Posted by feihong911 > Mar 1, 2018 10:54 PM | Report Abuse

Mark Bird you must be an Aussie Wanker G day mate

...

???

Re-evaluating buffers to a more uncertain environment. As unpredictability becomes the industry’s new normal, some oil and gas producers have started to rely more on hedging as a way to protect themselves from volatile crude oil prices by buying futures contracts that either lock in future prices or put limits on them all the way from their oil wellheads to their refined products. By placing upper and lower bounds on price volatility, producers can count on a more certain cash flow.

Some countries in Asia and the Middle East may come under social pressure to reinstate subsidies to shield their citizens from more frequent price swings at the fuel pump. Indonesia, the United Arab Emirates and several others accelerated a process of retracting gasoline and diesel fuel subsidies and linking them to market price few years ago to take advantage of the dramatic fall in oil prices while assuming that they would remain “lower for longer.”

***

The first months of 2018 have shown that the oil industry has entered an era in which change will be the only constant for the foreseeable future. While oil prices will not spike to the peaks that they hit when OPEC and geopolitical events ruled the oil market, the oil markets will likely be unstable as the ranks of maverick shale producers swell, oil majors and national oil companies try out new digital techniques on their conventional fields, and new trade patterns emerge. As we have seen in other industries, to make the most of the new opportunities that lie ahead, oil companies will increasingly need to morph into agile organizations that can pivot to offset and even capitalize on disruptive new shifts. No one will be able to afford to stand still.

HARVARD BUSINESS REVIEW
MARCH 01, 2018

Generally cheaper oil is certain to have at least one short-term impact: It will compete with and potentially slow down the world’s expected transition to renewable, clean energy. Transportation accounts for the majority of the world’s oil demand, and as long as oil prices stay way below their 2008 peak crude oil price of $145 per barrel, there’s less economic urgency to switch to electric vehicles and hybrids, even in China and Europe where there has been governmental support to move away from internal combustion cars. Electric vehicles will only account for 7% of the cars on the road over the next 12 years, Morgan Stanley estimated when oil prices were relatively low in May in a report titled “One Billion BEVS by 2050.”

Long term, however, oil demand to operate cars is likely to decline as fuel efficiency for all manner of transportation increases, car ownership continues to fall, and electric and autonomous vehicles become more popular. By 2050, more than half of the world’s passenger cars are likely to be electric vehicles, according to the Morgan Stanley study. With the right combination of technological advances, cost reductions, and integration with renewable energy and storage, the tipping point for electric vehicle adoption could potentially be much earlier. These trends will require oil producers to shift their focus away from transportation and diversify towards innovative petrochemical products to capture market share in diverse end uses such as clothing and construction materials.

To match the new environment of constant, low-grade volatility in both prices and supply, producers and consumers of oil may need to re-evaluate assumptions and continuously adjust their strategies. Here are several ways that some forward-looking producers and customers are already beginning to do this:

Diversifying oil suppliers and sources. Major oil and gas producers are preparing for greater uncertainty by shifting their reserve portfolios toward unconventional oil and gas in order to respond nimbly and competitively to market shifts. Companies such as Exxon, Chevron, and Shell have all said they expect to expand their production in shale assets in the US, Canada, and Argentina.


At the other end of the spectrum, refineries and other industrial customers are starting to broaden their sources of oil supply and seek more favorable terms. Last year, for example, India, which imports about 80% of its crude requirements, began importing oil from the US for the first time in its history. More recently, Poland signed its first ever contract for US crude oil to diversify its supplies from Russia. Some independent refineries in China, Japan, and Poland are trying to secure spot crude oil cargoes to supplement their supplies from traditional long-term supply contracts.

