Posted by hng33 > 2020-04-22 10:48 | Report Abuse

In essence, the PPAs stipulate that IPPs would be paid a fixed capacity payment regularly in exchange for making an agreed electricity capacity available. Should VTN buy the electricity generated, it would then pay energy charges which would also have been fixed in the agreement.

VTN would also be obligated to cover the difference if the price of fuel used to generate electricity rises beyond the agreed price in the PPA. This arrangement of VTN completely bearing the fuel cost risk and these arrangement is guarantee y Vietnamese government

All IPP profit generated are USD denominated and tax free for first 4 year after COD, follow by 5% and thereafter 10% till 25 end of 25 year concession.

https://klse.i3investor.com/blogs/Jaks%20resources/2020-04-20-story-h1506044437-Jaks_Resources_Risk_assessment_by_CPECC.jsp

Remark: NOT all power producer have such lucrative power purchase agreement. Tje for example, YTLP in Singapore power plant have NO PPA at all, is non concession, bear own risk in generate power and subject to competition in open market. These scenario also similar to Genting power plant in China, is non concession binding, therefore, no profit guarantee. Mudajaya power plant in India despite have BOT agreement, but, the risk is NOT guarantee by Indian government.

Posted by JJchan > 2020-04-22 11:06 | Report Abuse

yesterday selloff has removed alot contra players. Dow should be calmer for the next 30 days after massive oil future plunged

Posted by Kpin Yeoh > 2020-04-22 11:20 | Report Abuse

HI Hng33 how much EPS we expect from Jaks ?

Posted by Investor 999 > 2020-04-22 11:24 | Report Abuse

The power of unlimited fund !

Posted by newbie5354_ > 2020-04-22 11:26 | Report Abuse

Why newbie ask sifus hard to answer?

newbie5354_ Why Andy Ang not buying more?
22/04/2020 10:00 AM

hng33 Possible last chance to buyback jaks at < RM 1 today before IPP start trial run, follow by commecial run to generate maiden power profit.
22/04/2020 10:22 AM

Posted by leafwinner > 2020-04-22 11:30 | Report Abuse

because genius never answers to stupid question.

Posted by newbie5354_ > 2020-04-22 11:30 | Report Abuse

TP RM 4 mentioned why even KYY not buying?

Posted by leafwinner > 2020-04-22 11:37 | Report Abuse

U should ask kyy's wife. Probably his wife has the best answers to answer your question

Posted by hng33 > 2020-04-22 11:52 | Report Abuse

Q1: Why Andy Ang not buying more?

A: Based on annual report, Andy Ang only earn annual salary about RM 1.868m. Take note, Any have NO director fee. Only non-executive director entitle director fee RM 60k per annual. As Jaks concentrate its financial resource to complete power plant, there is no dividend declare to shareholder.

Thus, without dividend entitlement + director fee and with such modest annual salary, Any Ang have limited financial strength to continue buy share in open market.

But, Any already through previous jaks grant option, fully utilize grant option to entitle more share in jaks. However, such grant entitlement is at Jaks expense, but, these is nonrecurring grant option at least within 5 year due to one off fully utilization.

Posted by leafwinner > 2020-04-22 11:59 | Report Abuse

TP by 2020 RM2
TP by 2021 RM4
Unit 1 start commercial generate electricity by June 2020.with or without covid power plant still running.

Posted by newbie5354_ > 2020-04-22 12:00 | Report Abuse

If sure make $ why not Andy Ang borrow $ to buy more?

Posted by Icon8888 > 2020-04-22 12:19 | Report Abuse

this question is irrelevant (I can't believe I need to answer it)

Andy ang name doesn't show up doesn't mean he is not buying

Posted by Icon8888 > 2020-04-22 12:20 | Report Abuse

there are many ways to do it

Posted by Kyou > 2020-04-22 12:26 | Report Abuse

sifu Icon8888 are u still buying at this price??
juz curious..

Posted by newbie4444 > 2020-04-22 12:31 | Report Abuse

sifus is PP or RI coming so insiders not buying more?

Posted by newbie4444 > 2020-04-22 12:40 | Report Abuse

Is Jaks all about Vietnam IPP? How abt local construction and property business Jaks no concern?

Posted by newbie4444 > 2020-04-22 12:45 | Report Abuse

Evolve Mall MCO now good business?

Posted by qqq33333333 > 2020-04-22 12:45 | Report Abuse

icon..........Jaks vs comfort..............

choose comfort lah..............

