Hengyuan should reach rm100
Due to persistent crazy hedging Gain

Hengyuan already hedging for 2 year at 30++
Explosive dynamite profit for 2 years!!!!!!!!!!

Qtr3 is explosive dynamite crazy EXTRA profit !

Before crack spread drop from 30++,hengyuan management already hedge at 30++.
Any crack spread drop like now 10,everything turn into gold!

They don't expect crack spread reach 30++,Brent 130+
Like petronm also hit by hedging losses
But everything turn into GAINS.

Qtr3 is explosive dynamite profit!!!

The different is huge
Brent 130 to 100
Crack spread 30++ to 10

Now hedging losses turn into GAINS
As oil price ,crack spread drop from 30++
Huge gain .Qtr3 will turn profit sky high !!

probability HY does hedging on the crack and also on the inventory.

If the hedging is done on inventory, you can see hng33's explanation.

If the hedging was done on margin, you can see my explanation. It can be purely gasoline or any combination of the refined products. But, gasoline fits the changes best for ease of explanation here.

Its most likely combination of both inventory and crack / margin.


Posted by hng33 > Aug 31, 2022 11:43 AM | Report Abuse

Based on Q2 revenues and cost, hengyuan realize crack spread around USD 28, which in accord to average crack spread range from Mar to May crack for gasoline+ diesel + jet fuel. Hengyuan realize pretax profit RM 900m.

The next Q3 result comprises of crack spread june to Aug, average crack spread for gasoline + diesel + jet fuel is around USD38. Therefore, it can extimate than hengyuan upcoming Q3 pretax profit is RM 1.2 billion. EPS = RM 3

The hedging position will revert back from loss to gain as crude oil, feedstock cost, fallen from USD 135 in Q2 to USD 105 in Q3. Hengyuan NTA will booster significantly from RM 5.2 to + RM 3( from reversal hedging) + Q3 EPS RM 3 - - - - > total NTA for hengyuan RM 11


Posted by probability > Aug 31, 2022 9:16 AM | Report Abuse X

The most likely commodity hedging that caused the unrealized derivative loss is the Gasoline.

Note that the crack spread of gasoline jumped from 10 USD/brl to 32 USD/brl from Q4 21 by end of Q2 22

Say they hedged 10 million barrels 'gasoline - brent' crack by end of 2021 (considering the intent to secure relatively good margin in Q4 21' compared to avg of only 7 USD/brl last few years).

They would have bought brent crude at 100 USD and sold gasoline at 110 USD/brl in futures market with maturity of 2 years (end of 2023).

The above means they have a margin swap hedging contract valued at 10 million barrels x 10 USD/brl = USD 100 million expiring by Dec 2023.

Now by end of Q2 , the gasoline margin had expanded to 32 USD/brl.

They would need to mark to market the hedging contract status by end of Q2

This means they will report an unrealized hedging loss of 10 million x 22 USD/brl (crack expansion from their hedging to 32 from 10), which equal 220 million USD.

Now by end of Q3, if the present crack maintains for gasoline, the crack would drop back to 10 USD/brl resulting with zero hedging loss.

They can choose to realize the hedging by this qtr without affecting the P&L at all or they can do it when another opportunity arise before end of 2023 (but they must realize before the maturity).
31/08/2022 3:00 PM
31/08/2022 4:47 PM

Sharewire Petronm suffer 300++ hedging loss but not shiphoned money to Philippines!
Hengyuan suffer hedging loss but shiphoned to china
"CLAIM STOCK RAIDER"
Stock raider own petronm but didn't own hengyuan.
So his verdict is Fake
31/08/2022 4:48 PM

Sharewire Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.
And not forgotten moneymaker
2 hours ago
31/08/2022 4:49 PM

Qtr3 is explosive dynamite profit

Sharewire Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.
And not forgotten moneymaker

Moneymaker do know hedging work?
Or just simply say only?

Yes flood this forum too


probability HY does hedging on the crack and also on the inventory.

If the hedging is done on inventory, you can see hng33's explanation.

If the hedging was done on margin, you can see my explanation. It can be purely gasoline or any combination of the refined products. But, gasoline fits the changes best for ease of explanation here.

Its most likely combination of both inventory and crack / margin.


Posted by hng33 > Aug 31, 2022 11:43 AM | Report Abuse

Based on Q2 revenues and cost, hengyuan realize crack spread around USD 28, which in accord to average crack spread range from Mar to May crack for gasoline+ diesel + jet fuel. Hengyuan realize pretax profit RM 900m.

