quarter report filing to bursa shall me most reliable, from recent QR, for 1h2017, reach total cost is 95.4m opex+30m net finance cost = 125.4m, so all in cost pb = 125.4m/(182x3200)=rm215.3pb or $50pb.

minimum work program from 1/7/17 to 30/6/18 is rm 145m or 36pQ, 1/7/18 to 30/6/19 is 529m or 132mpQ, 1/7/19 to 30/6/22 is another 1161m,

current qtr revenue is only 41m, how many barrels need to extract just to cover minimum work program alone?

those invest in reach shall prepare to hold long,

heard from i3 b4, cash also can be faks, they just borrow money from 民间贷款put in the bank one day before financial end, after one day financial end withdraw from the bank

is usd weaken, not ringgit 'strengthening', relative to china rmb, sing sgd, taiwan dollar, ringgit is weakening, believe so also for thai, vietnam, indo currency, in terms of competitiveness of malaysia export counter, it does not weaken that much

Minimum commitment 1-7-17 until 30-6-18 is 145m, 1-7-18 until 30-6-19 is 529m, total until 30-6-19 is 675m for 8Q until 2019,
From 1-7-19 to 30-6-2022 is another 1161m

Hi B4B4, 90daysx12000x0.6x50x4.28=rm139m seem a lot, BUT as my shown earlier average minimum commitment plus debt due to mieh is rm144m per Q up to 2019 so with 12000bpd and $50 RED still loss 5m per Q and this not take into logistics cost $10pb extraction tax $10pb , go count yr self the lost after plus the two items

by comparison hibiscus site cost is $15pb refer recent qr, while reb is $25pb refer md date 30jun17

even is 12000bpd cost is $72pb , pls correct me if i am wrong

hi B4B4, minimum committment up to july 2019 is 675m, and amount due to mieh is about 477m up to 2019 so total 1152m, divide by 8qtr, avg is 144m. divide by 90days x12000x0.6x4.28is $51.92pb bear in mind this exclude $10pb extraction cost and $10pb logistic cost

B4B4 talk is cheap, still waiting your calculation that with Brent $50pb can make profit, pls share because would like to invest in REB also

hibiscus last quarter realised oil price $50.46pb, whereas last quarter Brent avg $49.83, assuming REB realised price is $49.83, but is still have huge losses operation wise (please note is before financial cost) that mean you dig every barrel oil you are not making any money, so what is the point of 95m barrel reserve, reserve is only meaningful if you dig you make money (REB reserve portion only 57m, pls correct me if i am wrong)

if i am mieh, i also dont mind to fix the payment deadline fot the 189m
($44m), with 12% interest charged, it is better than a bank

Cost >$50pb, capex 80m perQ, pay debt 60m per Q up to 2019, good luck

Q2, 2017 Brent crude avg is 49.83, if operation wise if cannot make profit, that mean yr cost pb is more than $49.83, pls correct me if I am wrong

from arcadi calculation the armotisation is rm18 perQ, but in QR report is only 8m per Q, can somebody enlighten us for this

pls share with us if somebody have figure if the production ramp up 12000bpd the overall cost pb is 50

up to 2019

EVEN IF MINIMUM COMMITMENTS for less than 2 years ( assume up to july 2019) is still required 675m so it work up to be at least 80 million per quarter, and now even it incur operation lost, not mention about hq finance cost plus 480m need to pay the debt uup to 2

Talk is cheap, 50pb is enough but no calculations fact, or Perhaps after he do calculations 60pb also not viable, then tomorrow he cut loss first

Somebody keep talking $50pd brent crude can give reasonable profit but never put up calculations fact

From QR note A12, capex 2017 rm1372m, capex 2016 rm1434m next 1-2yrs is rm529m so total rm3300m, how many barrels product ion you need to cover this cost, bear in mind the site cost $25pd overall cost is $47pd this cost exclude capex

Actually I underestimate the capital expenditure previously

typo .... will bank value the oil field

with the site extraction cost $25pb, how much will bank the oil field reserve, if it worth high value, bank will more willing to lend money, others wise good luck

oil field reserve 95m barrel, how much cost they purchase per barrel?

no wonder pp fail

after reading the QR, if brent below$60pb, can REB survive beyond 2019?

plus $44m or 189m oustanding payment on qualified asset purchase

this is on top of capex i mentioned earlier $6m×20 35m=155m x60%share =91m or rm392m

REB have huge debt, pls refer to note A7, there is 627m due to corporate shareholder MIEH ( HK listed) out of it, 288m due in 2019, pls note that another 189m have interest 10-14%, wa lau higher than bank interest, no wonder MIEH wiling to lend REB

simplyfy to layman term, investment holding is head quarter office in kuala lumpur without revenue, oil n gas segments is the busuness activity in kazakh

it only hope that its operaring segment ( kazaknstan oil field) can make enough profit to cover its finance cost and pay back loan progressively, and if have excess, then can only consider profit to REB

investment holding is REB which its business in invest is oil and gas, current it have only one 'business' that is 60% share in the Kazakhstan oil field, the investment holding have no revenue but it take loan/funding to its investment in the oil field

Bootsmy well done TQVM
We need both positive and negative sides in investment decisions making

Seem like reach oil field is not viable if Brent crude below $60 base on d huge capex requirement

Pls read the above news ( in mandarin)

http://www.klsescreener.com/v2/news/view/250427

The tax usd 10pb is from md, seem more like resources tax, management is seeking the k government to reduce d tax

the 120m usd and 35m usd all need upfront before can achieve 12000bpd in 2019

if materialized can reduce transport cost by 4usd

to reduce the transport cost, need build 2nos pipeline costing 35m usd

the cost 25pb is mining 5pb+ transport 10pb +tax 10pb, not mention about site expenses & labour

30-jun 17, in a daily news paper, reach have 34oil field, 14 fully developed, the other 20 need capital with capex 6m usd per oil field so 120m usd

op ex + finance cost = (47.2m+16.6m)/(3500x90x4.30) is usd47, sifus pls advise

hibiscus avg opex is about 18pd, but all in cost is about 43pd, if 2017 crude avg is 48pd, is the profit great?

perhaps cost of sale is usd25pd, but if add up admin cost, financial cost , armotisation n depreciation it may come to usd40pd, actually is it the all in cost count , if you have one full financial year of production, you add in all cost and divide bytotal barrels produce you will get it

research more on share you own before load up more is not over-think type, luckily i done that

3 risks to consider before investing in Hengyuan
Author: boostmy | Publish date: Mon, 31 Jul 2017, 01:36 PM


thank you boostmy, your sharing answer my quetions

http://www.cmegroup.com/apps/cmegroup/widgets/productLibs/esignal-charts.html?code=STS&title=JUL_2017_Singapore_Fuel_Oil_180_cst_%28Platts%29_6.35_Dubai_%28Platts%29_Crack_Spread_&type=p&venue=1&monthYear=N7&year=2017&exchangeCode=XNYM&chartMode=dynamic


ICON8818 what is the relationship to hengyuan? mind to share



http://www.reuters.com/article/refineries-fueloil-idUSL3N1JJ1YQ


ICON8818, this link more toward simpler refiner PETRONM, rather than complex refiner

i own the share that why i research on this share, lol

higher crack is Q2 2015 is USD18, go read the chart, now the crack no way near there yet