UNITED STATES
               SECURITIES AND EXCHANGE COMMISSION


                     Washington, D.C. 20549

                            FORM 8-K


                         CURRENT REPORT


             Pursuant to Section 13 or 15(d) of the
                 Securities Exchange Act of 1934


 Date of Report (Date of earliest event reported) July 20, 2000


                        THE BEARD COMPANY
     (Exact Name of registrant as Specified in its Charter)

     Oklahoma                  0-12396          73-0970298
(State or other          (Commission File      (I.R.S. Employer
jurisdiction of                Number)          Identification
incorporation or                                   Number)
organization)


                           Enterprise Plaza
                          5600 N. May Avenue
                               Suite 320
                      Oklahoma City, Oklahoma                   73112
            (Address of principal executive offices)          (Zip Code)

                               N/A
   (Former name or former address, if changed since last report)

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ITEM 4.  Changes in Registrant's Certifying Accountant.

     (a) On July 20, 2000, the audit committee of  the  board  of
directors of The Beard Company approved a decision to change  the
Company's  independent accounting firm from KPMG LLP  to  Cole  &
Reed, P.C.  Pursuant to that approval, the Company dismissed KPMG
and engaged Cole & Reed as the Company's principal accountant  to
audit the Company's financial statements.

     KPMG's  accountants' report on the financial statements  for
the  past  two  years  did  not contain  an  adverse  opinion  or
disclaimer  of opinion, and was not qualified or modified  as  to
uncertainty, audit scope or accounting principles.

     During  the Company's two most recent fiscal years  and  any
subsequent interim period preceding the dismissal, there were  no
disagreements with KPMG on any matter of accounting principles or
practices, financial statement disclosure, or auditing  scope  or
procedure,   which  disagreements,  if  not   resolved   to   the
satisfaction  of KPMG would have caused it to make  reference  to
the  subject matter of the disagreements in connection  with  its
report.

     During  the  Company's two  most recent fiscal years and any
subsequent interim period preceding KPMG's dismissal:

     1.    The  accountants did not advise the Company  that  the
internal  controls necessary for the Company to develop  reliable
financial statements do not exist;

     2.    The  accountants  did  not  advise  the  Company  that
information had come to the accountants' attention that led  them
to  no longer be able to rely on management's representations  or
that  made  them  unwilling to be associated with  the  financial
statements prepared by management;

     3.    The accountants did not advise the Company of the need
to  expand significantly the scope of their audit, or advise that
information  had  come  to  the accountants'  attention  that  if
further  investigated may (i) materially impact the  fairness  or
reliability of either: a previously issued audit report  for  the
underlying  financial  statements, or  the  financial  statements
issued  or  to be issued covering the fiscal period(s) subsequent
to the date of the most recent financial statements covered by an
audit  report (including information that may prevent  them  from
rendering   an  unqualified  audit  report  on  those   financial
statements);  or  (ii)  cause them to be  unwilling  to  rely  on
management's  representations  or  to  be  associated  with   the
Company's financial statements;

     4.    The  accountants  did  not  advise  the  Company  that
information had come to the accountants' attention that they  had
concluded  materially  impacts the  fairness  or  reliability  of
either  (i)  a previously issued audit report for the  underlying
financial statements; or (ii) the financial statements issued  or
to be issued covering the fiscal period(s) subsequent to the date
of  the  most  recent financial statements covered  by  an  audit
report  (including  information  that,  unless  resolved  to  the
accountants'  satisfaction, would prevent them from rendering  an
unqualified audit report on those financial statements).

     The  Company has provided KPMG with a copy of this Form  8-K
and requested the former accountant to furnish the Company with a
letter  addressed  to  the  Securities  and  Exchange  Commission
stating whether it agrees with the statements made by the Company
in  respect  to the statements made herein, and, if not,  stating
the respects in which it does not agree.  Included as Exhibit  16
to this Form 8-K is a letter from KPMG concerning the foregoing.

     (b) Also pursuant to the approval of the audit committee, the
Company engaged Cole & Reed. During the Company's two most recent
fiscal years, and any subsequent interim period prior to engaging
the  accountant,  the Company (or anyone on its behalf)  did  not
consult  with  Cole  &  Reed regarding  (i)  the  application  of
accounting   principles  to  a  specified   transaction,   either
completed or proposed; or the type of audit opinion that might be
rendered  on  the  Company's financial statements;  or  (ii)  any
matter  that  was the subject of a disagreement with  the  former
accountants or was a reportable event.

ITEM 7.  Financial Statements and Exhibits

(a)  Financial statements of the business acquired

     Not applicable.

(b)  Pro Forma financial information

     Not applicable.

(c)  Exhibits

     The following exhibits are filed herewith:

      Exhibit  Description
      No.
      -------  -----------
      16       Letter from KPMG LLP

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                           SIGNATURES

          Pursuant to the requirements of the Securities Exchange
Act  of  1934, the registrant has duly caused this report  to  be
signed on its behalf by the undersigned hereunto duly authorized.

                                   THE BEARD COMPANY

Date:  July 27, 2000               HERB MEE, JR.
                                   Herb Mee, Jr., President