Developing new digital efficiencies. Major oil and gas producers are now trying to apply lessons from the shale revolution’s use of cutting-edge technologies to reduce development cycle times and costs for offshore conventional oil projects by about 40-50%. Although efforts to digitize oil operations are still in their infancy, leading producers are working closely with oilfield services companies, engineering firms, and construction teams to incorporate artificial intelligence, robotics, and predictive maintenance into offshore operations. Drones are beginning to be used to check for pipeline leaks, self-driving trucks are moving tar sands, and Schlumberger is experimenting with a robotic drilling rig that will complete land wells in 30 percent less time than conventional rigs and require 30% fewer man-hours. All of this is with the aim to reduce the marginal cost of the barrel from the current $70 a barrel to around $40.

Major players are also optimizing their field development plans by tapping into new production data streams and developing three dimensional digital models of their massive offshore platforms. By modularizing components, they hope that deep-water offshore developments can be pre-built and assembled in three to four years instead of the current seven to nine years for a fraction of the cost.

Investing in differentiating new services. At the same time, some national oil companies and oil majors are exploring new ways to differentiate themselves from shale producers by investing in refineries, pipelines, petrochemical production, and storage infrastructure close to their customers. Saudi Aramco, for example, is considering committing billions of dollars to expand its refining capacity in Malaysia and Indonesia, as well as a new refining and petrochemical plant in China in an effort to lock in customers.

Oil’s Boom-and-Bust Cycle May Be Over. Here’s Why

In November, United States’ crude oil production exceeded 10 million barrels per day for the first time since 1970, according to the US Energy Information Administration (EIA). Analysts have predicted that U.S. could become the world’s largest oil producer in 2018, surpassing Saudi Arabia and Russia. How did we get here, and what does it mean for the industry?

U.S. shale oil and gas producers have been ramping up production to take advantage of rising crude oil prices — prices that had been rising in the wake of a deal between the Organization of the Petroleum Exporting Countries (OPEC), Russia, and other non-OPEC producers to reduce oil output. That deal sent the price of Brent crude oil to above $70 a barrel in January, after the industry that had suffered through $54 per barrel oil on average in 2017.

But with oil producers in North America expanding output, prices are likely to remain volatile. Unlike national oil companies and oil majors that typically take five to 10 years to develop conventional oil reserves, these independent and “unconventional” players have improved their drilling and fracturing technology to the point where they can respond within months to temporary spikes or dips in the market.

The recent price swings highlight a new era of uncertainty gripping the world’s energy markets. As global oil producers work at cross-purposes, the industry’s traditional boom-bust cycle is being replaced by faster, shallower price rotations based on changes in production. It makes price movements less extreme but also more difficult to predict. The constantly fluctuating number of barrels of crude available from nimble shale operations is a primary driver, but so are the long-term impact of increased fuel efficiency and the fits and starts of the global transition away from fossil fuels on world demand. The news is all good for customers, but it makes planning for the industry players much more difficult.

This unpredictability may only intensify as the world’s oil markets continue to adjust to shifting realities. Even more potentially destabilizing for major players, the expected surge in the U.S. oil supply may be enough on its own to meet all of this year’s growth in global oil demand. After being one of the world’s largest net importers for decades, the U.S.—while still a net importer of oil—is now selling millions of barrels of oil to China, Britain, Mexico, and India, a new reality made possible when restrictions on crude oil exports were lifted in 2015.

The soaring U.S. output comes from fracking operations that have cut costs dramatically since slumping prices in 2014 forced dozens of companies into bankruptcy. These increasingly efficient survivors now represent half of U.S. oil production, up from a mere 10% just seven years ago in 2011. In fact, 2018 may mark the first year shale producers will be able to fund future expansions of drilling programs through their own cash flow.

While major oil companies plan to dramatically increase shale production in the Permian Basin in Texas and New Mexico, U.S. shale production alone is unlikely to be enough to satisfy the world’s growing oil needs—especially when oil reserves in shale may only get us another 10 years of oil and not necessarily 50. Oil companies will need to develop both new conventional and unconventional crude oil resources to keep up with current demand for roughly one million more barrels of oil every year in addition to replacing the approximately four million barrels lost annually as reservoirs are naturally depleted. In total, we estimate that the oil and gas industry will have to replace about 40% of today’s oil production over the next seven to nine years.