Posted by Icon8888 > 2020-04-22 13:04 | Report Abuse

I bought on 26 March

==========

Stock: [COMFORT]: COMFORT GLOVES BHD
Mar 26, 2020 11:47 AM | Report Abuse

buy now before miss the boat

Posted by Icon8888 > 2020-04-22 13:05 | Report Abuse

bought supermax also

========

Stock: [SUPERMX]: SUPERMAX CORP BHD
Mar 26, 2020 11:46 AM | Report Abuse

buy now before miss the boat

Posted by hng33 > 2020-04-22 13:07 | Report Abuse

Of course, jaks local property investment like evolve mall and incoming star Pacific project still pose challenging due to operating at loss level and incur LAD till end of June 2020 before hand over to purchaser.

The property investment loss and LAD can be summarized in DK66 article link below.
https://klse.i3investor.com/blogs/Jaks%20resources/2020-02-27-story-h1483998942-Jaks_Resources_Q4_2019_results.jsp


The upcoming 30% stake in IPP profit projection can be summarized in DK66 article link below. Please take note, the power profit is USD denominated in which profit is subject to currency exchange ratio + all profit is TAX free for first 4 year after COD.

https://klse.i3investor.com/blogs/Jaks%20resources/2020-03-03-story-h1484685319-Jaks_Resources_A_Wild_Estimate_Based_on_Vinh_Tan_1_s_Abbreviated_Result.jsp

In short, after nett off local property investment loss, the IPP profit is still at net profit above RM 200m or EPS= 30sen. Even if take into VERY serious scenario in which MCO continue in force and mall continue closed, another additional potential expense cost and impairment incur -RM 70m, Jaks still able to nett off profit RM 130m or EPS 20sen

Posted by hng33 > 2020-04-22 13:17 | Report Abuse

In stock market, many stock have diversified business segment and its normal that no ALL business segment are profitable. Take for example, defensive stock like YTLP, its power plant 3100 MW in Singapore incur loss due to non-concession and competitive market, its local small power plant 560MW is profitable due to extended concession for another 3 year. It business in Yes network is loss making but is more than enough to cover by its biggest profit segment in UK water concession.

Posted by JJchan > 2020-04-22 14:21 | Report Abuse

dow future raising again 220pts

Posted by bfg9000 > 2020-04-22 14:33 | Report Abuse

The more important point is Andy Ang name is not showing up at the selling list. So no worries.

Companies will relocate out of China. Vietnam is no 1 in the queue and already needing every MW it can produce, be it dirty or green. Even less worries.

This counter is underwritten by the quite substantial but laser-focused liquidity of OTB+ cartel. A bit like OPEC but with more market moving/ holding power compared to the useless OPEC recently. Totally no worries.

Posted by hng33 > 2020-04-22 14:40 | Report Abuse

Technically, Jaks share now is on track to build up to form cup and handle chart <---- a very bullish sign

Posted by 2721 > 2020-04-22 14:47 | Report Abuse

yea..same boat with icon8888, tis time sure 发发发发..flying mode on

Posted by Tyre220069 > 2020-04-22 15:00 | Report Abuse

Market sentiment not very good but Jaks up to 1.04,,, waiting to fly

Posted by leafwinner > 2020-04-22 15:26 | Report Abuse

Price up. Monkeys suddenly disappeared. Why?

Posted by ViziTrader > 2020-04-22 15:26 | Report Abuse

I learnt a lesson from my tradewar lost. Never fall in love with whatevr stocks you a re buying. ALways make sure you have exit point either cutloss or took profit.

Posted by 2721 > 2020-04-22 15:48 | Report Abuse

seldom c operator nt on duty..mayb after all traders cleared 4.30pm

Posted by hng33 > 2020-04-22 17:00 | Report Abuse

With the closing price at 1.04, the cup and handle chart is formally establish now. Barring unforeseen circumference, jaks share will GAP UP to above RM 1.10 - RM 1.15 range tomorrow.

Posted by KAQ4468 > 2020-04-22 17:05 | Report Abuse

cup and handle apa Ah Heng Ah Kong ?????

cebuk jamban ka

Posted by lawrgan > 2020-04-22 17:24 | Report Abuse

Positive trending with potential upside this time.

Posted by DK66 > 2020-04-22 19:50 | Report Abuse

Aseng, you are right. I shall focus more on risk evaluation. Thanks

---------------------------------
Aseng Good morning my good friends

所谓＂真金不怕红炉火＂
You risk assessment is more valuable than your the potential profit calculation.
你做的对， 做的好。
20/04/2020 9:23 AM

Aseng 讲完好的，再讲讲坏的， 不要太自信， 才对的起自己， 对的起大 众
20/04/2020 9:28 AM

Posted by SarifahSelinder > 2020-04-23 08:30 | Report Abuse

Utk projek sebesar Hai Duong IPP naturally all d risks hv been addressed by professionals in their respective fields

Posted by mf > 2020-04-23 08:33 |

Post removed.Why?

