Not sure we whether we are in for a good ride as time is running out.

What is the difference between having business that is generating at a loss versus spending money and exploring and finding oil and having fields with known and proven RESERVES? This company is building it's oil reserves.

You still don't get it. One fine day you will.

Thanks Marksmenship - you have hit the nail right on the head!

Nett buying – so we know MERCURY buying and UOB Kay Yan is selling. UOB cannot be trusted anymore for any recommendations

Anybody know whether UOB Kay Yan sold today? I doubt as counter went up today with stable volume

Marksmenship - if UOB Kay Yan is selling - this would mean all their recommendations in future we cannot trust as they are a research house and a bank and a broking house as well. So if they use all this information wholly and mislead - then we cannot trust them in future.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1921261

"To reiterate, the EIA has the difficult task of estimating all this using sampling and algorithms….it is not easy with actual data lagging behind by several months at least. This week we have seen major revisions to crude over rail from slower growth (high single digits to low single digits) to Union Pacific over the past 4 weeks seeing a 25% plunge.

I should note that expectations were for the Permian in TX to offset the declines in Bakken, but the Union Pacific data does not corroborate that at all as it services many fields in TX. Further, even rail executives the past 4 weeks have said the pace of the fall off has been completely unexpected, but have we see any of that reflected yet in production forecasts from Wall Street, the EIA or IEA?"

"Thus we have markets using estimated production data to infer the pace at which storage will be filled up in Cushing, while the hard field data does not match. To compound this Mike Rothman, the founder of Cornerstone Analytics (NJ), has done probably the best work in uncovering the issue of “missing oil” and the game of demand under-estimations and then upward-revisions later. He believes the IEA has underestimated oil demand by a hefty 246 million barrels since 1Q14. "

http://oilprice.com/Energy/Crude-Oil/U.S.-Oil-Glut-Story-Grossly-Exaggerated.html


When the cat is out of the bag - and it will be soon - oil will zoom again

Money coming soon.

By looking at the quantity of reserves - it's just a matter of time it will zoom up and I wouldn't be surprised it goes beyond its all time High. Since then it has nicely accumulated much more oil reserves.

Thanks Marksmenship for a very good explanation. Very nicely summarised!!!,

http://www.owler.com/iaApp/article/5512a19ce4b0b1a8af9a5eb3.htm

Hibiscus awards Benthic geotechnical site investigation contract
WEDNESDAY, MARCH 25, 2015


Benthic, a global geosciences company, has been awarded a contract by Carnarvon Hibiscus Pty Ltd (CHPL), a wholly owned subsidiary of Hibiscus Petroleum Berhad, for an offshore geotechnical investigation in the Sea Lion Field off the coast of South Eastern Australia in the Bass Strait.

Operating from a client issued vessel, Benthic's PROD1 (Portable Remotely Operated Drill) will perform rotary drilling and piston coring, and in-situ testing using a piezo-cone penetrometer to identify the seabed ground conditions for a well to be drilled using a jack up at the Sea Lion prospect. PROD1 will penetrate to depths up to 30 meters below the mudline, in water depths of approximately 24 meters. Core transportation logistics and laboratory testing will be coordinated by Benthic during the offshore operations. CHPL will be provided with Factual Geotechnical Data Reports following laboratory testing.

Hope tomorrow Hibiscus can touch RM1 - that would be an achievement considering it has all the potential

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1910529

We attach herewith our press release dated 23 March 2015 entitled “Hibiscus’ Jointly-Controlled Entity Secures Enlarged Financing Facility For Its 2015 Drilling Programme”

A very nice surprise indeed especially on on Monday. What a great start to the week!!!

Thanks for the advise Skybursa - I wonder what you mean by asset when Hibiscus has 20 plus concessions worldwide which are mainly Exploration fields - the only pruduction asset they have is KITAN which is already a producing asset and which they paid Talisman only USD18million. And that translate to USD5 per barrel cost of oil and they are getting 2,500 barrels per day. It is still pending Timor Leste government approval. At oil at USD55, per barrel now - Hibiscus Is making lots of money once the approval is given and the transfer done. Note that this deal will kick in for oil produced since January 2014 and the average price for oil in the whole of 2014 was USD93 per barrel.

In exploration fields, until you find oil, like Hibiscus found oil In Oman, and until you make it commercial, then can you start calling it assets. Exploration cost is front end cost and this is not that signifant compared to development and production cost.

Right now Hibiscus is absolutely on the right track. Drilling and finding oil with all the cheap drilling rigs available and leave the oil in the ground and only commercialise IT when oil price rebounds - that is the way to go!! And the smartest way forward!!!

