Buying opportunity in M’sian O&G sector

January 13, 2015

Anyone have USD3M they would loan to me riba-free?

Dateline 2014-11-03, The Malaysian Reserve:

Crude oil prices have fallen by about 25% since mid-June to a four-year low. Brent crude futures, which is the leading global price benchmark for oil, dropped below $86 per barrel whereas US West Texas Intermediate (WTI) futures dropped as low as $79.44, the lowest since June 2012.

The negative spillover implications of a sustained period of lower oil prices are detrimental to the whole industry, and could lead to lower corporate earnings, reduced production and loss of jobs.

With oil prices hitting multi-year lows, the oil and gas sector seems to be looking bleaker by the day.

In Malaysia, national oil company Petroliam Nasional Bhd (PETRONAS) is the sole rights owner of all oil revenues.

If Petronas reduces production, it will affect supporting industries such as services provider Sapura Kencana Petroleum Bhd and marine engineering firms like Coastal Contracts Bhd.

Analysts have started to factor in the lower oil prices and have cut earnings forecasts for Malaysian oil and gas related companies.

…

Leave a Comment » | business opportunity, Malaysia, oil and gas | Tagged: | Permalink
Posted by Wata

Saturday Star 2015-01-10 – Job Opportunities

January 12, 2015

Happy Writing Wrong Check Dates Week. Buy my recommendations, or through my Amazon store. Or get the Young Turks series (all 4 books). Where are those corporate sponsors? Or throw donations at me.

  • I’m lining up jobs for next quarter, for IGL Services. Whisper to (better yet, carpe jugulum) your boss, and send work my way.
  • Nothing this week. Must be the calm before the USD35/barrel oil.

Support your local bookshop!  Bookalicious at The Summit Subang is a good choice. I think they focus on trilogies, quadrilogies, and other ologies. Tell them I sent you, and enjoy the look of perplexity on their faces. Those of you who have dropped my name, thanks!

Food choice of the week? How if you visit Vietnam, how about visiting and updating GoHalalVietnam! for your food needs. For your other needs, talk to your local tour guide/ concierge / man on the street.

Extract from my book choice of the week:

“I am impressed by his argument: ‘When you have eliminated the impossible, then whatever remains, how ever improbable, must be -‘

“-wrong,” Soames brusquely completed my sentence.


Professor Stewart’s Casebook of Mathematical Mysteries

Leave a Comment » | engineering, Malaysia, oil and gas | Tagged: , | Permalink
Posted by Wata

GLOBAL OIL WARS: Malaysia impacted, Najib squeezed

January 11, 2015

Dateline 2014-11-03, Malaysian Chronicle:

IN AN article titled “A Pump War?” Thomas Friedman raises an intriguing question: is there a global oil war under way pitting the United States and Saudi Arabia against Russia and Iran?

“Think about this: four oil producers – Libya, Iraq, Nigeria and Syria – are in turmoil today, and Iran is hobbled by sanctions. Ten years ago, such news would have sent oil prices soaring. But today, the opposite is happening,” Friedman writes.

If Friedman is right, oil prices could remain stagnant for a long time and this could impact Malaysia negatively.

…

Leave a Comment » | Malaysia, oil and gas | Tagged: | Permalink
Posted by Wata

Petronas to drop unfeasible contracts as oil prices drop, warns CEO

January 11, 2015

The Malaysian Insider, dateline 2014-11-02:

Petroliam Nasional Berhad (PETRONAS) has warned that it will not hesitate to drop contracts that are not economically feasible as oil prices remain under pressure.

Petronas president and chief executive officer Tan Sri Shamsul Azhar Abbas said in such market conditions, the company will be monitoring its cost closely.

“Petronas regularly conducts portfolio reviews to assess project feasibility,” Shamsul told the Edge Weekly in an email.

…

 

Leave a Comment » | Malaysia, oil and gas | Tagged: , | Permalink
Posted by Wata

Figuring out the South China Sea

January 10, 2015

Dateline 2014-11-02, Deccan Chronicle:

The issues surrounding the South China Sea have been under the radar of the Asian public for a long time. Except the scholars and people who are directly concerned with it do not seem to have any interest in the region.  The awareness of it, in the South Asian region is limited. The South China Sea has generated a lot of interest in the recent past. Estimation of the presence of Oil and natural gas, the maritime route and security of the nations in the region are just a few brow-raising issues that have put the spotlight back in the area in the recent times.
The SCS is best known for its disputed boundaries. There are over 250 tiny islands, reefs, and sand bars that form part of the South China Sea.

These islands are grouped into a few archipelagoes namely Paracel, Spratly, Paratas, Macce-lesfield and Scarborough Shoal.  China, Brunei, the Philippines, Taiwan, Malaysia, Brunei and Vietnam share their borders on the SCS.

