WORLD COPPER SHORTAGE EXPECTED IN 2025 !

https://www.mining.com/graphene-infused-copper-wire-may-be-key-for-more-
efficient-evs/

New and latest findings :Copper kills coronavirus . Watch out for wordlwide increased demand for copper .

https://www.scmp.com/week-asia/opinion/article/3105679/forget-vaccines-copper-kills-
coronavirus-and- china- cornered- the-market/

https://www.mining.com/copper-price-surges-on -booming-chinese-factories/
https://www.barrons.com/articles/silver-and-copper-prices-gained-in-the-quarter-thats-
a-bullish-sign-for-the-economy-51601590720

Anzo's copper scrap trading revenue of RM15.6 million has yet to show profit due to initial capital set up one time expenses of RM 10-20 million .
Actual net profit margin should be in the single digit range and will be much higher in next quarter
due to bullish price of copper .
Huge profit can be made by leveraging and hedging copper scrap as its price is climbing to multi year highs .

Assuming Anzo bags another RM 1.5 billion copper contract with South Korea or Japan ,
it would add another RM 0.30 to its intrinsic value which would come to RM0.60

Based on RM 90 million revenue from copper scrap export , assuming 5 % net profit margin
net profit would be RM 4.5 million for Q3 . Net earnings per year would be RM0.02per share .
Assuming PE15 , intrinsic value of Anzo would be RM 0.30 not counting timber ,property and potential second copper scrap export contribution .
At RM0.12 , Anzo is very much undervalue and more than 60% below margin of safety

https://www.mining.com/copper-price-forecast-up-on-buoyant-demand-report/
Big funds especially from China and Hong Kong are targetting Anzo for its copper scrap business
https://www.mining.com/copper-price-rallies-as-chinese-scraps-shipments-sink-by-50/
India is also hungry for copper .
https://www.moneycontrol.com/news/business/commodities/copper-futures-trade-firm-at -nearly-
rs-527-a-kg--on-strong-demand-5838331.html.

On 15 Sept 2020 , Anzo's MD Chai sucessfully completed unconditional mandatory takeover of Oversea by buying 62.3% stake from all the substantial shareholder at RM0.30 per share at
RM 45.38 million .All transactions are completed after due diligence .
At the present Oversea open market price of RM0.68 per share , Anzo's MD Chai stake is now worth RM 102.68 million and he is sitting on a profit of RM 57.3 million !

https://www.mining.com/copper-price-rallies-as-chinese-scrap-shipments-sink-by-50/

https://oilprice.com/Latest-Energy-News/World-News/Copper-Prices-Are-Soaring-On-Growing-Battery-Metal-Demand.html

Copper continued to trade around USD 3.05 per pound the highest since June 2018 driven
by rising demand from top comsumer China and as disruptions in supply caused by COVID19
outbreak persisted .
Recent data showed Chinese exports rose the most in 1.5 years .
Caixin survey showed that Chinese manufacturing activity in Aug 2020 expanded at the
fastest pace in a decade .
Official NBS Manufacturing PMI for China pointed to 6th straight month of increase in activity
as the economy continued to recover from COVID 19 shock .
tradingeconomics.com/commodity/copper

The Star Tuesday 19 May 2020 Malaysia the new copper scrap hub
written by Andy Home

Anzo MD Chai has acquired 47.1 million XOX shares from the open market up till Aug2020.