The next Q3 result comprises of crack spread june to Aug, average crack spread for gasoline + diesel + jet fuel is around USD38. Therefore, it can extimate than hengyuan upcoming Q3 pretax profit is RM 1.2 billion. EPS = RM 3

The hedging position will revert back from loss to gain as crude oil, feedstock cost, fallen from USD 135 in Q2 to USD 105 in Q3. Hengyuan NTA will booster significantly from RM 5.2 to + RM 3( from reversal hedging) + Q3 EPS RM 3 - - - - > total NTA for hengyuan RM 11


Posted by probability > Aug 31, 2022 9:16 AM | Report Abuse X

The most likely commodity hedging that caused the unrealized derivative loss is the Gasoline.

Note that the crack spread of gasoline jumped from 10 USD/brl to 32 USD/brl from Q4 21 by end of Q2 22

Say they hedged 10 million barrels 'gasoline - brent' crack by end of 2021 (considering the intent to secure relatively good margin in Q4 21' compared to avg of only 7 USD/brl last few years).

They would have bought brent crude at 100 USD and sold gasoline at 110 USD/brl in futures market with maturity of 2 years (end of 2023).

The above means they have a margin swap hedging contract valued at 10 million barrels x 10 USD/brl = USD 100 million expiring by Dec 2023.

Now by end of Q2 , the gasoline margin had expanded to 32 USD/brl.

They would need to mark to market the hedging contract status by end of Q2

This means they will report an unrealized hedging loss of 10 million x 22 USD/brl (crack expansion from their hedging to 32 from 10), which equal 220 million USD.

Now by end of Q3, if the present crack maintains for gasoline, the crack would drop back to 10 USD/brl resulting with zero hedging loss.

They can choose to realize the hedging by this qtr without affecting the P&L at all or they can do it when another opportunity arise before end of 2023 (but they must realize before the maturity).
31/08/2022 3:00 PM
31/08/2022 4:47 PM

Sharewire Petronm suffer 300++ hedging loss but not shiphoned money to Philippines!
Hengyuan suffer hedging loss but shiphoned to china
"CLAIM STOCK RAIDER"
Stock raider own petronm but didn't own hengyuan.
So his verdict is Fake
31/08/2022 4:48 PM

Sharewire Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.
And not forgotten moneymaker
2 hours ago
31/08/2022 4:49 PM

8 minutes ago

You can see a pattern of naysayers behaviors before and after the QR2 is out.Before the QR2 results it was always MM Jerichomy etc shouting unfounded, un back up facts ... now after the QR is out you hv Stock Raider qqq3 etc doing the same!
IBs are the biggest suspects wanting to suppress the share price.. the naysayers are either their agents or the know the facts that what ibs will do in the aftermath of QR2 result ..suppress the price and the naysayers want to take a ride... sickening!
31/08/2022 1:36 PM

Moneymaker do know hedging work?
Or simply taruh only.

You can see a pattern of naysayers behaviors before and after the QR2 is out.Before the QR2 results it was always MM Jerichomy etc shouting unfounded, un back up facts ... now after the QR is out you hv Stock Raider qqq3 etc doing the same!
IBs are the biggest suspects wanting to suppress the share price.. the naysayers are either their agents or the know the facts that what ibs will do in the aftermath of QR2 result ..suppress the price and the naysayers want to take a ride... sickening!
31/08/2022 1:36 PM

Are sure or not?
Rojak campur

stockraider

Betul loh!

Petron is really making monies but not Hengyuan mah!

Posted by AzlanIshtiqal > 3 minutes ago | Report Abuse

Saya tunggu Petronm naik ke harga RM6 lagi

Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.
And not forgotten moneymaker
2 hours ago

Petronm suffer 300++ hedging loss but not shiphoned money to Philippines!
Hengyuan suffer hedging loss but shiphoned to china
"CLAIM STOCK RAIDER"
Stock raider own petronm but didn't own hengyuan.
So his verdict is Fake

Yes flood this forum too


probability HY does hedging on the crack and also on the inventory.

If the hedging is done on inventory, you can see hng33's explanation.

If the hedging was done on margin, you can see my explanation. It can be purely gasoline or any combination of the refined products. But, gasoline fits the changes best for ease of explanation here.

Its most likely combination of both inventory and crack / margin.


Posted by hng33 > Aug 31, 2022 11:43 AM | Report Abuse

Based on Q2 revenues and cost, hengyuan realize crack spread around USD 28, which in accord to average crack spread range from Mar to May crack for gasoline+ diesel + jet fuel. Hengyuan realize pretax profit RM 900m.

The next Q3 result comprises of crack spread june to Aug, average crack spread for gasoline + diesel + jet fuel is around USD38. Therefore, it can extimate than hengyuan upcoming Q3 pretax profit is RM 1.2 billion. EPS = RM 3

The hedging position will revert back from loss to gain as crude oil, feedstock cost, fallen from USD 135 in Q2 to USD 105 in Q3. Hengyuan NTA will booster significantly from RM 5.2 to + RM 3( from reversal hedging) + Q3 EPS RM 3 - - - - > total NTA for hengyuan RM 11


Posted by probability > Aug 31, 2022 9:16 AM | Report Abuse X

The most likely commodity hedging that caused the unrealized derivative loss is the Gasoline.