And do you know Hibiscus got ZERO debts so no need to worry about payments and creditors.

And lastly - all the drilling activities are internally funded by issuance of share private placement and this has all been taken up, so hibiscus funding for all drilling in 2015 is done. They have no worry about creditors - they can drill and find oil and when oil price rebound, they can take then next step and produce. No lost sleep.

With Oman already have 1 billion of oil reserves for Hibiscus where they found oil - please go and read their website ( YES - 1 billion oil reserves!!) - do you need to worry about the future? It's all about he correct timing to develop for maximum rewards.

Just relax and wait till it explodes.

Happy weekend everyone.

Rocketboy91 - this company definitely has lots of potential - you see today 1.7 million shares can move up 8 percent. What if someone collect 5 million shares only?

Wait till the right time - it will explode for sure. I think with so much drilling activities this year 2015 - it will have some good volume and even with volume of 5 million this counter will move up very much.

All the bursa announcement I have read about this counter has Been the major shareholders have collected and not sold.

Another way of putting it forward - with this kind of drama - it withdraws all the people who wanted to positively contribute for fear they will be ridicule etc or some just say " ah, why bother sharing our views when this forum is all just very personal and fault finding rather than fact finding"

So you end up losing lots of the valuable contributes who are the silent minority

DS - there is a good saying - never throw stones in a glass house - here we are chatting with mask so some take the opportunity to abuse etc the privilege - the fact of the matter - it brings bad blood and lots of cursing and swearing - and a forum is just like a cubicle chatting room and do you enjoy all the bickering or do you prefer constructive discussions and of course some light and easy chatting?

I give home grown or rather home drilled shale oil another couple of months before the taps run dry....

*i'm = in

Ozzie75: thank you - keep a look out for tomorrow night rig counts - it could be a game changer. If the drop is drastic then we are going to see a reversal in oil prices I'm weeks to come. Already USA is importing 730,000 barrels more oil per day based on IEA report yesterday. And then they report they had on weekly basis surplus inventory. Isn't that amusing?

Would you import 7.5 million barrels per day with increase of 730,000 barrels per day from previous week KNOWING your inventory are already high? Nice try but smart people are catching on and that is why oil price did actually stay stable with the release of latest surplus inventory. US is bulging up all their tanks to full with cheap oil and now it is heavily coming from imports.

My guess - they buying all the cheap oil they can get hold of now and fill their tanks before the eventual rise of the black gold takes place.

Once again I wish this forum will be more informative rather than character bashing. Ultimately - everyone wants to make money in share market so it would be nice to debate factually and with substance so as to guide each other of the unknown traps laid by the powers that be and of course the reverse - the juicy stuff - without ill intentions of misleading others.

Not sure why all the frustration when you see the counter dropped on very little volume - so the main shareholders never sold and are not buying either - they are just holding their shares and if you read the bursa announcements - someone is collecting on weakness. So I think this is all the weak holders letting go as compared to other oil counters - Hibiscus has more to offer in 2015.

If you are a big volume and long term shareholder - you think you care about drops on small volume? Imagine If you one day decide "ok lah , time to mop up the shares "- then zoom it goes.

Remember - Hibiscus is almost 70% controlled by ONLY 10 shareholders. And TOP 20 shareholders control 90% of the company!!

If the counter was falling with heavy volume, yes, then you should be worried!


Please go and read their shareholders listing. If they decide to clean up the loose shares - what you think going to happen to the price? I believe everyone waiting for the right time to move - maybe when they drill in Australia?


Name Shares %
Kenneth Gerard Pereira, PhD, MBA 167,222,600 18.8%
Abdullah Muhammad Syafiq 119,761,900 13.4%
Mercury Pacific Marine Pte Ltd. 64,667,038 7.25%
Roushan Arumugam, MBA 53,415,000 5.99%
Picadilly Middle East Ltd. 53,334,000 5.98%
Chye Tek Lee 45,124,324 5.06%
Tericon Solutions Ltd. 40,000,000 4.49%
Gurmit Singh 22,012,500 2.47%
BTV Management Sdn. Bhd. 19,184,000 2.15%
Gud Run International, Inc. 18,769,000 2.11%


I think by all the activities planned for this year If any of these shareholders decide even to take additional 5 million shares from the market, the counter will explode upwards. What you are seeing now is just retailers selling and buying left to right and back without interest being generated yet.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1905753

http://rex.listedcompany.com/newsroom/20150317_201127_5WH_QEV602LWZTXV1L1N.1.pdf

http://rex.listedcompany.com/newsroom/20150317_200907_5WH_B89X87XM0ZDCZ03K.1.pdf


"The Rolvsnes oil discovery has estimated recoverable resources of some 118 million barrels (Source: Lundin Norway AS, 17 Nov 2014), which at today’s market value of about USD 4 per barrel for oil-in- the-ground in Norway, has a total value of around USD 470 million. Lime Norway’s 30 per cent stake in the licence would equate to a value of approximately USD 141 million. Rex Virtual Drilling (“RVD”) confirms the discovery and an appraisal well is planned for the second half 2015.

