On August 1, 1997, at 2018 central daylight time, an Engineering & Research Ercoupe 415-C airplane, N2899H, registered to and operated by a private owner, was substantially damaged following a loss of engine power during takeoff at the Boone County Airport, Harrison, Arkansas. The private pilot, sole occupant of the airplane, was not injured. Visual meteorological conditions prevailed for the Title 14 CFR Part 91 local personal flight, and a flight plan was not filed for the flight which originated at 2000. The pilot reported in the Pilot/Operator Aircraft Accident Report (NTSB Form 6120.1/2) that this airplane previously had a "slight oil leak around the front of the crankshaft." The pilot reported that after flying for about thirty minutes, a mist would appear on the windshield. Subsequently, the nose seal was replaced two times, the latter on July 31, 1997. On the day of the accident the pilot stated that he inquired with the mechanic, and the mechanic indicated that the misting "could just be residual [oil] from the engine." The pilot reported that he performed a preflight inspection of the airplane and then obtained weather information from the automated surface observation system (ASOS). The pilot was executing touch-and-go landings at the Boone County Airport when the accident occurred. The first three touch-and-go's were uneventful, with no misting of oil appearing on the wind screen. During the fourth takeoff, approximately 150 feet AGL, the engine lost power. The pilot stated that he was unable to land straight ahead due to the runway end identifier lights (REILs) located at the departure end of the runway. The pilot elected to land on a taxiway that extends east from the end of the runway. The pilot turned the aircraft to the left, while descending, to align the aircraft with the taxiway. The pilot reported that the propeller continued to windmill during the forced landing. The pilot reported that the airplane contacted the taxiway and traveled approximately 40 feet on the taxiway before exiting onto the grass. The airplane continued another 150 feet on the grass before the nose gear "dug in[to the ground]." Subsequently, the airplane came to rest inverted. Two witnesses, who were on the ground, observed the aircraft flying east, near the south end of the runway, and trying to land. Both witnesses report that the engine was not operating. The FAA inspector examined the airplane at the site and reported that the engine mount and firewall were buckled and the nose gear was folded under the cowling. The left wing, and horizontal stabilizer sustained structural damage. The reason for the loss of engine power could not be determined.