Exhibit 10(p)

                                     AMENDED
                              LETTER LOAN AGREEMENT


The Beard Company
5600 N. May Avenue, Suite 320
Oklahoma City, Oklahoma 73112

Gentlemen:

This Amended Letter Loan Agreement supersedes the previous Amended Letter Loan
Agreement between the parties hereto dated September 1, 2000.

This Amended Letter Loan Agreement sets forth the terms and conditions under
which we have agreed to extend a revolving loan to you in the principal amount
of $1,750,000.00 (the "Loan").

1.     LENDER:        The William M. Beard and Lu Beard
                      1988 Charitable Unitrust (the "Unitrust").

2.    BORROWER:       The Beard Company.

3.     AMOUNT:        Such amounts as the Borrower may request from time to
                      time up to $1,750,000.00.  The Loan shall be evidenced
                      by a promissory note in the amount of $1,750,000.00 dated
                      as of today (the "Note").  The Borrower shall be permitted
                      to obtain advances, make prepayments, and obtain
                      additional advances, up to the amount of the Note.

4.     INTEREST RATE: A fixed rate of 10.00%.

5.     REPAYMENT:     Accrued interest shall be due and payable semi-
                      annually, beginning September 30, 2001 and
                      semi-annually thereafter, with the outstanding
                      principal balance (the "Indebtedness") plus unpaid
                      accrued interest due and payable on March 31, 2003.

6.     COLLATERAL: A. Until the Indebtedness has been paid in full, the
                      Borrower agrees that it will not create, grant,
                      assume or suffer to exist any lien, mortgage or
                      encumbrance (a "Lien") on its working and overriding
                      royalty interests in the McElmo Dome Unit in Montezuma and
                      Dolores Counties of Colorado ("Interests").  The Borrower
                      will not sell, transfer, convey or otherwise dispose of
                      any of the Interests, whether pursuant to a single
                      transaction or a series of transactions.


                   B. At any time while there is Indebtedness outstanding
                      under the Note, the Trustees of the Unitrust may request,
                      and the Borrower agrees to grant to the Unitrust, a Lien
                      on its Interests, and in such event the Borrower will
                      immediately furnish such Assignments, Transfer Orders,
                      Security Agreements or other documents as the Trustees
                      may require in order to secure the Indebtedness.

7.     COVENANT:      Until the Indebtedness has been paid in full, the
                      Borrower will not sell, transfer, convey or otherwise
                      dispose of, all or a substantial portion of its assets now
                      owned or hereafter acquired, whether pursuant to a single
                      transaction or a series of transactions, and the
                      Borrower will not merge or consolidate with any person
                      or entity or permit any such merger or consolidation
                      with the Borrower.  This paragraph specifically excludes
                      asset sales incurred in the normal course of business.

8.      EVENTS OF
        DEFAULT:      If any of the following conditions or events ("Events of
                      Default") shall occur and be continuing:

                   A. Failure of the Borrower to pay when due any amounts,
                      including principal or interest on the Note (whether at
                      the stated maturity, upon acceleration or otherwise).

                   B. Any Event of Default as specified in the Note

                   C. Any default or breach in the performance of any covenant,
                      obligation, representation, warranty or provision
                      contained in this Letter Loan Agreement or in the Note
                      or in any other note or obligation of Borrower to the
                      Unitrust.

                   D. The Borrower shall:  (i) apply for or consent to the
                      appointment of a custodian, receiver, trustee or
                      liquidator of the Borrower or any of its properties, (ii)
                      admit in writing the inability to pay, or generally fail
                      to pay, its debts when they come due, (iii) make a
                      general assignment for the benefit of creditors, (iv)
                      commence any proceeding relating to the bankruptcy,
                      reorganization, liquidation, receivership, conservator-
                      ship, insolvency, readjustment of debt, dissolution or
                      liquidation of the Borrower, or if corporate action
                      should be taken by the Borrower for the purpose of
                      effecting any of the foregoing, (v) suffer any such
                      appointment or commencement of a proceeding as described
                      in clause (i) or (iv) of this paragraph, which
                      appointment or proceeding is not terminated or discharged
                      within 60 days, or (vi) become insolvent.

        THEN upon the occurrence of any Event of Default described in the
        foregoing paragraphs the unpaid principal amount of and accrued
        interest on the Loan shall automatically become immediately due and
        payable, without presentment, demand, protest or other requirements of
        any kind, all of which are hereby expressly waived by Borrower.

If the foregoing terms and conditions are acceptable to you, please acknowledge
your agreement by signing below and returning one copy of this Letter Loan
Agreement to us.

Sincerely,

LENDER:
THE WILLIAM M. BEARD AND LU BEARD
1988 CHARITABLE UNITRUST

WILLIAM M. BEARD                            LU BEARD
William M. Beard, Trustee                   Lu Beard, Trustee

Accepted effective this 31st day of March, 2001.

BORROWER:
THE BEARD COMPANY

HERB MEE, JR.
Herb Mee, Jr., President