and SDO expects the Commerce Department to initiate the investigation into the dumping matter forthwith. SDO is charging that the dumping nearly destroyed the independent oil and gas industry. The suit charges that the reason it is taking the industry so long to react to the currently high prices is that we were almost knocked out of business by the $7 a barrel price that the dumping scheme created. The domestic oil injury case is now prepared and it is of little wonder the extended length time needed for this industry’s recovery. Even with good oil and gas prices, it takes a while to recoup from a $20 billion catastrophe.

NATURAL GAS PRICES SURGE ON COLD WEATHER, GROWING DEMAND-Natural gas prices surged recently on cold weather across much of the continental U.S. The cold snap drove December and January NYMEX natural gas futures above $6 MMBtu for the first time ever. Predictions of tight supplies and strong seasonal demand for natural gas are likely to underpin prices for some time, analysts say. "There just isn’t enough gas around," shouts a recent headline in Business Week magazine. The magazine says the biggest new demand is coming from power plants. To generate enough electricity for America’s exploding population of high-tech gadgets, electric utilities are building gas-fired power plants like there is no tomorrow. As a result, demand for natural gas no longer peaks in the winter or sags in the summer. Today, gas provides about 20% of the U.S. energy needs. Forecasts call for a jump to nearly 30% by 2015.

NATURAL GAS PRICES TO STAY HIGH, SAYS EXPERT-Cambridge Energy Research Associates (CERA) in a special multi-media conference call with IPAA members said independents will be critically important in providing the natural gas to meet the nation’s burgeoning electric needs. Noting the arrival of a cold weather snap had propelled Henry Hub natural gas futures to an all time high of $6 Mmbtu, a CERA spokesman said he expects a deeper, more intensive and longer lasting cycle for natural gas prices into 2001 and beyond.

CERA says market psychology is in the ascendant right now and has a lead role in driving oil prices up. CERA expects oil prices to be in the $22-$35 bbl range "as we move into 2001", but sees prices easing thereafter as market psychology exerts less of a role.

MISSISSIPPI LEASE AVAILABLE-The TOGA web site stirs up a lot of interest, from million barrel oil deals in Nigeria, which I pass on quickly to leasing opportunities, like this one: A man I work with Harald Green owns some land in central Mississippi. He said years back that Exxon said there was gas under his land. So he wanted me to e-mail you and ask you if you would be interested in exploring his land. He said you could write him, call him or send me an e-mail and I will print it and take it to him. His address is Harald Green, 56212 Chapel Hill, Walls, MS 38680. His phone is 662-781-2419. The e-mail address is Den901@webtv.net Anyone interested?

OIL, GAS PRICES UP, UP AND AWAY-ABOUT TIME-South Kentucky Purchasing Co. was paying $30 a barrel for oil on December 1, 2000. We were at $31.25 on November 21^st, then the price jumped a bit to $31.50 on the 23^rd . Then it went down to $30.25 on the 29^th , recovered a bit back to $30.75 on November 30^th before landing at an even $30 on December 1^st . That is one whale of a lot better than December 1999, when the price was $21.25. And back just before Christmas 1998, we were getting only $7.50 a barrel for our oil and $1.85 MMBtu for our gas. And while we are publishing this edition of the newsletter too early to be able to post the Citizens Gas Utility District price for December, we can report that the NEMEX for December topped $6 for the first time ever and the January NYMEX is $6.181.