That means difficult decisions lie ahead for independent shale producers, national oil companies, and the major integrated companies. While they can start to tap into the global reserves of shale oil, which exist literally everywhere, developing the reserves in most places from China to Argentina will require a significant investment to develop the shale ecosystem and supply chains needed, in addition to the infrastructure to gather, treat, transport, and store the crude oil. Or they can develop conventional reservoirs where it will require long-term investments in new technologies to bring the cycle times and costs more in line with those of nimble shale producers. Most major producers with large balance sheets will likely hedge their bets and attempt both.

hello ninja!

don’t be surprised if u see someone brings along their own plastic bags (they obviously came fully equipped) and scooping up food from the counter/table LOL

in!

Hibiscus to focus on project execution in 2H2018

KUALA LUMPUR (Mar 1): Having achieved eight consecutive quarters of profitability now, oil and gas (O&G) exploration and production player Hibiscus Petroleum Bhd said it will remain focused on project execution for the remainder of the year.

“I think this is a year for both the big and small O&G companies, but more actively in project execution, as while the oil prices are up, the services rates are still relatively low,” its managing director Kenneth Pereira told reporters after its extraordinary general meeting here today.

For the remaining of the 2018, the group said today it will be cautious on mergers and acquisition (M&A) while remaining focused on the execution of its projects within geographical areas it currently has presence in.

Hibiscus is currently in the midst of concluding its North Sabah asset acquisition by end of the month, barring any unforeseen circumstances.

"I will not talk about its earnings, but we hope that, barring any unforeseen circumstances, [the deal] will completed by March 31 this year. All the necessary papers have been signed between ourselves, Petronas, and Shell," said its chairman Zainul Rahim Mohd Zain.

The group also is planning for the commencement of the drilling of a well for its Anasuria cluster concession off the United Kingdom North Sea this May, which Pereira said will bring “material effects” on results of the project starting next financial year.

By the end of this year, combined production for both its Anasuria cluster — excluding the new well — and the North Sabah asset — given timely completion the acquisition — is expected to be between the range of 8,000 and 9,000 barrels per day.

At noon break, shares in Hibiscus stood three sen or 3.21% higher at 96.5 sen with 40.53 million shares traded, valuing the group at a a market capitalisation of RM1.53 billion. THEEDGE

ys, ouch!

oh yeah, totally

maxwell

I need some fine wine :D

ouch! ys, ouch!

hope not hate

soit

outstation

Bonjour. 2?

There is one school of thought that one should NEVER borrow money to purchase shares and only SPARE money should be used.

ouch!

why bro joe?

Chance to be 7-Eleven Malaysia franchisees

KUALA LUMPUR: 7-Eleven Malaysia Holdings Bhd (SEM), the owner and operator of 7-Eleven stores in Malaysia, is now offering back its franchise programme for local entrepreneurs.

The company is rolling out a franchising package that requires RM250,000 in investment from franchisees willing to operate and manage a store on a full-time basis.

The programme is especially suited for unemployed graduates and strong entrepreneurial-minded millennials as one gets an invaluable hands-on learning experience in managing an own business.

SEM’s major shareholder, Berjaya Group founder Tan Sri Vincent Tan, in a statement, said: “The 7-Eleven in Malaysia has a proven track record business and achieving success is not difficult provided one is willing to work hard and put in long hours.

“Once a franchisee has learned to manage a store well and is successful, that franchisee will be viewed favourably to operate more stores, so eventually one can be a multi-store operator, thus generating more revenue for oneself.

“There are a lot of financing options available to interested franchisees from various government agencies and one must take advantage of this and strive to fulfil one’s entrepreneurial spirit and desire,” he said in a statement.”

SEM plans to invest RM70mil this year to open around 200 new stores and renovate other stores. As at the end of last year, the company had 2,225 stores of which less than 10 per cent were franchised.

Acting chief executive officer of 7-Eleven Malaysia, Ho Meng said the RM250,000 outlay included a non-refundable initial franchise fee and refundable deposits for stocks and as security that the prospective franchisee would eventually get back.

