Posted by Ho Lee Man > 2012-11-21 16:06 | Report Abuse

Yup KC ,you were cautious on those rusty boats of Alam.
You are still cautious and doubtful today.
My instinct told me to look at the trading volume
I m expecting a worthwhile return from my Alam investment.

Posted by KC Loh > 2012-11-21 16:09 | Report Abuse

good for you Ho Lee Man. warms my heart to see you succeed here! :)

Posted by Ho Lee Man > 2012-11-21 16:16 | Report Abuse

Thanks KC ,I could have bought even more then.
But somehow ,those rusty boats warnings pulled me back.
Anyway ,I m a contented man ,excepting what was invested from my Benalac nightmare.
I will be glad if Alam can reach 75sens after third quarter result

Posted by Ho Lee Man > 2012-11-21 16:17 | Report Abuse

Sorry ....accepting

Posted by KC Loh > 2012-11-21 16:17 | Report Abuse

send my regards to Eddie Murphy! LOL

Posted by Vincent_737 > 2012-11-21 16:18 | Report Abuse

Sure can bro.I bought in 0.625

Posted by Ho Lee Man > 2012-11-21 16:20 | Report Abuse

Thanks for the encouragement Vincent

Posted by Vincent_737 > 2012-11-21 16:48 | Report Abuse

no prob bro

Posted by excelyou > 2012-11-22 13:03 | Report Abuse

Oil and gas sector

Maintain positive: Year-to-date (YTD) more than RM8 billion worth of contracts have been awarded to locally listed oil and gas (O&G) players. In October, about RM363 million worth of new jobs were awarded, down by close to 50% month-on-month, to Bumi Armada Bhd, SapuraKencana Petroleum Bhd and Alam Maritim Resources Bhd.

With nine contracts awarded, October saw the highest number of contracts in one month for the year, a similar number to June’s. However, most contracts were for the charter of anchor handling tug supply vessels, and barges which are smallish in value.

The fourth quarter of calendar year 2012 (4QCY12) has kicked off on a positive note with a good number of contracts, albeit small in value. We are anticipating that many more contracts will be dished out until year-end, coupled with positive corporate exercises, which we are already seeing in early November from SapuraKencana.

The investment community’s dream of a floating production, storage and offloading (FPSO) job was not disappointed as Bumi Armada had secured an extension for its Armada Perkasa FPSO in Africa.

Contracts under the Pan Malaysia HUC (hook-up and commissioning) umbrella project, which were called for tender in July, are also being dished out. The umbrella project worth in the region of RM10 billion is made up of nine HUC contracts which will benefit many local HUC players. Key beneficiaries include Dayang Enterprise Holdings Bhd, SapuraKencana and Petra Energy Bhd.

SapuraKencana has won underwater servicing jobs worth RM700 million for a few of Petroliam Nasional Bhd’s (Petronas) O&G offshore assets. In addition, the North Malay Basin, which has seen a commitment of RM16.4 billion from Petronas and Hess Oil and Gas Sdn Bhd, is likely to see some awards being dished out.

Further north of that region is the Thai-Malaysia Joint Development Area, where we are already seeing contracts awarded. SapuraKencana recently won an engineering, procurement, construction and commissioning job for the Kamelia-A wellhead platform there.

Local exploration and production has also borne fruit, with Petronas and Sweden-based Lundin Oil striking oil off Pahang, the first strike in the state. Production is estimated to be around 20,000 barrels per day and production will likely begin in 3QCY14. The field is located in block PM307 of the Bertam field.

YTD, more than RM2 billion worth of contracts have been awarded by Petronas subsidiaries and more than RM6 billion worth of jobs by foreign-owned companies. For October, 92% of total contracts awarded were from private entities (non-Petronas sources).

We maintain our “positive” conviction on the local O&G sector, riding on the impending award of contracts to further spur the industry. With the support of Petronas’ capital expenditure commitment along with jobs in the global arena, we believe the local O&G players will likely see more action in the coming months.

— MIDF Research, Nov 12

Posted by rogerlim > 2012-11-22 16:19 | Report Abuse

maybe alam can close green 2day,just maybe......

Posted by buybackma > 2012-11-22 16:59 | Report Abuse

come on Alam ...chase Perdana and Perisai ..smiles..

Posted by minitrader > 2012-11-22 17:01 | Report Abuse

Perdana made me smiling...

Posted by rogerlim > 2012-11-22 17:02 | Report Abuse

need to wait for tomorrow....^^

Posted by pacino > 2012-11-23 13:32 | Report Abuse

Alam - buy call by CIMB - TP RM1.14.

