Now oil prices drop from its peak. Need some time to recover. I think around $45 - $47.5 like that, no need too hurry to buy in. I tin kosong, kong kong kong only, don't simply trust me.
A debate has ensued regarding North Korea’s possible retaliation to these sanctions. Several market watchers think Pyongyang is preparing a strong response for the United States. Overall, the energy sector will be severely affected if North Korean tensions result in conflicts with neighboring countries like China, Japan and South Korea.
According to the U.S. Energy Information Administration, South China Sea is the route through which more than 33% of worldwide crude and 50% of global liquefied natural gas are transported every year. Hence, violence following military actions in and around North Korea may stop the flow of imported oil to South Korea, Japan and China.
According to energy consultancy group, Wood Mackenzie – South Korea, Japan and China are responsible for almost 34% of global trade for crude, transported by sea. Also, data provided by World’s Top Exports (WTEx), shows that China, Japan and South Korea are among the top five oil importing countries in the world, accounting for almost 32% of worldwide crude import, with China being the largest oil importing nation. The total value of crude, imported by the three countries in 2016, was estimated at $211.2 billion by this independent education and research website.
Hence, North Korean tensions will probably lower global crude demand to a great extent. Asia’s leading refining plants, accounting for 65% of the continent’s total refining capacity, are located in China, Japan and South Korea, as per Wood Mackenzie. Therefore, any military action in North Korea might lead to significant reduction of oil demand by refiners. Either way, strong forces are working to push crude price lower.
If the flow of imported crude is cut off, China, Japan and South Korea will have to rely on their respective limited domestic crude reserves to carry out daily operations. As a result, there will be lower gasoline production by refiners. Scarcity of gasoline will likely flare up commodity prices.
Lau333 d tax rate for North Sabah sld not b 38% but 25%
Petroleum income tax
Petroleum income tax is imposed at the rate of 38% on income from petroleum operations in Malaysia. An effective petroleum income tax rate of 25% applies on income from petroleum operations in marginal fields with effect from 30 November 2010. No other taxes are imposed on income from petroleum operations.
OrlandoOIL, we shall know the accuracy when the next quarterly result is released. I had provide all the source from which forecast is derived. May not be the best estimate but it’s an honest attempt.
I’d commented on the tax rate in other post therefore not repeating it again here. On LCTitan, it’s a good pick and I have position in this counter too. When the investment horizon stretches beyond the shutdown cycle, it’s less of a concern.
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 4506 views | 4 d ago
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New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
VenFx
14,784 posts
Posted by VenFx > 2017-10-08 20:34 | Report Abuse
Lau333, as usual good sensitivity analytics artical. Tq