Geco ... thanks for the answer based on the fact rather than insults.
Yes, there is risk issue here and all mitigation (hedging) costs money.
I will still likely get more shares, but expect them at lower price.
Run up unwarrented. Kraken still sub par.
Talks about IDSS sales only presumption.
You do not know who seller is.

I will wait a bit.

If what JC wrote is true, and finance costs are 0.5 billion... which seems reasonable as 5% from 10 billion debt, then one needs to sell 20 FPSO like perdana. And I am being generous that they will get 50 million (Only 4.5 million cash paid, probably in exchange of credits/debts).

So I see run up as a result of perdana sale unjustified. Show me the earnings over long time.

______________________________________________
Posted by Johnchew > Sep 23, 2019 11:26 AM | Report Abuse

1) Armada debt ?? 11.5 billion
2) Gearing ratio ?? WSJ 1x...local article : 2x ..2.7x
3) yearly finance cost?? 528 million

Gravity is a bitch.
And as reality gets out, it blinds the eyes of the believers.

Too much gain too fast. Many could not even add to position. But the market always comes back to retrace the gaps. I think we had 4 sen gap.
This will be the buying range.

Well, this is now at the highest level for 5 years. Unless there are people here longer then me, which is unlikely - nobody can be really unhappy. All making profit. New contracts in. Good going.
Sat here all the way down a few years ???
Just sit tight a few months on the way up !!!

Yes, very strong resistance at 0.3 that wave cannot break.
Need to do candle heating to weaken the top then goes up with 'pig mount.'
And 0.4 is concurred.
Whatever it means.

Where is the reason ???

Are we going to break 0.3 or 0.4?

My bet would be that we longs will be able to purchase in 20's soon.

It was good to see excitement here but reality will sink in soon.

Claire is not a solution to anything. Do the math.

So all talk about war, 100 dollar oil, future earnings improvement and stock is up 1 sen ????
I am a bit underwhelmed by all this. Was supposed to be 0.4 MYR as per most comments.
What will happen tomorrow if there is no such news?

_______________________________________
Some of the production could be restored in days. But Bloomberg reported, based on a source, that “Aramco officials are growing less optimistic that there will be a rapid recovery in production.” Saudi Arabia can use part of its stock of about 645 million barrels of crude and petroleum products to make up for lost production in the near term. But “Aramco could consider declaring itself unable to fulfill contracts on some international shipments – known as force majeure – if the resumption of full capacity at Abqaiq takes weeks.”

I thought it wast just a short squeeze, but there we are ... another nice gain. Thank you yemeni houthi rebels.
Expecting things to settle over the days though. Things never look as exciting few days down the road.

For me it will be buying opportunity then.
:-)

Seems like many here made a mistake by selling few days too early.
But cannot blame them for not anticipating crude price increase.
:-)
This is a very nice gift for all us long in this stock.

Long term effect on us as profit margins of clients improve.

Seems like insiders made a mistake by selling 2 days too early.
But cannot blame them for not anticipating crude price increase.
:-)
This is a very nice gift for all us long in this stock.

Just when everyone so proud of selling FPSO and 6 OSV, latest report:
DO not want to pay money to receive what is revealed in the title ...
________________________________________________________
Global Offshore Support Vessel Services Market to Expand with Significant CAGR During 2019-2025
September 16, 20193 Min Read

This oil price spike is so much more meaningful than the Perdana sale.
Looks like longs may be saved from correction.
And those in more stocks will be handsomely rewarded soon.

Not feeling bad about missing another nigerian contract. Or any west african. Agree with RJB7 on that.

Not being racist costed me dearly in the past...
Thnks for good sense comment
.......................................................


Stock: [ARMADA]: BUMI ARMADA BHD

Sep 14, 2019 2:50 PM | Report Abuse

I don't mean to be a racist...Nigerian scam is called a Nigerian scam for a reason.

I hope people from Ghana are not trying to catch up with that reputation. Else, Yinson might break armada's record. Record in dropping in a day.

Good to see so many happy people ... but not everyone entered recently.
Even some members here have way to go to recover their investment.

The performance of this stock is not that good compared to others.
Yinson doubled in a year and never dropped much in 5 years ... now all time high
Carimin now 5 year high with 9 cents up today ...
Baltic index 3 x from the bottom.

In our case:
BAB went down from 2.4 to 0.15 and now at 0.3
Management lost 2.2 myr shareholder value and recovered 0.15 recently !!!
This is one of the biggest shareholder value destruction exercises.

This may have the highest potential because it is the biggest screw up.
Encouraging is that 3 main figures disappered in May (thanks InvestorKing).