Among S5 key projects with the Malaysian Immigration Dept are the I-kad , National
Enforcement and Registration System (NERS) and the Immigration Security Clearance
(ISC) projects.
S5 is the key technical provider for these projects using its Nexcode system .
These projects contributed more than 93% of its FY16/FY17 revenues.
The i-kad is a government issued identity card for registered foreign workers ,
expatriates and their dependants in Malaysia.
The i-Kad is a straightforward contract and is not a concession .
S5 subsidiary S5 Biotech is the contracting party with Percetakan Nasional Malaysia
Berhad that is responsible for supplying the card .
The i-Kad was gazetted by the government on Feb20,2018 .
The NERS project was established by the government to enable a nationwide registration
and monitoring for all foreigners into and from Malaysia.
The contract tenure is for 12 years from 2011 to 2023 .
The ISC project functions as the first mandatory step of screening of prospective foreign
workers as the application process takes place in their respective home countries.
Purpose of ISC is to help the government combat unwanted or blacklisted foreign workers and
the detention or deportation of foreign workers after arriving in the country .
In 2017, S5 was appointed by Heitech Padu to integrate the foreign workers medical
examination (FOMEMA) system with the Immigration Dept system and provision of biometric
verification capabilities at all clinics nationwide .
Only foreign workers with their fingerprints recorded under the biometric system can go through
helath screenings before getting employment.
FokusM Nov30-Dec2019

NST reported by Ajisy Yusof
According to MTIB , Malaysia has 4000 mills 83% in Peninsular and 17% in Sabah
and Sarawak .
Malaysia's timber export and timber related products is expected to hit RM 25 billion
in 2020

Bloomberg Sept 8 2020 reported by James Altwood
Chile's copper mines are struggling to maintain normal production due to COVID19
may give more legs to a rally that's already taken prices to 2-year highs .
The inbalance between the limited supply of overseas copper and healthy demand
from China's refineries may continue in second half as COVID19 disrupts mining
operation in South America .
Bloomberg intelligence analyst Yi Zhu

Bloomberg : Copper heads for historic squeeze with China's red hot demand

https://www.bloomberg.com/rampant-chinese-demands-puts-copper-on-brink-of-historic-squeeze/

https://www.mining.com/copper-price-leaps-26-month-high-on-strong-chinese-rebound/

Anzo MD Chai Woon Chet is the brother of Chai Woon Yun who is the
executive director of Permaju .Recently Permaju shares shot up from
RM 0.26 to RM 0.44 due to joint venture with Vsolar on a RM400million
solar project .

Peru and Chile are experiencing serious disruptions in mining copper .
Peru is now the world's deadliest COVID 19 hotspot .

Quantum Pro , Anzo's subsidiary was set up in Aug 28 1996 specializing in lumber ,
plywood , millwork , wood panel , merchant wholesalers , chemicals and rubber producta
manufacturing timber door , kiln drying and sawmilling .
Net sales revenue increased by 15.61% in 2018 .
Revenue in 2019 was RM 1.5 million .
Revenue in March 2020 was RM 900 000 due to restriction by MCO .
Sales revenue of Quantum Pro is expected to be higher coming QR due to increase in
lumber price .

China , South Korea and many countries are rushing to secure supplies of copper
mainly scrap copper . China is sucking up copper at record setting rates . Copper
rally which has surprised many has further to go towards the end of 2020 . China
and South Korea has been importing scrap copper from nearly every country in
the world .Trade data is expected to show another bumper August for copper scrap
imports .
Anzo's involvement in the copper scrap export through CSTME since July 1st 2020
comes at an opportune moment and pretty much hit the jackpot when the whole world's
insatiable hunger for copper is at its all time high .

https://www.mining.com/copper-price-to-extend-rally-on-signs-of-chinese--panic-buying/

Lumber price hit all time high USD 830.90/bd ft
Shortage of lumber even more severe than gloves .
Prices shot up 180% since June 2020 .
Lumber needed for repair , rennovation and reconstruction .

ALB/S5 biometric supports all fingerprint, iris,palm ,voice,facial matching .
Live scan detection and matching facial recognition (> 20 million databases)
enables quick check to biometric watchlist . blacklist or suspect list for crime
tracking verifications .
Biometric Solution Module contains 13 modules combined with S5 systems Nexcode solution
to curb national and international security threats .