TENNESSEE NOVEMBER WELL PERMITS- Franklin County- Twin Cedars Exploration, LLC., Permit #9647, Twin Cedars #2, Estill Fork Quad, 2000 ft./ Hancock County- Miller Petroleum, Inc., Permit #9652, Worlie Purkey ETAL #2, Swan Island Quad, 5000 ft./ Overton County Gold Eagle Energy Resources, Permit #9645, Ledford Heirs #1, Alpine Quad, 2000 ft./ Ohio-Ky Oil Corp., Permit #9646, Jimmy Gillentine #2A, Alpine Quad, 2000 ft./ Young Oil Corporation, Permit #9648, Austin Choate #5, Alpine Quad, 2000 ft./ Arnco Oil Co., Permit #9650, Union Bank & Trust 9A, Livingston Quad,2000 ft./ Ohio-Ky Oil Corp., Permit #9651, Wayne Brown Unit #19, Livinston Quad, 2100 ft./ Basin Oil & Gas Corp., Permit # 9656, Barney McDonald #1, Alpine Quad, 2000 ft./ Barrett Drilling Co. Inc., Permit # 9657, Roy "June" Melton #1, Alpine Quad, 2000 ft./ Young Oil Corp., Permit # 9658, Douglas Bowmer #2, Alpine Quad, 2000 ft./ Pickett County- Herman Johnson, Permit #9649, Johnson-Choate Unit 6A, Moodvville Quad, 2000 ft./ Wade Energy, Inc., Permit #9653, Delza Winningham #70, Alpine Quad, 2000 ft./ Scott County-Delta Producers, Permit #9654, Ketchen #15, Ketchen Quad, 2800 ft./ Delta Producers, Permit #9655, Ketchen #16, Ketchen Quad, 2800 ft./

KENTUCKY NOVEMBER WELL PERMITS-Clinton County-Ohio-Ky Oil Corp., Permit #91711, Ferguson Brothers #21/ Southeastern Oil & Gas Corp., Permit # 91725, Charly Norris #SE-4/ Southeastern Oil & Gas Corp., Permit # 91726, Keith Garrett #SE-5/ Cherry Oil & Gas Inc., Permit #91757, Pearl Heirs Melton #5010/ Cherry Oil & Gas Inc., Permit #91758, Pearl Heirs Melton #5021/ Cherry Oil & Gas Inc., Permit #91759, Pearl Heirs Melton #5031/ Cherry Oil & Gas Inc., Permit #91760, Pearl Heirs Melton #5041/ Cherry Oil & Gas Inc., Permit #91761, Pearl Heirs Melton #5051/ Steve Burchett Oil Co., Permit #91765, Jimmy Upchurch #Z13/ Harlan County- Evan Energy Co., Permit #91719, Black Star Land & Mining #505/ Evan Energy Co., Permit #91720, Black Star Land & Mining #510/ Evan Energy Co., Permit #91721, Black Star Land & Mining #523/ Evan Energy Co., Permit #91752, Little Black Mountain #710/ Evan Energy Co., Permit #91753, Little Black Mountain #706/ Evan Energy Co., Permit #91769, KY WVA Coal & Mining #524/ Evan Energy Co., Permit #91770, Black Star Land & Mining #508/ Evan Energy Co., Permit #91776, Black Star Land & Mining #503A/ Knox County-Daugherty Petroleum, Inc., Permit #91703, Daugherty Petroleum #HE-63/ NAMI Resources Co., Permit #91718, Kenneth Engle #3/ NAMI Resources Co., Permit #91739, Roger Engle #1/ Daugherty Petroleum, Inc., Permit #91785, Equitable Production #HE-43/ Daugherty Petroleum, Inc., Permit #91787, Equitable Production #HE-61/ Daugherty Petroleum, Inc., Permit #91789, Equitable Production #HE-55/ Daugherty Petroleum, Inc., Permit #91782, Equitable Production #GE-39/ Daugherty Petroleum, Inc., Permit #91786, Equitable Production #HE-62/ Whitley County-Energy Associates Inc., Permit #91750, Princeton Etal #EA-27.

The Ky/Tenn Report is published monthly and distributed at no cost to oil and gas operators in Tennessee and Southern Kentucky. It is owned and operated by W.D. Goodwin, Inc., The editor is Bill Goodwin, e-mail: tmdbill@aol.com It is the official publication of the Tennessee Oil & Gas Association, 750 Old Hickory Blvd, #170, Brentwood, TN, 37027. Phone 615.263.1291, Fax 615.263.1282. Web site: www.tennoil.com.

BRENTWOOD, TN 37027