Cheerleading after asset sale for 5 million and not much talk about 1.3 billion project is really strange focus...

Many IDSS give me more reasonable input than bulls here.

Sometimes even insiders do not know what they are doing. They sold 3 days too early and lost a lot of potential profit.
:))))))))
We did not.

Someone here talked about big players offloading.
Seems like insiders do.
But funds will pick up at 1 myr +++

13-Sep-2019 Insider MR WONG KONG FOO (a substantial shareholder) disposed 150,000 shares on 11-Sep-2019.
13-Sep-2019 Insider MR WONG KONG FOO (a substantial shareholder) disposed 150,000 shares on 10-Sep-2019.
13-Sep-2019 Insider CIPTA PANTAS SDN. BHD. (a substantial shareholder) disposed 150,000 shares on 11-Sep-2019.
13-Sep-2019 Insider CIPTA PANTAS SDN. BHD. (a substantial shareholder) disposed 150,000 shares on 10-Sep-2019.

Isn' t that just a short squeeze before long weekend?
Covering ....

Next week will come ....
All things come to balance.

FINALLY !!!

It has been 5 years in the waiting and I am BREAKING EVEN.

Sure I can wait a bit to make some profit now. Been so long, can put a bit more patience.

Congratulations all.

I cannot even imagine that woodside would terminate without right paperwork. We shall see in a few months.Mentioned here, they simply did not extend.
Since I am long, I hope I am wrong. But I think that earnings have to be earned most of the time, rather than rewarded.

What is the commment about not able to find food because being stupid? Then sohai.... then ramble about expats ...
That is just distracting from issues.
You are losing control.


___________________________________________________________________

A CONTRACT IS A CONTRACT

YOU GIVE ME A LOI TO BUILD A NEW SHIP FPSO AND I TAKE A LOAN TO BUILD IT AND AFTER WORKING FOR 50% OF THE CONTRACT PERIOD YOU BEING NOT A BANKRUPT AND STILL HAVING SIMILAR BUSINESS CAN LEAVE ME I DEBTS WITHOUT ANY RELIEVE.
THE WILL SHOW WOODSIDE HAS NO CREDIBILTY WITH ITS SUPPLIERS AND CONTRACTORS UNLESS WOODSIDE PAYS UPFRONT FOR ALL ITS PURCHASES AND CONTRACTS.

Armada Claire ...

Enough for woodside to say in courts as follows:

Your honor, we have AN AUSTRALIAN COMPANY that employs our citizen and aborigines. Australian company that has programs to support women and disadvantaged groups. We want them to service our needs for benefit of all Australians and to uphold our values, Jobs for australians, rather than cater to international company Bumi Armada.

What the result will be?

I have no doubts.

You call me sohai? Not sure what it means. Never mind.

Of course Australia is a country that protects its interest, perhaps stronger than most. Suddenly you think there is no bias based on what?
I was there and witnessed it all first hand. Even first I was rejected for job as it was given to an australian (who left) ... then there was lack of recognition of foreign credentials. Take Safety Case and Nopsema requirement ... they have to be all Australian Registration ... Even medical I had to repeat. Many items like that will be used.

So I saw it firsthand, you just have good opinion of the country from television.

Posted by stockraider > Sep 12, 2019 7:07 PM | Report Abuse

Sohai loh...u think Australia like 3rd world countries in Africa meh ??

Armada Claire?

I spent all of 2018 on FPSO in Australia. Knowing it firsthand, I see no way that australian courts will give much compensation to a foreign company at the cost of their own firm. They support national interest.

And also, wood group knew of BA dire situation. They would offer settlement if there was any chance of them losing. They offered nothing. Meaning they see zero chance of them losing.

And do they not know their own backyard better?

I realized that my mistake was to buy big lump at 1 myr and NOT average down. Now I wait forever (5 years) to get to my level against heavy resistance.
With dollar cost averaging, I would have been at 0.3 or 0.4 average.
Learn from mistakes.

DOLLAR COST AVERAGING !!!

Interesting action - it is called CORRECTION.

I think that Perdana effect of 0.29 myr is wearing off.
It was just 20 million myr and many words like policy implementation, cutting loss, improving utilization. But in my opinion - questionable development.

We are going towards financial results level of early September. Which is till good at 0.26 steady. Not to worry.

0.275
By coincidence, price dropped below 0.28 as I was writing. Hmmm, I will become a speculator when I retire. Soon.

Price seems to be now weakening. The news of Perdana was over-appreciated.
Also higher utilisation rate of OSV is NOT because of new contracts. It is because they sold 6 vessels. 6 vessels out of 50 is 10 percent - our increase.