Separately, drilling of the Gemini prospect has been concluded as a dry well. The well stopped at 2,269 m below sea surface at the minimum required level and to the formation targeted by the operator, where RVD had not detected any anomaly, proving its analysis correct. The cessation of the drilling took place before the depth where RVD had seen strong indication of the presence of hydrocarbons. At the time of drilling, Lime Norway’s entry was pending governmental approval and thus, it was unable to vote on deepening the well.""

@limyikwang - you mentioned SKP - just a word of caution - if my memory don't fail me - their audited report due out end of this month - be mindful of their ventures in Brazil / Petrobras etc and what could be their impairments there. Food for thought ......you may want to check with people in the know of their financial position now before official report out

@ Limayseng - you are really missing the point here. The founders/funders/banks are all losing their pants now with the current oil price even as they try to recoup or minimize losses . The know they can't stop producing as Saudi is not going to CUT production. So they have to milk the well dry and lick their wounds and count their losses. This is cut Loss in our terms as they cannot afford the risk of the unknown.

Now you tell me, once bitten twice shy - since Saudi has dared and stick by their new gameplan of maintaining production - would you fund another shale expedition risking a lost even if the price of oil recovered? Shale oil cost for extraction is between USD50 to USD70 at and it is very capital intensive. Would you want someone to control your fortunes or your control your own fortunes. I don't think many banks etc will dare to fund this high risk venture henceforth so you will see a drastic drop on shale ventures.

Shale will become only a force once the conventional oil and swing masters start losing ground in maintaining their productions - ie they discover less oil and their production eventually drops - like Malaysia

"Meanwhile, drilling works have already started in one of its assets in Norway under the licence PL338C, which is operated by Lundin Petroleum Norway AS in the North Sea. Hibiscus has a 30% participating interest in PL338C, which it acquired less than a week ago. "

It's not Sea Lion - it's drilling in Norway with Lundin PLC338C - 2 weeks from now results out as drilling started February 15, 2015 .

I believe next week onwards the price will start moving up in anticipation of good news.

@ dicky me - Ha! Ha! Ha! I like it! Novice people have been talking about oil being replaced ages ago - and yet - it's still bubbling. And depleting fast.

The storage story you read - another joke - you really need to get your facts straight. The glut of 2 million compared to 93 million demand - you consider that a glut? 93 million and growing. Oil is depleting and the only reason people have succumb to producing the more expensive and hard to get shale oil and now the tar sand oil is the very obvious fact - OIL IS GETTING HARD TO FIND AND DEPLETING FACT. Gone are the easy conventional oil in shallow waters that can be producing for 20 years.

Now only conventional ones - if you are lucky - are in the remotest areas and deep sea and these are expensive dude!

Shale is very expensive and need quick turnaround replacement as each well can only produce for 1 to 2 years the most. Once done - habis lor - and they have to drill for another one - very capital extensive.

The only reason you see EIA reports showing high inventories in US now is the banks are milking every ounce of oil left in the wells and fast as they have already invested money and are tying to recoup as much of their losses.

The gauge of whether there is more investment in this area is rig count - which has fallen by 40% and is now the lowest number since 2011. Very soon - you will see the so call minuscule glut disappear and suddenly we are in scarce need for oil - oil will be in shortage again. The cycle continues ....

Never just read 1 article without understanding the whole game changer - Saudis have this well figured out - wouldn't you ? If your bread and butter is only oil - then why gamble all this away cheap?

Short term pain for long term gain

Ozzie75 : hope all is well with you. Watch for the inventory report tonight and pay close attention to the rig count by baker Hughes this Friday - the tide is definitely changing.

There are no rights issue ONLY PRIVATE PLACEMENT of shares

• deplete out

Oil will go North - all shale oil is drying up - today EIA DATA will confirm that - common sense should tell you with the severe reductions in rig counts and the lapse of time, the current producing wells will delet out and with no new wells coming on line - oil will go north. Saudis are not naive and not babies in this game.