22 Aug 2020 : Sistem pengecaman wajah ,biometrik kukuhkan sempadan negara

Semua pintu sempadan negara akan dilengkapi sistem imigresen berteknologi tinggi
menjelang 2023 . Menteri Dalan Negeri Datuk Seri Hamzah Zainuddin berkata Sistem
Imigresen Bersepadu Kebangsaan ( NIISE) sedang dibangunkan kerajaan bagi
menggantikan MyIMMS .
NIISE adalah dibawah insiatif program Digital Malaysia yang bertujuan mentransformasi
sistem imigresen ke sistem automatik berbanding kaedah manual .
Kerangka utama yang menyepadukan semua semua sistem imigresen ini sedang di
bangunkan dengan kos keseluruhan membangunkan sistem itu masih dalam penilaian
kerajaan .
Sistem NIISE juga akan mempertingkatkan kecekapan imigresen mengesan pergerakan
keluar masuk warga asing dengan pantas sekaligus mengurangkan risiko keselamatan
kepada negara .

AG's report 3028 series 3 audited that MyIMMS system down by 4400 times from 2016
to 2018 . Also lots of loopholes ,unaccounted records of foreign workers and fraudalent
approval to 123 employers in MyIMMS .This old software is based on 1996 structure ,
not centralised and consists of different component operated by different vendors .
Also not able to protect national security from certain threats .
The contract for MyIMMS is due to expired this month of August 2020 a mere one more
week to be replaced by NIIS ( a new and comprehensive software that can uphold national
security ).

1. Tesla zoomed past USD 2000
2. EV Battery demand skyrocketting
3. Copper price rallies again with gold
4. Copper future price on track for highest close
5. Anzo's share movement correlate with rising copper price.
6. Lumber futures increase exponentially
7.Anzo's share price also mirrors price movement of increasing timber price
8 , MD Chai is acquiring distressed assets at bargain prices
9.Anzo's coming QR expected to be even better
10.At such undervalue price , Anzo is a delicious target for RTO , M&A by big funds

Webinar on 27 Aug 2020 19:00 to 20:00

Topic: Exploring trading opportunities for base metals ( copper , aluminium ,lead , nickel
tin ,zinc) in 2020 organized by Philip Futures
.
Basically the webinar will talk about risk management ,commercial hedging , intra and
inter market spreads for base metals , key market and product developments for base metal
derivatives in 2020 .

NST 26 June 2020 " Anzo expects to turn around after sealing RM 1.3 billion deal "

MD Chai said " We expect Anzo to turn profitable this year and to remain profitable as the
copper contract period is for 40 months . The earnings will be immediate for Anzo , he told
NST .Chai said Postco would buy Anzo's scrap copper for remelting into copper plates and
other copper products for industrial and electrification purposes .

Anzo will supply up to 60000 tonnes of copper scrap to CSTME at RM23000 per tonne
over 40 months .CSTME will dismantle ,shred and grade before exporting to Postco
International Corp effective July 1st 2020 .

Anzo said the deal is expected to strengthen its trading business and deliver sustainable
earnings over a long period .Year to date , Anzo's revenue and gross profit increased to
RM 15.5 million and RM 1.38 million respectively .

Bullish on copper
Rocketing demand for EV auto parts is expected to present copper miners and refiners
a huge challenge going forward ,Research quoted in Barron's said the mining industry
need to produce 5 million tonnes of copper a month by 2030 which is 2.5 times the
amount produced this year just to meet demand from EVs .
The base metal is heading for a supply shortage by 2020 .Over 200 copper mines in
operation will be depleted in the next 15 years . Without new ones , there will be a 15 million
tonnes supply deficit by 2035 .
Tesla surged yesterday to a record USD 1835 giving a market cap of USD 342 billion
surpassing P&G ( value USD 337 billion) . Tesla's demand for nickel , cobalt and copper
is collossal .This is not counting other auto makers who are also producing EV at an
amazing speed .
Anzo's involvement in copper recycling business comes at the opportune time as scrap
copper constitutes the bulk of copper supply needed for EV industry . Investors must bear in mind that this vital aspect of Anzo's new business of copper export has not been fully reflected in the share price as yet .