See the favorite analyst:

(refinanced its debt in May 2019, resolved Kraken power generator issue in the second quarter of FY19, higher offshore marine services utilisation, and the disposal of Perdana)

Thank you for bus posting - I will re-read it later on.
I also keep in mind that

RISING TIDE LIFTS OF BOATS ...


LIKE BELOW
Other notable gainers for the day were Bumi Armada Bhd, Hibiscus Petroleum Bhd and Sapura Energy Bhd.

Bumi Armada, whose shares closed three sen higher at 28.5 sen, announced last week that it had found a buyer for its non-utilised floating production storage and offloading (FPSO) vessel, namely Armada Perdana FPSO, for US$40 million (RM166.7 million).

Meanwhile, Sapura Energy said its 50%-owned SapuraOMV Upstream Sdn Bhd had inked a gas sales agreement with Petroliam Nasional Bhd (Petronas) alongside its partners. The company closed one sen higher at 28 sen.

Hibiscus Petroleum is a direct proxy to crude oil prices by virtue of the company’s position as a pure play exploration and production (E&P) player. Its shares closed 5.5 sen higher at 97.5 sen.

Analyst write that sale of Perdana can be used towards new Sharpooji FPSO.

Perdana resulted in 5 million of usd and promise of maybe more money in 2 years minus costs. Minus settlement for 8 million of crude in tanks, etc.

Sharppoji is 1.3 billion.

5 mil / 1.3 bill = 0.004

So to put it in perspective:
You need a new - all repaired car for 10 000 myr
You sold old car for 40 myr and some promise.

This 40 myr is not getting you much closer to 10 000 you need.

We got a very, very good response from market for a very very minor financial gain. Our stock went up 10%.

0.1 gain for 0.004 profit. 26 times more than the revenue

If price stabilizes, I am very happy.

Seems to be making steady progress but unable to clear 1 MYR.
Any idea what to do?
Maybe buy a fraction of a million on Friday before close on margin, in last 15 minutes ...
Then it will be for long weekend at weekly, daily close above 1 ???
Would that be market manipulation or just a little help?


Carimin Petroleum Berhad (5257.KL)
Kuala Lumpur - Kuala Lumpur Delayed Price. Currency in MYR
Quote Lookup

0.965+0.035 (+3.7634%)
As of 4:40PM MYT. Market open.

I cannot wait for it to break 1 myr. Been waiting for 5 years already.
Stock paying dividend but valued so poorly. It seems not enough publicity.
Once public notices this stock, we will see some action. I hate technical, but they seem to be holding it back.

Analysts
____________________________________________________

Hence, we believe that CARIMIN is poised to breakout. Next target will be located around RM1.00 and RM1.15. Support will be anchored around RM0.87, followed by RM0.75.

Tomorrow we see how good the news was once market trades a bit. There were a few articles. I, for one, will not make short term predictions. Plenty of technical specialists here :-)

Thanks for opinion.
For you it may be good direction. For me it is from 1 myr to 0.25.
Down. Opposite where I want it to go. And in opposite direction.
Loosing 3/4 of my investment is not good.
I would rather hear from them: we failed you badly, but we do our best. We will get it going. We will utilize those assets.
I hear that the new write back after writing down, % position this and book value that .... and some other new speak. It suddenly makes it better ON PAPER, even though I lost money. I think the only way to make money is to put FPSO to production.

And as far as I know CEO left for personal reasons to be at home. Does not matter much. I hope to hear production number, not accounting successes.

I have both Yinson and Armada in my portfolio for 5 years.

Yinson has no idle assets.
Is not selling anything at 10% per dollar spent.
Yinson buought new vessel.
They do not have any court cases. Bankrupt clients.

BA has:
4 out of 7 FPSO idle or not profitable
Selling assets rather than using
Taking two clients to courts
Technical problems (Kraken) where BA pays clients.

Consequence
yinson growth by 100%
BA lost 75% and I am at 25% of my investment

So do not accept some analyst telling me about liquidity, monetizing, gain... etc.

I lost 75% and analyst tells me some gain mumbo jumbo???
Where is my gain if 3/4 of my money is lost?

In the end both companies work in same field of business.

I worry that BA will continue like this in the future, then all of us will be burnt. This company has been here for 20 years and they have a mode of operation. Same people.

John:

If BA claims 260 milion AUD of damages for Claire from Woodside, yet settles the case with nigerians for 5 million USD plus maybe some money down the road (if asset produces MINUS the costs), why would the court not be consistent and offer similar settlement, 5, 7 or 10 million?
So far only 5 million changed hands. Also, there was 8 million of oil in the tanks that is probably used as this payment - nigerians put writ on it.