…

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

Don’t impose fuel sales tax if global oil price falls, DAP lawmaker tells Putrajaya

January 9, 2015

And why not? This is separate from the GST, is it not? And did we not elect Putrajaya?

Dateline 2014-11-01, The Malay Mail:

A DAP lawmaker told Putrajaya today not to impose a petroleum sales tax in the event that global crude oil prices fall further.

Kluang MP and DAP’s National Political Education Director Liew Chin Tong‎ said that the government should not attempt to impose the said tax as means to just fill the revenue gap, as a result of smaller petroleum-related revenue from Petronas.

He said the ‎government should instead commit to reducing the price of RON95, if global prices continue to fall‎.

“It is most unfair for the Malaysian public if a sales tax is imposed when crude oil prices fall below the current pump price,” Liew said, calling on Prime Minister Datuk Seri Najib Razak to “categorically reject” such an option immediately.

…

Leave a Comment » | Malaysia, Malaysian election | Tagged: , | Permalink
Posted by Wata

O&G firms going ahead with spending and plans despite low oil prices

January 7, 2015

Outdated?

Dateline 2014-11-01, The Star:

WITH the oil and gas (O&G) sector being one of the crucial sectors for the Malaysian economy and stock market, the downward spiral of oil prices in the last four months have left many jittery.

Sure, many were already aware of the steady build-up of oil supply in North America and the softening demand in Europe and Asia. Then there were also geopolitical tensions in the Middle East.

While oil prices had been slowly nudging downward throughout the year, the sudden almost 30% drop in the last few weeks caught many by surprise.

On Oct 1, Saudi Arabia lowered prices on its crude exports to Asia. This move signalled that the world’s largest exporter was looking to defend its market share rather than buttress prices.

…

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

Saturday Star 2015-01-03 – Job Opportunities

January 5, 2015

Happy Writing Wrong Check Dates Week. Buy my recommendations, or through my Amazon store. Or get the Young Turks series (all 4 books). Where are those corporate sponsors? Or throw donations at me.

  • I’m lining up jobs for next quarter, for IGL Services. Whisper to (better yet, carpe jugulum) your boss, and send work my way.
  • Nothing this week.

Support your local bookshop!  Bookalicious at The Summit Subang is a good choice. I think they focus on trilogies, quadrilogies, and other ologies. Tell them I sent you, and enjoy the look of perplexity on their faces. Those of you who have dropped my name, thanks!

Food choice of the week? How if you visit Vietnam, how about visiting and updating GoHalalVietnam! for your food needs. For your other needs, talk to your local tour guide/ concierge / man on the street.

Extract from my book choice of the week:

“I am impressed by his argument: ‘When you have eliminated the impossible, then whatever remains, how ever improbable, must be -‘

“-wrong,” Soames brusquely completed my sentence.


Professor Stewart’s Casebook of Mathematical Mysteries

Leave a Comment » | engineering, Malaysia, oil and gas | Tagged: , | Permalink
Posted by Wata

M’sia to benefit from fall in oil prices

January 3, 2015

Hah!

Dateline 2014-11-05, Free Malaysia Today:

A research house has said that while the decline in oil prices will have a positive impact on Malaysia’s trade surplus due to its position as a net oil importer since January this year, it would likely be insignificant given the small oil trade deficit.

RHB Research said Malaysia turned into a net oil importer this year when it imported a net amount of RM3 billion in the first eight months of 2014 compared with a net export of RM2.1 billion in the same period last year.

“We estimate that for every US$10 per barrel fall in the average crude oil price, government revenues would be reduced by RM4 billion, but this would be mitigated by a corresponding reduction in expenditure through a lower fuel subsidy bill, with a potential reduction of RM2.5 billion,” it said in a statement Tuesday.

…

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

AmResearch optimistic of Petronas Gas

January 2, 2015

Dateline 2014-11-06, Yahoo News:

AMRESEARCH expects Petronas Gas Bhd to reach a final investment decision (FID) on the Pengerang liquefied natural gas regasification terminal (RGT) by the end of the year, following Petronas’ FID for the Refinery and Petrochemical Integrated Development (Rapid).

AmResearch’s optimism is hinged on the fact that Petronas Gas will likely hold the controlling equity stake in the RGT while its other partners, possibly Dialog and Vopak, will have the remaining stake.

AmResearch is sticking to its “hold” call on Petronas Gas with an unchanged fair value of RM24.40 per share, implying a 2015 price to earnings ratio of 27 times.

…

 

Leave a Comment » | Malaysia, oil and gas | Tagged: , , | Permalink
Posted by Wata

« Previous Entries
Next Entries »