Anzo Undiscovered Copper Gem
Anzo's copper export business hit the right spot when global demand for copper
increased tremendously .Copper price has surged 40% due to global shortage .
The insatiable demand is created by electric vehicle and its battery . One electric
vehicle needs 40 kg of copper approximately 10000 times requirement for a handset .
Demand for copper foil is expected to increase from 140000 ton to 250000 ton by 2025 .

A Tesla car need 45000 ton of copper whereas a normal car only need 18-49 pound of
copper ..A battery electric bus need 814 pounds of copper . Copper is undergoing a
massive bull market now . SK Holdings from South Korea energy and telecoms conglomerate invested 270 billion won and later 100 billion won in China's Lingbao Wason copper foil (world largest manufacturer of copper foil which is used as a negative electrode current collector in a lithium ion battery ) recently .

The number of electric vehicles is projected to increase to 17 million by 2025 and 32 million
by 2030 . Chile and Peru can only supply 8 million ton of mined copper due to disruptions by COVID 19 whereas global copper demand exceeds 28 million ton per year.The rest of it is supplied by scrap copper .

Anzo has been supplying scrap copper for export to Postco Korea through AP holder CSTME
for 45 days already starting from July 1st 2020.Based on estimates , Anzo should have
supplied around 15000 ton of copper scrap which is valued at RM 15 -18 million by now .

Anzo's total asset is RM 155 million.
Anzo's total liabilities is RM 13 million .
That means a whopping RM 142 million surplus in asset which translate to RM0.159 per share.
Anzo is presently trading at a huge discount to NTA .
Adding to the increase in copper prices , timber future prices also skyrocketed 173% from
USD 250 in April 2020 to USD 681.40 presently .
Anzo has 22 units of auto control kiln dried sawn timber plant with FSC status under its
sunsidiary Quantum Pro which is capable of processing 60 to 120 tons of timber .
70% of treated timber is exported whereas 30% is used for moulding and trading .
Anzo is also a one stop center for sawn timber exporters where sawn timbers are kiln dried,
treated ,bundled into containers and inspected by MTIB before exported .

Anzo's net asset value is RM 0.1589 per share .
Anzo's cash in hand is RM 0.0088 per share which anounts to RM 78.49 million.
Anzo is presently cash rich and looking for the right acquisitions.
Anzo's BOD decision to terminate the glove business is justified as Russia has
found the COVID 19 vaccine and glove industry may be heading into a deep glut
due to overexpansion .

Fundamentally , Anzo's QR shows 4 rising quarterly consecutive improvement
.Anzo's turnaround began in July 2019 and started registering yoy improvement
every QR . Anzo's revenue also has been on bullish trend every QR . Net profit
is also on the uptrend .Earning per share is expected to be positive this coming QR.
No debts , Anzo is flushed with cash from previously concluded right issue and is using
it judiciously to fund the right project with good profit margin .Any bad deals or unprofitable
project is terminated to protect Anzo's bottom line .Financing good deals is not a problem,
All this do not even include copper business yet and other new construction projects.
Anzo's CEO has managed to put Anzo on the right path to profitability and future
expansion .

In April 2016 , Anzo entered into supply agreement with Yuan Resources to supply
steel scrap for 60 months at total contract value of RM 100 million . Anzo was trading at
RM 0.20 . A year later in April 2017 , Anzo's share rose to RM0.60 .
The copper supply is ongoing and already started in July 2020 .There is no need for
shareholder's approval for the copper deal because CSTME sold out as substantial shareholder in order not to trigger related party transaction (RPT) .There is a huge possiblity that CSTME
may come back strongly as substantial shareholder since the copper deal is highly profitable and they are the AP holders for copper export .