Seems to me that the mgmnt undermined their own case against Woodside.

__OLD message
______________________________________________________________________
Posted by Johnchew > Sep 7, 2019 7:53 AM | Report Abuse

On 14 March 2016, ABPL filed a Writ of Summons in the Supreme Court of Western Australia (“Supreme Court”) against WEJ for, inter alia, (i) a declaration that WEJ was in repudiatory breach of the Contract and (ii) damages for WEJ’s breach of the Contract. Subsequently, on 20 April 2016, ABPL filed its Statement of Claim in the Supreme Court against WEJ claiming for damages in general for WEJ’s repudiation of the Contract, and the amount of such damages has been quantified by ABPL to include the sum of USD275,813,698.63 (being the amount of the termination payment to which ABPL is entitled had the Contract been terminated without breach) plus any additional damages for loss of bargain caused to ABPL as a consequence of WEJ’s repudiation of the Contract. ABPL is also claiming for the additional sum of USD7,700,000.00 for work done and materials supplied pursuant to the Contract. WEJ had, on 2 June 2016, filed its defence to ABPL’s Statement of Claim. The trial for this matter has commenced at the Supreme Court on 18 February 2019 and the parties served written closing submissions and made closing oral submissions on 26 and 27 March 2019. Judgment is expected around October to December 2019..

ON Armada Claire not to mention on the chances of winning as the fixed term 4 years is over by 2015..optional annual renew got signed or not is in ?? as the original company was changed hand in 2015.

Even armada win , the amount shl be the work done USD 7.7 million plus interest , ie : abt RM 35 mil.. refer to Zelan won the Meena arbitration on end July 2019. Claim balance contract order RM 600 million but awarded Rm 300 million on work done n material plus interest n also performance n maintenance bond.

I did not mix currencies. I see that they got 4.5 million USD. 20 million myr cash in hand. The rest is a promise. May never be paid the rest as deployment costs will be charged. As much as I read it. I think that they invested 300 myr in that FPSO. That is their book value.

I am thinking that a couple of years in the quarterly they will say, client receivable written off for the remainder of the promise.

I am willing to move over and stop bashing, but would not praise company for that 'achievement.' To me they proved themselves incapable of UTILIZING the vessel. What they are supposed to do. And they had 2 years for that.

I am more impressed of actually improving production on Kraken. That is what they should do. Put some of the 2000 people to work and tweak/modify/fix things there. Until it delivers 50k boe

In reply to:
____________________________________________________
Posted by Moneykj1 > Sep 6, 2019 8:50 PM | Report Abuse

Then Kraken even tricky...sell sell ????
_____________________________________________________

Yes, if that is so goood ... why not sell all the other vessels for 5 million each and avoid trouble.
This will put nice profit in the company coffers.

All that hydrocarbon production is so complicated.
Better be left to ... more capable people ???

The more I think about it ... the more angry I become.
Company has an asset for 2 years. They spent money on it and get nothing.
Asset sits in an production area.

Another company is willing to pay 5 million and put it to production.

Why BA could not put it to production? They have 2000 employees.
50 service vessels sitting idle that could be used to tow it and put to work somewhere else.

Why nigerians can do what BA cannot?

This company is in a business of fixing vessels and putting them to work to take oil and gas. Yet I hear that they have done good by write down, write back, impairment this, profit that. Get mortgage on vessel. Multiply selling price by P/E and get profit per share?

They have NOT connected FPSO to well to produce hydrocarbon which is their business; and they left it to Nigerians their own core business for promise of money from them. This is not encouraging.

So in a nutshell ... A vessel is worth 300 million.
You declare it zero, saying that it is ONLY technical, in future can be recovery.
Then you sell it for 20 million myr, and a promise of more money ... however buyer can offset repair cost. Which he will likely do. This buyer has no credibility.
Mortgage against ship that is a movable asset ??? Hmmm, questionable.

Now, I see it as a loss of 280 million actually happening in cash expended versus received.

And some see it as brilliant as 20 million recovered saying that utiliizing FPSO is tricky.
Costs involved ... overproduction, etc.

But wait a minute, isn;t BA in business of utilizing FPSO?
If they cannot do it, why are we even here?

Well, write down x million, write back y ... all are paper exercises.
I remember well that it consts about 1 mln usd to keep asset offshore during crucial phase with all the support vessels, helicopters, supply, flotel etc.
So 5 million received is peanuts. Projects can cost 1 billion easily.
And in the end, what is written in those accounting statements is not really related to the asset. Depreciated or not, it was producing.
I look forward to getting a billion dollar project by BA, not peanuts for disposition.
Cheers.