“It’s just an assurance that the new franchisee would comply with the franchisee’s obligations and performance.

“Our franchise model is based on profit-sharing where SEM is responsible for expenses such as leasing of real estate, store equipment, general insurance, inventory audit, merchandising and marketing services, among others, as well as providing full training and operational consultation support,” he said.

To learn more about the franchisee programme, visit www.7eleven.com.my. - Bernama
Read more at https://www.thestar.com.my/business/business-news/2018/02/27/chance-to-be-7-eleven-malaysia-franchisees/#Mi3TmC3t1yIAw1eS.99

traders were staying cautious ahead of Federal Reserve Chair Powell's testimony before congress

Ringgit slips as investors move to safe-haven currencies

The ringgit extended losses to open lower against the US dollar today, as more investors shifted interest towards safe-haven currencies and after new US Federal Reserve Chair, Jerome Powell, hinted at further interest rate hikes this year, dealers said.

At 9.15 am, the local note was quoted at 3.9250/9280 versus the greenback from 3.9060/9100 on Tuesday.

The ringgit, meanwhile, traded mostly lower against a basket of major currencies.

It depreciated against the Singapore dollar to 2.9629/9663 from Tuesday's 2.9613/9646, slipped against the British pound to 5.4585/4631 from 5.4500/4560 and declined against the yen to 3.6597/6628 from 3.6488/6539.

It, however, appreciated against the euro to 4.8022/8075 from 4.8161/8222. - Bernama
Read more at https://www.thestar.com.my/business/business-news/2018/02/28/ringgit-slips-investors-move-to-safe-haven-currencies/#oO2O4fWijIxgJEfl.99

wtg ys!

wtg tessa, Ça me donne le cafard, LOL

ys where u park?

bro joe, yup something like that, if i remember correctly, bad moods knock us all out of alignment now and again.

stuck with hibi cb :(

I bot hibiscus 15 or 18 sen, can't recall, long time ago, short term trade

Hey, what can i do for u?

:(

Warren Buffett shared an excerpt from British Nobel laureate Rudyard Kipling's 1895 poem "If—" to illuminate the investing lesson:

"If you can keep your head when all about you are losing theirs . . .
If you can wait and not be tired by waiting . . .
If you can think – and not make thoughts your aim . . .
If you can trust yourself when all men doubt you...
Yours is the Earth and everything that's in it."

noted with thanks

i tell people to stick to hibiscus subject, i got flagged!

Oil hits nearly 3-wk high as Saudi Arabia to keep output well below cap

TOKYO: Oil prices extended gains to hit their highest level in nearly three weeks on Monday, supported by comments from Saudi Arabia that it would continue to curb exports in line with the OPEC-led effort to cut global supplies.

U.S. West Texas Intermediate crude for April delivery was up 20 cents, or 0.3 percent, at $63.75 a barrel by 0342 GMT after rising 3 percent last week.

London Brent crude gained 12 cents, or 0.2 percent, to $67.43, after climbing nearly 4 percent last week.

Both benchmarks earlier hit their highest since Feb. 7.
image: https://content.aimatch.com/default.gif

image: https://content.thestar.com.my/smg/settag/name=lotame/tags=Fatin_GSC_Insight_ALL,Eve_Lazada,all,Eve_Malay_English,Eve_Malay_Audience,tsol,Eve_Prog_Lifestyle,Samsung_S7_OA,malay,Eve_Entertainment


"The rise in equities made it easier to buy risk assets such as oil," said Tomomichi Akuta, senior economist at Mitsubishi UFJ Research and Consulting in Tokyo.

"But amid worries over U.S. crude production at near record highs, oil is struggling to make a move."

Prices were supported after Saudi Arabian oil minister Khalid al-Falih on Saturday said the country's crude production in January-March would be well below output caps, with exports averaging below 7 million barrels per day (bpd).

