Raymond Yap of CIMB is the guy. #1 rated analyst for energy. He is now more upbeat despite slightly lowering the target. Not sure why he includes Kraken debacle as a major risk. You could say this of any vessel for any company. Breakdown can occur. Otherwise I am in full agreement.
I cannot understand this article. Precommissioning is done before introduction of hydrocarbons. That would be done in Singapore, not now as they claim. Kick off is usually a meeting before they start activities. So there should be months between kick off and production. Yet they say days. Seems like AI article when correct sentences from different articles are glued into incomprehensible mess.
View of Armada by the Yinson investor. Of course, he thinks that Yinson is a better value proposal. Makes a few good points... Niki makes similar point that they seem unable to take up a new project. _____________________________________________________________________
Bumi Armada (Malaysia) – limited financing capacity to take on new lease contract
Bumi Armada was doing well until the collapse of oil prices in 2014. The oil price crash exposed some of its customers as not being as financially sound as they seemed, and it began to record impairments on its trade receivables. Multiple project delays and terminations have resulted in an aggregate impairment of over RM5 billion since 2014. This includes approximately RM1.8 billion for the FPSO Armada Claire and RM1.6 billion for the FPSO Armada Kraken.
The FPSO Armada Claire was delivered to the Belnaves field in 2014 but did not achieve final acceptance. In 2016, Woodside terminated the contract for the FPSO, citing "performance-related issues." This may have been coincidental, but it also happened to be a time when oil prices were low and the Belnaves field was experiencing a sharp production decline. Bumi Armada challenged Woodside in court but lost the case in 2022.
The FPSO Armada Kraken was impaired due to project delays, underperformance, and low uptime availability.
In 2017, Bumi Armada suspended the operations of FPSO Armada Perdana following irregular payments for the operation and maintenance services, together with long-delayed charter by independent oil and gas operator Erin Energy Corp, which filed for bankruptcy shortly after.
In the last 6 years, it has only secured one new FPSO job, with a 30% stake. This suggests that the company may have limited design and engineering capacity, as well as financing capacity, in the near term to take on sizable jobs.
I moved from Yinson to Armada a few years ago. You guys are lucky to stick here. The drama of Armada - every month there is something to make you lose your sleep. And the rating of this gem here are absolutely stunning. I come to look and calm my nerves. Also see how a good job can be done. All gems are expensive though.
Well, we are back to normal price range. Volume dropped to almost zero. Let us hope the trader will not attack any more. Moves should occur normally by buying pressure. No sudden share raids with re-posting them on resale at higher level immediately after transaction.
Yes, good action on Alam this week. But all this buying seems to be coming from one buyer .... a trader. He purchases large volume instantly. But he will want to sell at 0.040. But at new level there is NO BUYING PRESSURE WHATSOEVER.
I expect stock to go back soon.
Ordinary investors, like ants, drop small amounts, packet by packet at 0.035. Only a few fake transactions of 100 shares at 0.040
Madura BD field, which was discovered in 1988 is located approximately 65 km East of Surabaya and 16 km South of Madura Island, contains reserves of 422 BCF (billion cubic feet) of natural gas and 18.7 MMBBL (million barrels) of condensate. The development project of Madura BD field is able to produce approximately 100 MMSCFD (million standard cubic feet per day) of gas and 6,000 BCPD (barrels condensate per day). The produced gas is transferred to the domestic contracted customers and the condensate is shipped by shuttle tankers to domestic users and regional users in South East Asia.
The project includes installation of a well-head platform (WHP) at a water depth of 55 meter; construction of a floating production, storage, and offloading (FPSO) vessel; construction of a gas metering station (GMS) onshore; installation of two flexible risers between the WHP and FPSO; and construction of a 52 km long pipeline to export gas to the GMS. Started in June 2015, the construction project of the FPSO, named Karapan Armada Sterling III (KAS III) was held in the shipyard of Keppel Offshore & Marine in Singapore. KAS III FPSO arrived at the location of BD field on 13 January 2017.
Gas and condensate produced from the BD field is transferred to and processed in FPSO KAS III, which is the world’s largest H2S processing offshore floating facility. It is equipped with topside facilities able to process 110 MMSCFD sales gas and 7500 BOPD condensate and recover 20 T of sulfur per day. Its operation is controlled from a control room. Maintenance activities are regularly carried out. It is provided with a health clinic and other supporting safety equipment. For personnel mobilization from FPSO to BD WHP, a lifting basket is used.
FLNG is a complex and technologically sophisticated structure. They are usually designed and built new. Upgrading an LNG tanker is only suitable for smaller unit. Normal size FLNG built on cheap, like the Coral FLNG for Mozambique is 3.5 bln dollar (US). It is successful with 26 offloadings achieved and pave the way for this methodology. Indonesia was contemplating FLNG from Japan (Abadi) in the past, but gave up on it after few years of planning.
It can materialize and can work as long as it is subsidized. Government credits have to be used. There is no profit by extracting CO2 from turbine exhaust and putting it underground. So whether they put it underground or quietly release it to the atmosphere makes little difference. Let the environmentalists and engineers work it out.
ABS highlights the challenges in liquid carbon transport and storage noting that while there currently are over 100 gas carriers capable of carrying CO2, there are only a few pure LCO2 carriers in the world. While liquified CO2 is seen as the most promising state both for transport and injection for storage, ABS highlights it is also very challenging. ABS explains that because CO2 is carried at around -54.4 Celsius and 5.-7 bar pressure in a liquid state, one of the challenges is that it can rapidly move from the liquid state to the solid state when there is a drop in pressure. This they said can lead to the formation of dry ice, causing technical and safety challenges.
Another challenge for the transport is that LCO2 must be carried in cryogenic pressurized tanks. Current designs for the tanks are limited in size before the tanks become too heavy and too expensive, according to ABS.
Latest I know is this article: Scomi Energy pointed out that after delisting, it can still continue to operate its business in the form of a non-listed company entity and carry out a restructuring plan.
MM, I noticed this part and it made no sense to me. Ullage is just extra space in tank, not used by liquid. He probably meant to say that there is not enough redundancy meaning extra equipment on stand by.
All those studies they propose (root cause) will not make FPSO work better. Just a bunch of inexperienced graduates fresh out of school filling out reports and powerpoints with stuff they copy from manuals. They should focus on checking machinery and fixing faults by experienced technicians.