Frazer smiled and rubbed his palms together. ‘Well, sir, we
uh, first of all, we are indebted to you for taking. . time out of your vacation to talk with us.’
‘You use the collective pronoun, Mr Frazer. Is someone joining us?’
Frazer smiled indulgently. ‘Of course, I’m speaking for my company. I’m sure you know us. AMRAN. Kind of the. . . uh, the new kids on the block, see what I mean?’
No doubt about it, Lavander thought, I don’t like this Frazer chap at all. They’ve sent a shill to do a man’s job, and that offends me more than anything. But business was business, so Lavander would hear what he had to say. ‘Yes, yes, I know all about AMRAN,’ he said impatiently.
‘And I assume the deposit to your bank was verified.’
‘I’m here, am I not?’
‘Quite! Well, then, at least we don’t need to be concerned about credentials for my company. That saves us some time, see what I mean?’
‘I have plenty of time,’ Lavander said nonchalantly. The waitress brought his pastry and tea. When she left, Lavander looked across the table at Frazer, his bulging eyes twinkling in anticipation of the conversation. ‘Now, what is it you want?’ he asked.
‘We’re new, as I said. We don’t pretend to know all the answers, but we know you know a lot of them. We’re interested in a consulting situation.’
‘You have serious problems already,’ said Lavander, sipping his tea noisily.
‘1 beg your pardon?’
‘Among AMRAN’s less fortunate decisions was the inclusion of the Hensell Oil Company in your consortium, sir. You have acquired a bankrupt partner.’ He raised his eyebrows and leaned toward Frazer. ‘Hmmm?’
‘We... uh, I assume this conversation is confidential.’
‘Really!’
‘Sorry,’ Frazer said quickly. ‘Point is, sir, we need their outlets. They’re in thirty-seven states. Twelve pumpers, see what I mean?’
‘Actually forty-two states, under three different corporate names. You could have waited another three months and had Hensell for ten cents on the dollar.’ Lavander waved his hand disdainfully, like a king dismissing a pauper.
‘It was cheaper than making a giant investment, particularly at a time when things are a bit—’
‘You haven’t studied your figures. You have yourself a problem company as an equal partner at a time when the market is unstable.’
‘We’d have lost them. Somebody else would have snapped them up.’
‘Not as an equal partner. Subsidiary, perhaps.’
Frazer leaned back. ‘There’s also the matter of oil properties, specifically Hensell’s holdings.’
‘What have you allocated for deve1opment?’
Frazer hesitated. He seemed to be considering whether to answer the question or not.
Lavander laughed. ‘Would you like me to tell you, hmmm?’
‘Three hundred million,’ Frazer said in almost a whisper.
‘Another questionable move. Over half of those holdings are in the Montana Strip. The field is erratic, sir. I know it well. Over a million acres and there are no patterns. You’ll drill a dozen dry holes for every strike, and the yield is going to be low in the bargain. I would guess no more than.., twenty to twenty-two barrels a day per well.’ He shook his head. ‘You’d be better off spending the development money in Alaska or the North Sea.’
‘Too crowded,’ Frazer said. ‘Our other companies have resources—’
Lavander cut him off again. ‘Of course, your other four companies are healthy. American Petroleum will be showing a five hundred and fifty percent profit increase over last year. Sunset Oil will be up at least four hundred percent. Very nice. Very nice that the Americans are such sheep. They’ll pay through the nose for a while. Question is, how long will they put up with it?’
‘Long enough to pay the fattest dividends in history,’ Frazer said.
‘And if the Middle East cuts you off?’
‘I ... uh, we don’t anticipate that for some time.’
‘It will happen. Suddenly and soon.’
‘Well, we’ll cross that bridge—’
Fact is, you have very safe reserves. I know it and you know it. All the oil companies do. Stored away somewhere. Let’s be bloody honest, shall we? Your company is sitting on at least what ... five billion gallons proven reserves’?’
‘That’s confidential information, Mr Lavander..
‘It was announced by your company in an annual report not two months ago. Confidential indeed! I suggest we be honest. Actually it’s closer to fifteen billion, hmm?’
Frazer was genuinely surprised at Lavander’s wealth of knowledge.
‘Look, old chap,’ Lavander said, ‘I don’t care, y’know, what you tell the poor fools in Congress or the people on the streets of America. But please don’t race me off, hmm? Actually you’re really sitting on fifty to sixty billion
