Yes. So so company's price can go up and down fast as they are speculative due to Pmetal now. Be aware! Don't get catch at high price. Foundamental sound company, price go up may sustain.

LB and Arank, in short term are speculative due to Pmetal. Foundamentally, they are so so.

Aluminium is produced from Alumina with electrolysis system. One kilogram of Aluminium required 2 kg of Alumina and about 15.5 KWh of electricity bill. Normally, utility and Alumina cost is about 38% and 35% respectively. Other cost is around 27%. For Pmetal, the deal signed between Pmetal and Sarawak Energy sdn bhd is about Rm 0.11 and increase at 1.5% annually. The cost of utility is about Rm 1.70 or USD 0.53 per kg is much lower than others at USD 0.76. This mean that Pmetal is very competitive in the market. The saving of utility cost is USD 0.23 x 440000000 kg per annum about USD 100 Million. If the Aluminium price is going up and Malaysia Ringgit is depreciated, more advantage is to Pmetal. Arank is to use Aluminium bigot( from Pmetal) to cast into Billet which the added value is about USD 90.00 per 1000kg. Aluminium price increased is not really good to Lb Aluminium and Arank. Note. Alumina price is about USD 350.00 per 1000kg CIF Bintulu at the moment.

The up trend is about 6 cents per month for the past two months. It is very weak trend and hope the coming quarterly report will have good result and will immediately accelerate the trend. Hope for the best to come.

PM went up above history high and continue to go further. Big players entered market and small players taken profit. From lately announcements, may be there will be new exercise in the company.

As long as our politicians are self interest and not people interest, our country will never progress well. Next election, Sabah and Sarawak people will still be deciding factor for next government. I support your opinion and action. Thank you for your kind interest in our people.

MAS had raised Rm 7.2B from share holders at 2007,2009 and 2013.Woh! Still want to buy 100 new planes?????

I think Wilmar might foreseen over supply of palm oil in the future and laid down the policy to reduce over planting at Sarawak. Those big players whose owned half million acres of plantation land may slowly inject the asset into listed companies for big cash.

I went to Samalaju port yesterday and Phase 1 construction is near completion. Break water and wharf contract had been awarded and construction is in progress. Conveyor belt facility is under tendering stage. The whole project expected to complete in three years plus time. By the time, the raw Alumina which is imported upto 640,000 ton per annum can directly transport to the Press plant instead of at present using Bintulu Port where located about 60 Km away. The finish product, Aluminium ingot (320000 ton) can also send out through the Port which is only 2 to 3 Km away. The saving of transportation cost can be quite significant as compared to present. If we assumed saving of Rm 40.00 per ton, the saving may reach Rm 38 million per annum.

Samalaju port is under construction and expected to be completed 3 years from now. By the time, the port is only 2 to 3 Km away. The saving of logistic cost can be USD 20.00 x320000=USD 6.4M or Rm 20M.

Sumitomo is buying 20% of Samalaju plant at only Rm 444M. Any way, it is still good to PM.

Hope next month third quarter report will have some profit and the price will turn up.

Glue is about 30% of MDF board production cost. Major cost to manufacture glue is from Urea. The price of Urea has dropped from USD 400 in Feb,2013 to present of USD 300.00. Second quarter result shown that all lost was from Thailand and I don't know the reasons. Malaysia production was in minor profit. With the Ringgit depreciated for the third quarter,lower glue price and hope Thailand is not more in red(write off in second quarter), next quarter shall have positive result. Evergreen price is at Rm 0.49, not far away from lowest price 2009 when the company was in most difficult time. ( just bought over Hume MDF). I think Present price is very near to bottom and start to turn up soon.

Good move to sell smelting plant at China and exchange for extrusion business. The cheap cost of aluminium raw product from Samalaju Plant can ship to China is definitely advantage.

Smelting plant at China was closed is better to PM. It was not cost efficiency any way. Is the extrusion of aluminium products of 150000 Mton is in operation in China?

PM signed agreement with SEB at 11 cents per Kwh and 1.5% compounded increased yearly. Similarly, SEB signed with Bakun Power producer at 6.3 cents per Kwh with 1.5% increase yearly. The agreement is inforced for 25 years. To produce a kg of aluminium from alumina requires about 15.5 Kwh. The Samalaju Plant is using latest technology and it can save 10% of the energy consumption. So the cost of utility for a kg of aluminium is 11 cents x15.5 x0.9=Rm1.54 per kg of aluminium. Samalaju plant has a capacity of 300,000,000 kg and just utility cost alone is Rm 462 million. However, in China, the world biggest producer of aluminium, the cost of electricity is RMB 0.6 or 32.4 cents Ringgit or Rm 4.52 per kg of aluminium( At Rm 3.30 to USD). PM has about 200000 Mton capacity of aluminium production lines in China and 90000 Mton in Malaysia.
China is also world number one consumption of aluminium and PM is in his market. Just the utility advantage alone is already few hundred Million Ringgit and Ringgit is depreciated quite significant lately, it's also added value to PM. When Aluminium price pick up, PM is definitely is in good buy. Also, Samalaju Plant is built next to Bintulu Samalaju Port which is only 2 to 3 Km away. The port can only be ready at about 3 years from now. By the time, the transport cost for raw and finish product( inland) can be significant or at least more than Rm 100 per Mton as compared to now which has Bintulu Port is about 60 Km away.