Note that the crack spread of gasoline jumped from 10 USD/brl to 32 USD/brl from Q4 21 by end of Q2 22

Say they hedged 10 million barrels 'gasoline - brent' crack by end of 2021 (considering the intent to secure relatively good margin in Q4 21' compared to avg of only 7 USD/brl last few years).

They would have bought brent crude at 100 USD and sold gasoline at 110 USD/brl in futures market with maturity of 2 years (end of 2023).

The above means they have a margin swap hedging contract valued at 10 million barrels x 10 USD/brl = USD 100 million expiring by Dec 2023.

Now by end of Q2 , the gasoline margin had expanded to 32 USD/brl.

They would need to mark to market the hedging contract status by end of Q2

This means they will report an unrealized hedging loss of 10 million x 22 USD/brl (crack expansion from their hedging to 32 from 10), which equal 220 million USD.

Now by end of Q3, if the present crack maintains for gasoline, the crack would drop back to 10 USD/brl resulting with zero hedging loss.

They can choose to realize the hedging by this qtr without affecting the P&L at all or they can do it when another opportunity arise before end of 2023 (but they must realize before the maturity).
31/08/2022 3:00 PM

Qtr3 is will be HUGE


The next Q3 result comprises of crack spread june to Aug, average crack spread for gasoline + diesel + jet fuel is around USD38. Therefore, it can extimate than hengyuan upcoming Q3 pretax profit is RM 1.2 billion. EPS = RM 3

Qtr3 will explosive dynamite!

Hedging GAIN!

Qtr3 is will be HUGE


The next Q3 result comprises of crack spread june to Aug, average crack spread for gasoline + diesel + jet fuel is around USD38. Therefore, it can extimate than hengyuan upcoming Q3 pretax profit is RM 1.2 billion. EPS = RM 3

I will pay well as profit I turn into heavy losses.
I can pay you well.All inside my pocket

Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333, moneymaker and stock raider as my advisor.

Petronm suffer 300++ hedging loss but not shiphoned money to Philippines!
Hengyuan suffer hedging loss but shiphoned to china
"CLAIM STOCK RAIDER"
Stock raider own petronm but didn't own hengyuan.
So his verdict is Fake

Qtr3 profit will be explosive dynamite.!!!!!!!!
Why...........HEDGING GAINS!

Hengyuan 200++million tax just to be fake profit
Claim by moneymaker
MoneyMakers is spread fake news

Anyway oil price dropping hard

HY sure collapse tomorrow..just dunno whether collapse b’coz oil drop or bad QR (record comprehensive loss -400Mil

Petronm suffer 300++ hedging loss but not shiphoned money to Philippines!
Hengyuan suffer hedging loss but shiphoned to china
"CLAIM STOCK RAIDER"
Stock raider own petronm but didn't own hengyuan.
So his verdict is Fake

Reminder hengyuan pay tax 200million just to be fake.!
Bad actor claim!

Rm600 profit become 400million loss
Twisted twist socalled "expert eye".

Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.

Pay thru the nose tax 230million ! What a fool
If I the MD I pay rm1 ringgit for tax!
I divert the dividends 30million into mine pocket.
I hire qqq333 and stock raider as my advisor.

Hengyuan profit is not FAKE as some " expert " claim!

Qtr3 profit will explosive dynamite profit due HEDGING GAIN !
Hengyuan and petronm

Qtr3 profit will explosive dynamite profit due HEDGING GAIN !

Rm600m profit but some try to twist it till it's a fake profit!

All I know Chinamen didn't shiphoned profit like some claim.
I see no reason for hengyuan to jackup profit!
They can declare losses
No one can do anything
No sharebuy back as they don't care about share price

It's super crazy profit in qtr3

Rm30 I talking about

Like I say
QTR 3 IS EXPLOSIVE DYNAMITE PROFIT

Assume you are " RIGHT"
BEFORE Brent 130 now 100
Crack spread 30++ now 10++
NOW IF THERE ANY LOSSES WILL TURN INTO PROFIT

qqq3333

Unrealised losses....what is there u don't know....sslee....? Unrealised is not closed until it is closed. As conditions deteriorate in Q3, operation wise the company will do very badly....only i.diots jump in and buy the share...see u at 4 soon....

18 minutes ago

Expect share price will move toward rm30

This time hedging work for them

With crack spread down to 10
Hengyuan petronm will see thier profit balloon up.

Hedging losses becouse crack spreads jumps to 30
No one expect to jump to 30

Qtr3 the explosive dynamite profit 1.5billion
Due to hedging profit .

Liabilities is not consider loses!

Don't need any accounting makeup but heavy hedging losses will do.

If I the Chinamen ,I will declare heavy losses .
I will transfer all the money china.
I won't pay dividends.