Posted by sheridansulik > 2012-11-23 14:15 | Report Abuse

Haih, i read you all didnt study the charts...its on accumulation mode now..the bband is shrinking and the RSI is coming to stable percentage...the MACD also giving good indicators...day traders may be can make some bucks, but contra traders T3 wont benefits...guys, the biggest shareholders here is also TH... And looking at the FA, its a strong company and more projects in the pipeline coming into the comapny..its a matter of time...hold on...63sens would be a cut loss...immediate TP 75sens, Long term Tp.1.14... To sum up, its accumulation mode now...big funds are buying in...

Posted by onglah > 2012-11-24 17:22 | Report Abuse

Quarterly rpt will come out on monday?

Posted by weechin53 > 2012-11-24 18:26 | Report Abuse

lates news from alam lost contract from pertonas so.......????!!!!

Posted by KC Loh > 2012-11-24 18:56 | Report Abuse

weechin53, any links?

Posted by richrich8 > 2012-11-24 21:04 | Report Abuse

are you referring to the latest price target report released by CIMB?

CIMB still maintain a BUY call with TP RM1.14 after taking out the potential earnings from the deal. FV RM0.85

Expect more OSV contracts in months to come for ALAM. As the OSV market demand is growing. Think OSV players like ALAM, Perdana, Armada to do well :)

Look forward to ALAM's Qtr Report

Posted by weechin53 > 2012-11-24 21:53 | Report Abuse

kc, 2day's nanyang

Posted by richrich8 > 2012-11-24 21:58 | Report Abuse

CIMB Report: Buy call TP RM1.14

• Maintain Buy. Alam recently lost out on a RM1bn subsea contract despite being a frontrunner initially. The contract was awarded later than expected to another oil & gas service provider. However, the good news is that Alam's earnings recovery
remains intact, thanks to seven notable contract wins so far this year. As we had earlier included the subsea contract into our forecasts and expected the contract to commence in 3Q12, we now cut our EPS forecasts by 32.9% for FY12, 17.0% for FY13 and 16.7% for FY14. Subsequently, our target price drops from RM1.26 to RM1.14, pegged to an unchanged 10.6x P/E (20% discount to our CY14 target market P/E). Despite the contract loss and EPS downgrades, Alam remains a Buy as it continues to ride on utilisation and charter rate recovery in the marine support
segment.

• Contract loss. Alam was dealt a blow recently when it lost a subsea inspection,repair and maintenance services contract worth RM1bn to a leading an oil & gas company, which won the entire contract (see the section on “Recent developments”). While we are disappointed that Alam was completely shut out, we take comfort in the company's earnings recovery, which remains on track in line with the pick-up in marine support activities. Buoyed by a string of offshore support vessel (OSV) contracts secured so far this year (Figure 7), the utilisation rate of
Alam’s fleet is expected to average 85% this year, up from around 70% last year.

• Long-term charters. Currently, Alam has an OSV order book of RM800m, which will last three years, and a long-term charter contract for two vessels that spans 14 years. Armed with 38 OSVs, the company has been invited to submit bids for Middle
Eastern and African jobs through its JV with Saudi Arabia’s Globe Marine

Posted by KC Loh > 2012-11-24 23:41 | Report Abuse

thanks weechin52. unfortunate that no link to read up! :(

Posted by KC Loh > 2012-11-24 23:43 | Report Abuse

are Malaysia's largest OSV provider confined to only Armada, Alam and Perisai? anymore that anyone knows?

Posted by richrich8 > 2012-11-24 23:45 | Report Abuse

KC, here is the link

http://www.nanyang.com/node/493606?tid=709

Posted by KC Loh > 2012-11-24 23:47 | Report Abuse

TQVM richrich8

Posted by KC Loh > 2012-11-24 23:51 | Report Abuse

yeah, looks very much like CIMB's report. I guess if only 3 major players in the OSV sector, then more contract is to come!, demand & supply, logical! Indonesia even had to hire Scomi's expertise recently although Scomi is not into OSV.

So it looks like its true, Alam is banking on another major contractor, and not Petronas. Anyone can refute that?