I SEE - DC - what you are saying :

- one of the biggest shareholder of Sumatec sells his shares to go and invest some other counters to make money
- then he comes back and buy back Sumatec share at cheaper price

Wow - I consider he already sold his Sumatec warrant B very cheap now you telling me that he could come back and buy into Wb again - obviously cheaper - so counter going to go lower - thanks for the heads up!

Stock: [SUMATEC]: SUMATEC RESOURCES BHD
Feb 5, 2015 07:28 PM | Report Abuse

Director Name CHAN YOK PENG

Guys - Why the director and major shareholder keep disposing the warrant B at such low price - anything wrong?


Disposed 19/01/2015
250,000
0.145
Disposed 20/01/2015
200,000
0.153
Disposed 21/01/2015
200,000
0.155
Disposed 22/01/2015
200,000
0.160
Disposed 23/01/2015
200,000
0.155
Disposed 26/01/2015
200,000
0.150
Disposed 27/01/2015
150,000
0.150
Disposed 28/01/2015
100,000
0.150
Disposed 30/01/2015
200,000
0.145
Disposed 04/02/2015
300,000
0.160

DC - can you please answer why is the major shareholder and director selling his warrant B everyday so cheap? anything wrong?

Director Name CHAN YOK PENG

Guys - Why the director and major shareholder keep disposing the warrant B at such low price - anything wrong?


Disposed 19/01/2015
250,000
0.145
Disposed 20/01/2015
200,000
0.153
Disposed 21/01/2015
200,000
0.155
Disposed 22/01/2015
200,000
0.160
Disposed 23/01/2015
200,000
0.155
Disposed 26/01/2015
200,000
0.150
Disposed 27/01/2015
150,000
0.150
Disposed 28/01/2015
100,000
0.150
Disposed 30/01/2015
200,000
0.145
Disposed 04/02/2015
300,000
0.160

Someone should call Hibiscus and find out why Kitan production no news?

Last Friday - Hibiscus Managing Director announce he going to buy back their own company shares - This is a definite signal that the share price is very undervalued right now. And they have already openly bought on before on January 15 and 16, 2015. So this time they might go big.

Please read -

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1867681

My BIG QUESTION :

Why not Sumatec directors ALSO do the same? It will give us investors lots of confidence. If I read this kind of announcement coming from Sumatec board , surely I will buy more. And I know the public will also support the stock price and take it higher.

I am hoping any of the Sumatec board members are reading this positng of mine.

Thank you!!!

http://www.rigzone.com/news/oil_gas/a/137006/Hibiscus_to_Capitalize_on_Lower_Service_Rates_for_2015_Drilling_Operations

Among the drilling operations planned for 2015 are exploration wells in the Sharjah concession in the United Arab Emirates and the Sea Lion prospect in permit VIC/P57 offshore Australia, Hibiscus revealed in a company presentation earlier this month. The company will also conduct drilling at Oman's offshore Block 50 and two development wells at the West Seahorse field in Permit VIC/L31 offshore Australia, while it is part of a joint venture drilling in PL 591, PL 708 & PL 616 licenses offshore Norway.

If you read this - it means

2011 - listing - raise funds
2012-2113 - planning and development
2014 - drilling of 2 wells with 1 success in Oman
2015 - EXECUTION YEAR WITH DRILLING OF 5 WELLS AND PRODUCTION.

The year Hibiscus start to make money and rewards it's loyal shareholders!!!!

I think this is the most important piece of information -

"Pereira said the group would not modify its objectives and had targeted 2015 to be a year of EXECUTION , adding that the depressed equity markets were also an advantage for the exploration and production company to source for oil."

http://www.thestar.com.my/Business/Business-News/2015/01/30/Hibiscus-sees-opportunities-in-volatile-market/?style=biz

ITS TIME TO ROCK AND ROLL!!!!

Pereira said Hibiscus was optimistic of achieving its five-year target, given that it had 12.3 million barrels versus the group’s 100 million target, and if the Kitan oilfield deal offshore Timor Leste is concluded, it would be producing about 10,000 barrels of oil a day. This will translate to 2,500 barrels of oil as per Hibiscus’ 25% stake in the oil field.

“Our work programme for the next 12 months includes drilling three wells in Norway, one in the Middle East and one exploration well in Australia.

“For a small company to be drilling five wells in a year, we think that it is very impressive and we are proud of it,” he said, adding that it also had other development projects being reviewed for the year. He, however, could not disclose the percentage of ownership in the wells, as it was in the process of calling for tenders.