God your point and calculation. However, the point of the business is to UTILIZE assets, not to dispose them. And finance nearly bankrupt clients. I would rather see them upgrade the vessel and charter out at 500k per day. In a couple of months 20 million is earned.
Problem is the client without funds. Location. Limited facilities there.
Let's hope it makes sense strategically. Only as much projects they can handle. Fix Kraken, prepare India Project, etc. Close off the 'dogs'
Life goes on.

I am not impressed. A FPSO starts at 500 million after conversion. There will be heavy demand down the road. Will BA buy tankers for future projects at 200 million usd while selling assets for 20 million to make good impression on analysts?
Seems to me like no guts to do what is right.

I hope that it stays at this low level as I want to buy some more next week. Could not liquidate my other holdings in time.
Oh well, salary coming soon.
:-)

The less orders at these low prices ... the better.
Wait for markets to pick up a bit as competition for services and new FPSO tightens up.

Congratulations to all. BA up 10% ....
Wish i got even more Armada for my Yinson. Today Yinson is up 27 sens and it is only 3% ... Low low price makes for some spectacular gains %wise.

I checked all news ... woodside claim going well, Russia is enjoying low ruble against USD, and India growing better than any BRICK. . . so upside is good even without going for Brazil that will take competition and absorb them over the next two years.

Good that BA has no big order book as they were all negotiated at rock bottom price :-)

Happy Merdeka

What happened?
Big jump in price +26 sens but ... no announcement or anything on internet or company site....

______________________________
Friday - 30 Aug 2019
Changes in Sub. S-hldr's Int (Section 138 of CA 2016) - EMPLOYEES PROVIDENT FUND BOARD
Changes in Sub. S-hldr's Int (Section 138 of CA 2016) - KUMPULAN WANG PERSARAAN (DIPERBADANKAN)
Thursday - 29 Aug 2019

Industry officials said units of Chinese contracting giant Offshore Oil Engineering Company (COOEC) are involved in two of the three groups — one with Nomic of Russia and another with Malaysia’s Bumi Armada. These groups are also holding talks with Gazprom and an unnamed main contractor in Russia for the work. TechnipFMC is the third contender.
____________________________________________
I have relationship with Technip. it is delivering 2 HUGE projects now, yamal and arctic 2. It would likely get Sakhalin projects. I think arctic 2 is worth 7 billions for them. But most work goes to russian subcontractor ... some STROY (which means build in russian). Several stroy there.

For Caspian, BA is shoe in as technip will be overstretched, and access difficult through Volga river only. Unless they can fly their ships to caspian. Have not seen it done yet. :-)

Glad I waited. I break even at 1.0 MYR :-)

Just noticed it too. top pick was yinson ... but I am changing it for bumi armada ....


Edge Weekly
O&G stocks regain interest as crude price stabilises
Jose Barrock
/
The Edge Malaysia
Similarly, Maybank’s Liaw Thong Jung says the market may not like volatility but as long as prices are above US$60 per barrel, there are budgeting prospects.

Against this backdrop, The Edge asked a handful of analysts for their top oil and gas stock picks.

Liaw’s choices include Yinson Holdings Bhd, a company whose mainstay is floating production storage and offloading (FPSO) vessels that are used for the production and processing of hydrocarbons, and for storing oil.

Yinson has five FPSOs operating in Malaysia, Ghana, Nigeria and Vietnam and one floating storage and offloading (FSO) vessel with a locked-in charter in Vietnam, other than a few offshore support vessels that are not very significant.

“Yinson is leveraged to capitalise on FPSO contracts,” Liaw says in a brief conversation. In a June report, he highlights that demand for FPSOs would be exceptional this year with as many as 19 new jobs with capex of US$17 billion up for grabs for eight of the world’s largest FPSO operators, including Yinson.

In its first financial quarter ended April 30, Yinson registered a net profit of RM49.85 million (down 17.51% year on year) on revenue of RM209 million (down 11.13% year on year).

On its prospects, Yinson says, “The long-term outlook for the oil and gas industry remains challenging with the emergence of new alternative energy resources and financial institutions’ risk appetite for the sector … Nevertheless, management is optimistic that the industry will replenish its production capacity with new FPSO awards in the current financial year to counter the lagging investment effect of the past years.”

I fully agree with everyone ... just wish everyone not repeat same comments every day.
:-)
They would still be here.

I will hold some more. Rising tide lifts all boats so I await the tide.

I have been collecting at 0.235 last week ... Took till Thursday / Friday to fill. Now I have only few shares to get and wait along 0.230
So will not go down below.
:-)