Posted by richrich8 > 2012-11-24 23:58 | Report Abuse

just study the AM Securities O n G sector report and count how many times Alam appear in list of potential upstream projects - many (6 out of 9 projects). So, the company can only secure more deals in months to come :)

TP RM1.14 FV RM0.85 :)

Posted by richrich8 > 2012-11-25 00:07 | Report Abuse

here is the link to amresearch report:

http://www.amesecurities.com.my/gc/download/Oil%20&%20Gas%20Sector%20121105.pdf

Posted by rogerlim > 2012-11-25 01:17 | Report Abuse

the bertam oil field just at the discovery stage only and still need some time before everything kick start but there are quite some pending large project waiting to be awarded soon so keep an eye on those bidder's share....^^

Posted by pathew > 2012-11-25 16:07 | Report Abuse

Alam is quite enticing... What is a good entry price?

Posted by excelyou > 2012-11-25 17:44 | Report Abuse

Alam is coming.

Posted by KC Loh > 2012-11-25 18:36 | Report Abuse

Armada, Alam, Perisai & Ekuinas (currently private, listing set on 2014) are a few mentionable players. so it means there are also private companies into OSV chartering. could be overcrowded in the O&G boom soon enough. will the 2014 introduction of Ekuinas has effect on the rest of the OSV players when Ekuinas is govt-linked? hmmm.......

http://klse.i3investor.com/blogs/valueinvestorresearchklse/20787.jsp

Posted by hsong > 2012-11-25 18:41 | Report Abuse

From the valuation angle P/BV below 1.5 times means undervalued while 2.5 times above is over valued. Alam is only 1.25 times while Wah Seong is 1.4 times

Looks like there is still upside potential with contracts to be secured, stable income and low valuation.

Posted by KC Loh > 2012-11-25 19:15 | Report Abuse

ah ok, there are 18 members of the OSV Malaysia. this is good read. looks like IBs are seeing this as a cyclical stock!

http://biz.thestar.com.my/news/story.asp?file=/2012/11/24/business/12360525&sec=business

Posted by KC Loh > 2012-11-25 19:17 | Report Abuse

good read also for those inclined towards Alam. This is on a cyclical rise! :)

http://www.might.org.my/en/Event%20Documents/2%20-%20OSV%20Sector%20Malaysia%20-Capt.%20Tasripin.pdf

Posted by KC Loh > 2012-11-25 19:27 | Report Abuse

This is something just to be aware of, the threats and dangers of the current market

http://www.theedgemalaysia.com/features/211228-domestic-operators-seek-level-playing-field-to-take-on-foreign-companies.html

Posted by richrich8 > 2012-11-25 19:34 | Report Abuse

Hope Alam's price will up up up reaching target price :-)

Posted by KC Loh > 2012-11-25 19:41 | Report Abuse

the TP of 1.14, richrich8? Hope so too for my friend Ho Lee Man's sake! But should be ok as the feel good factor is already in town fo O&G theme!

me just researching now for case study and future evaluation! :)

Posted by richrich8 > 2012-11-25 20:51 | Report Abuse

yes, i do hope Alam can reach TP RM1.14.. any opinions?

Posted by rogerlim > 2012-11-25 20:51 | Report Abuse

ya sure but it need to take some time to boost the price....

Posted by KC Loh > 2012-11-25 21:03 | Report Abuse

i think the setback with carigali is a damper, richrich8. But if they can score a few more tenders, why not? afterall they are going after middle east and regional projects already. they are in the right theme play at the moment, so it stands to their benefit!

i am just throwing out opinions to elicit more factual sharing as some of you have done.

Posted by rogerlim > 2012-11-25 21:08 | Report Abuse

well it still got a lot of pending contract still waiting to be award so 1Q13 will be pack with those contract...

Posted by ahhmadd76 > 2012-11-26 16:23 | Report Abuse

rasanya minggu ni keluar result quarter....

Posted by KC Loh > 2012-11-26 23:49 | Report Abuse

this will give more hope to Alam to secure more third party contracts i believe

http://klse.i3investor.com/servlets/fdnews/214547.jsp

Posted by humbled > 2012-11-26 23:55 | Report Abuse

Hopefully some surprises coming from the quarter result. Btw thanks for all the valuable feedbacks, info and comments here everyone.

Posted by willyy > 2012-11-27 12:47 | Report Abuse

bad q3 result?

Posted by Erica > 2012-11-27 13:10 | Report Abuse

all market is lao sai la

Posted by ww_guy > 2012-11-27 13:42 | Report Abuse

why the target price is high but the actual price keep going down?

Posted by willyy > 2012-11-27 14:34 | Report Abuse

bought at 0.71,I think hv to cut loss now

Posted by Vincent_737 > 2012-11-27 14:38 | Report Abuse

hold on.Green come soon...^.^