Posted by SarifahSelinder > 2020-04-23 08:44 | Report Abuse

mf

R u making a buy call?

U hv bin totally 100% useless in trying to make d price come down hope u r better in making d price go up

Posted by sniper123 > 2020-04-23 09:25 | Report Abuse

hng sifu u cut win oledi ka??? Pls inform, I right behind u la

Posted by firehawk > 2020-04-23 09:40 | Report Abuse

operator is very clever, very cunning, very psychological manipulating .... :D

Posted by hng33 > 2020-04-23 10:16 | Report Abuse

Market in profit taking mode, jaks bullish sign encounter setback, BUT, overall, cup and handle chart remain intact. More time is needed to solidify base above RM 1.00.

Posted by DK66 > 2020-04-23 10:33 | Report Abuse

Jaks Resources - Risk factors

https://klse.i3investor.com/blogs/Jaks%20resources/2020-04-23-story-h1506102998-Jaks_Resources_Risk_factors.jsp

Posted by Investor 999 > 2020-04-23 10:55 | Report Abuse

Adding more stocks with unlimited fund today?

Posted by IronShirt > 2020-04-23 11:37 | Report Abuse

I told you already, JJ didn't move his money here. He goreng his kps, Up 50% this morning.

Posted by 2721 > 2020-04-23 12:45 | Report Abuse

banker nid to make sure econ stable oni push, if not will like last time so painful, cabut fr 1.5 to 0.7

Posted by hng33 > 2020-04-23 13:55 | Report Abuse

IPP project risk

1. Sovereign risk - Vietnam economy is least affected by pandemic covid due to much early prevention step taken. Its economy growth remain at positive growth. Electricity demand is growing steady due to trade war and global strategy relocation manufacture plant. Political and economy stability have greatly reduce Vietanme government sovereign risk

2. Foreign exchange risk - Vietnam government have given undertaking to guarantee IPP power profit is USD denominated. However, some minor foreign exchange risk did incur as power profit is only exchange at end of each month in which Vietnam currency ratio may differ within 30 day in each month.

3. Investment return risk - the PPAs stipulate that IPPs would be paid a fixed capacity payment regularly in exchange for making an agreed electricity capacity available. Should VTN buy the electricity generated, it would then pay energy charges which would also have been fixed in the agreement.

VTN would also be obligated to cover the difference if the price of fuel used to generate electricity rises beyond the agreed price in the PPA. This arrangement of VTN completely bearing the fuel cost risk and these arrangement is guarantee y Vietnamese government

All IPP profit generated are USD denominated and tax free for first 4 year after COD, follow by 5% and thereafter 10% till 25 end of 25 year concession


4. Financing risk - project already funded and completion at tail end now


5. Joint venture risk - CPECC is fortune global 500 and is China state own with vast experience. It have been successful executed the project and power plant is scheduled for trail run with commecial operation by June 2020.


6. legal risk - PPA framework have been throughout examine by stringent banking system to finance project cost and undertaking with endorsement and guarantee by Vietnam government

Posted by Primeinvestor > 2020-04-23 13:56 | Report Abuse

run while you can, jags to make losses in 2 quarters

Posted by i3lurker > 2020-04-23 13:58 | Report Abuse

will limit UP
people like loss making companies
see Sumatec, shot up to 4 sen from 0.005
shares from loss companies always shoot up for people to dump to suiyee

Posted by Primeinvestor > Apr 23, 2020 1:56 PM | Report Abuse
run while you can, jags to make losses in 2 quarters

Posted by limgor > 2020-04-23 14:14 | Report Abuse

Call himself a prime investor konon, still can try to push sp setia

Posted by limgor > 2020-04-23 14:16 | Report Abuse

Bodo missed the bus then at here bark, bodo like this can expect investing in pos malaysia

Posted by PureBULL ... > 2020-04-23 16:31 | Report Abuse

My dearest DK66 ,

U r truly a superb talented investing news writer.
V good n convincing indeed w insider pic n info at Right Timing, I guess.
I have never seen 1 so v v GOOD like you in my 33 years in KLSE stock mkt.
100% fully focused n writing beautifully w endless energy on 1 STOCK onli...

u r likely highly paid, on the insider pay.roll n MORE ...

all accountants have solid concrete advice about 30% JV partner, i.e. about NO controlling stake n power to touch the CASH.flow of this company.

What say U, sir DK66 ???