Saudi Arabia hopes OPEC and its allies will be able to relax production curbs next year and create a permanent framework to stabilise oil markets after the current supply cut deal ends this year, Falih added.

"A study is taking place and once we know exactly what balancing the market will entail we will announce what is the next step. The next step may be easing of the production constraints," he told reporters in New Delhi.

"My estimation is that it will happen sometime in 2019. But we don't know when and we don't know how".

U.S. energy companies last week added one oil rig, the fifth weekly increase in a row, bringing the total count up to 799, the highest level since April 2015, Baker Hughes energy services firm said on Friday.

Hedge funds and money managers upped their bullish wagers on U.S. crude oil for the first time in four weeks, data showed on Friday.

A powerful 7.5-magnitude earthquake struck Papua New Guinea's Southern Highlands province early on Monday, the U.S. Geological Survey (USGS) said, prompting oil and gas companies to immediately suspend operations in the energy-rich

interior.

Meanwhile, Libya's National Oil Corp said on Saturday it had declared force majeure on the 70,000 bpd El Feel oilfield after a protest by guards closed the field. - Reuters
Read more at https://www.thestar.com.my/business/business-news/2018/02/26/oil-hits-nearly-3wk-high-as-saudi-arabia-to-keep-output-well-below-cap/#zVlcoopgPcI3HroB.99

Limited gains for KLCI as region turns cautious

KUALA LUMPUR (Feb 26): The FBM KLCI posted limited gains at the midday break today as regional markets turned cautious.

At 12.30pm, the FBM KLCI was up 1.22 points to 1,862.72.The index had earlier risen to its intra-morning high of 1,867.98.

Losers led gainers by 303 to 279, while 652 counters traded unchanged. Volume was 1.51 billion shares valued at RM1.04 billion.

The top gainers included Dutch Lady Milk Industries Bhd, Panasonic Manufacturing Malaysia Bhd, United Plantations Bhd, Hong Leong Bank Bhd, Far East Holdings Bhd, Bursa Malaysia Bhd, Apex Healthcare Bhd, Hengyuan Refining Co Bhd, Top Glove Corp Bhd and Kobay Technology Bhd.

The actives included PUC Bhd, Sumatec Resources Bhd, AirAsia X Bhd, Sino Hua-An International Bhd, Green Packet Bhd, DGB Asia Bhd, Hibiscus Petroleum Bhd and Iris Corp Bhd.

The decliners included Nestle (M) Bhd, Hong Leong Financial Group Bhd, Malaysian Pacific Industries Bhd, Pintaras Jaya Bhd, Aeon Credit Service (M) Bhd, Toyo Ink Group Bhd, Ajinomoto (M) Bhd and Sime Darby Bhd.

Asian share markets were in a cautious mood on Monday as investors braced for an event-packed week headlined by US inflation data and the first House testimony by the new head of the Federal Reserve, according to Reuters.

Sentiment was fragile with the US dollar losing early gains and safe-haven bonds firming as E-Mini futures for the S&P 500 turned 0.1% lower, it said.

Affin Hwang IB senior associate director and head of retail research Datuk Dr Nazri Khan Adam Khan said US stocks rallied, treasuries advanced and the US dollar slipped as investors grew confident that the Jerome Powell-led Federal Reserve would not rush to raise interest rates as the economy picks up steam.

"The S&P 500 index rose by 1.6% to 2,747.30. The Dow Jones Industrial Average added 347.50 points (1.4%) to 25,309.99.

"Meanwhile, our local market is set to trade higher with sentiments remaining largely on GE-14 rally, stocks anticipated to edge higher within a volatile atmosphere.

"Banking, construction as well as oil and gas sectors anticipated to be the focus of investors," he said.

THEEDGE

Phew! OK, good.

only 1 wife

did he contacted you?

i have sold puncak, long long time ago

yup

Stock Warrants

Stock warrants are options issued by a company that trade on an Exchange and give investors the right (but not obligation) to buy the company’s stock at a specific price within a stipulated period. When an investor exercises a warrant, they purchase the stock, and these proceeds are a source of capital for the company. However, a warrant does not represent the actual ownership of the stocks but the right to buy the company shares at a particular price in the future. Warrants are not popular in the United States, but they are common in other countries like Hong Kong.