Copper price has been on a bullish trend .From March to July 2020 ,it climbed 50%
from USD 4300 to USD 6300 per metric tonne on the LME.and estimated to hit
USD 6800 in the coming months .The bullish trend in the red metal was further
supported by China's scrap copper import quotas .Copper scrap accounts for a huge
chunk of the global copper market .Due to strict cap on copper scrap (started in 2018)
global copper market went into deficit , Moreover supply disruptions of copper in
Peru and Chile ( key copper producing nations) may boost copper price to trade higher
in a month's time .

Anzo is not a PN17 company .It's under 8.03A whereby it doesn't have a major/core
business . Anzo has 14 months to find/takeover/build a core business that contribute
the most other than construction , copper , timber door etc ,Anzo is actively looking
for a profitable major/core business to be injected into Anzo's portfolio for long term.
The recent corporate takeover of Oversea by Anzo's MD Chai ,China fintec deal for
XOX ,copper deal for Anzo etc is a prelude to many more corporate deals especially for
Anzo .

At PE 30 which is the average PE for tech stocks , ALB/S5 would be worth RM3.80
At PE 45 , which is the PE for high growth PE tech stocks , ALB/S5 would be worth
RM 2.7 billion or RM 5.70 per share .

Assuming Anzo can make RM 20 million net profit per year from copper business
(not including construction , timber door etc) , Anzo 's earning per share would be
RM 0.02320 , With a PE15 , Anzo's share would be valued intrinsically at RM 0.348.
At RM0.145 , Anzo's share is undervalue and provide more than 50% margin
of safety .

Net profit margin for S5 is a staggering 54.28% much like MYEG's net profit margin .
MYEG's PE is 45 whereas S5's PE is 15 only.
At RM1.90 , ALB/S5 is very much undervalue .
At RM0.55 , ALB/S5 's PE is 4.3 only .
Buying preIPO price of RM 0.55 creates a big margin of safety.

According to Anzo's chart , Anzo has recovered fully from the gap down on Aug 3rd 2020
and possibly setting up a strong base to embark on a second wave uptrend next week .

S5 total assets is RM82.7 million
Revenue RM 116.8 million
Profit after tax RM 63.4 million (as of June 30th 2019)
Net asset 21.7 million
Earning per share RM 0.134
Number of shares 473 million(due to RTO of ALB as empty shell company)
Market capitalisation RM900 million
Intrinsic value RM 1.90 per share (assuming PE15 on RTO listing)
Intrinsic value RM 3.80 per share (assuming PE30 for tech stocks)
After RTO ,ALB will change name to S5 .
S5 may apply to change category from logistics to tech .
Due to its big market cap , S5 may apply to move to main board tech from ACE

Assuming average net profit margin is 5% , Anzo's net earnings would be around
RM 1.725 million per month .

Kindly check S5 website . It contains impressive solutions for secure credential , law ebforcement ,
customs , immigration ,border protection , foreign worker management ,etc
It's powered by Nexcode which is the highest level of identity forensic security (L3S) mobile technology ( the only one in the world )with US military grade encryption , cost effective and possible permutations of 572 trillions combinations .
It has also sucessfully implemented National Foreigner Enforcement and Registration System ,
Foreign Worker Management System , Foreign Worker ID Card and Immigration Security
Clearance .S5 system also embeds AI capabilities in their software system .
Overall , definitely far more superior than the old obsolete MyIMMS system .

The copper business started on July 1st 2020 .
The next QR should be on Oct 2020 .
Assuming Anzo supplied 1500 metric tonnes of copper at RM 23000
per tonne for month of July , Anzo's revenue would be in the region of
a staggering RM 34.5 million for last month alone .

Irrespective of whoever clinched the RM 1.5 billion NIIS deal ( whether it's Iris or Myeg,)
5S would still be the sure and guaranteed winner as all the vendors are pitching 5S system in their proposal .