I have a Delphi 2.0 C/S which connects to an Oracle 7.x Database. I use
the Database component with LoginPrompt=False, KeepConnected=True,
Username+Password in the Params property, etc...

Still, my program will show a Database Logon screen, asking for a
password. I have virtually no idea why this should happen. I've heard of
a component which can maintain connection to a database (although I have
no info about it).

Can anyone please help ?

Sounds as if you are 'creating' an 'active' datasouce before
'opening' the database object.  Always suspect creation order first.

John Martin