Are warrants a ‘win-lose’ game? Does the issuer always profit when an investor loses, and vice versa?

No, warrants are not a ‘zero sum game’. The aim of the issuer is to make a profit on the risk management of the warrants sold, in doing so they also take on risk. When issuers sell warrants, they will normally buy shares or other derivatives to ‘hedge’ their positions and attempt to capture a margin whether the share price goes up or down.

For example, when an issuer sells a call warrant they will usually go into the underlying market and buy the shares to hedge themselves. Thus, if the share price increases, and investors profit on their call warrants, the issuer will also gain on their shareholding.

It is a common misunderstanding that issuers want investors to lose money. In fact, it is quite the opposite. If investors lose money, they will likely not trade warrants again, whereas if they profit from trading warrants they are more likely to continue trading and the market will grow.

What is the difference between a company warrant and a structured warrant?

Company warrants are call warrants issued by companies (with their own stock as the underlying) for the purpose of raising capital. There are no designated market makers for company warrants, and they are typically only suitable for longer term investment as liquidity is uncertain. They are often held until expiry.

SW are an investment tool issued by third-party financial instituitions (issuers) who are obliged to make continuous bid/offer prices in the warrant to ensure liquidity (i.e. To “make markets”). They are designed specifically as a short term investment tool and are usually not held to expiry.

HIBISCS-CA: CW HIBISCUS PETROLEUM BERHAD (MIBB)

Type: CALL WARRANTS
Sector: INDUSTRIAL PRODUCTS
Listing Date: Feb 13, 2018
Maturity Date: Nov 30, 2018
Issue Size: -
Exercise Price: MYR 1.00
Ratio: 2:1
Underlying Stock: HIBISCS
Avg Volume (4 weeks): 22,482,012
4 Weeks Range: 0.09 - 0.19
52 Weeks Range: 0.09 - 0.19

HIBISCS-CB: CW HIBISCUS PETROLEUM BERHAD (MIBB)

Type: CALL WARRANTS
Sector: INDUSTRIAL PRODUCTS
Listing Date: Feb 13, 2018
Maturity Date: Nov 30, 2018
Issue Size: -
Exercise Price: MYR 1.20
Ratio: 2:1
Underlying Stock: HIBISCS
Avg Volume (4 weeks): 0
4 Weeks Range: 0.075 - 0.145
52 Weeks Range: 0.075 - 0.145

HIBISCS-CC: CW HIBISCUS PETROLEUM BHD (MACQ)

Type: CALL WARRANTS
Sector: INDUSTRIAL PRODUCTS
Listing Date: Feb 15, 2018
Maturity Date: Sep 28, 2018
Issue Size: 70,000,000
Exercise Price: MYR 1.40
Ratio: 2.7:1
Underlying Stock: HIBISCS
Avg Volume (4 weeks): 58,738,883
4 Weeks Range: 0.075 - 0.135
52 Weeks Range: 0.075 - 0.135

my eyes on baby raya..HIBISCUS

Stick to the subject..HIBISCUS

https://donovan-ang.blogspot.my/2018/02/hibiscus-klse-5199-calculating-smart.html

Attached is the cards-counting approach applied on Hibiscus Petroleum in the calculation of Smart Money Tide's Average Holding Price and Projection of Tide's Target. Before we begin this approach, we would need certain assumption to be true: that the retailers often make up a fixed z% volume flow with a fixed y-std-deviation such that the volume flow can be stably in fixed proportion for smart monies in the market. With this in mind and the Pareto Principle in effect, the market volume can now be reasonably fixed as majority belonging to smart money tide without distortion of data from retailers' volumes (everything in fixed proportion).

click link to read more https://donovan-ang.blogspot.my/2018/02/hibiscus-klse-5199-calculating-smart.html

agree!

hey bro T, hru?