Pretty bro...now just realised your message... sry...earned few K only me...Thanks to u! now i betting on MHB-c3 , cost 0.035 ..hope coming wave makes me huat
Final investment decision for Pegaga within the next few weeks. This is it guys! There might be a premature speculative rally in the coming days/weeks possibly taking MHB above RM1 levels. It's a 50-50 between MMHE and Sapura...although do not get too excited as Upstreamonline reported a few weeks ago that Sapura has it in the bag (and Upstreamonline is pretty reputable source). Still many things can change.
Sapura Energy’s engineering and construction division is in pole position to land a significant turnkey contract for work on Mubadala Petroleum’s Pegaga gas development off Sarawak, east Malaysia.
Pegaga is one of the few current Malaysian offshore oil and gas developments but is one of the largest.
The main prize is the engineering, procurement, construction, installation and commissioning of a large central processing platform, with a 12,500-tonne topsides, 7000-tonne jacket and 3200 tonnes of piles.
The platform will feature a 12-slot drilling deck, a 50-person living quarters, and has been designed to produce between 400 million and 600 million cubic feet per day of gas.
It will be located in 110 metres of water in Block SK320 off Sarawak, and the floatover method of installation is understood to be favoured. Only two companies were invited to bid for the contract — Sapura Energy and Malaysia Marine & Heavy Engineering.
They are the leading exponents of big platform fabrication in Malaysia.
Bids were submitted some months ago, and sources said Sapura — with the support of WorleyParsons — is well positioned for the contract.
Both companies are desperate for a major new contract given their depleted order books and lack of ongoing work in their yards.
Sapura is insulated somewhat by its other divisions — its oil and gas production segment, its transportation and installation subsidiary and its drilling segment.
However, the company's recent market forecast was sombre, saying it remained “cautious on the outlook of recovery in the industry's capital spending”.
Activity levels would remain subdued in the near term and competition would remain intense. Sapura recently agreed with Subsea 7 to discontinue the SapuraAcergy joint venture, which resulted in Sapura becoming the sole owner of the Sapura 3000, a self-propelled dynamically-positioned heavy lift derrick and pipelay combination vessel.
This was viewed positively by Malaysian security analysts, as the vessel would enhance Sapura’s competitiveness in the engineering and construction business.
The vessel has worked in numerous countries, and also carried out landmark workscopes at Malaysia's first two deep-water projects — Kikeh and Gumusut-Kakap.
Abu Dhabi-headquartered Mubadala last September awarded Aker Solutions’ Malaysian subsidiary the front-end engineering and design contract for Pegaga.
Mubadala’s intention is to use the Pegaga field as the central hub for a series of discoveries in Block SK320.
The operator said Pegaga “is among the largest discoveries of recent years in Malaysia”.
Another aspect of the project is a 28-inch, 130-kilometre subsea gas pipeline to a new riser platform at a third-party field, said sources.
Mubadala was appointed the operator of Block SK320 in 2010 when the permit already contained the M5 discovery.
A successful appraisal well was drilled on M5 in 2012, followed in 2013-2014 by three substantial gas discoveries — Pegaga, Sirih and Sintok.
Mubadala is planning to drill two commitment wells in Block SK320 starting in December this year. It is understood the wells will be drilled using the jack-up Ensco 115 ( formerly the Atwood Orca) as part of a four-month extension with rig owner Ensco that Mubadala recently agreed.
Mubadala holds a 55% operating interest in SK320 with Petronas Carigali on 25% and Anglo-Dutch supermajor Shell holding 20%.
Only two companies were invited to bid for the contract — Sapura Energy and Malaysia Marine & Heavy Engineering. Bids were submitted some months ago, and sources said Sapura — with the support of WorleyParsons — is well positioned for the contract.
MMHE has Technip JV to support subsea gas pipelines. Based on my past experience dealt with both MMHE Technip JB will getbthe job. companies, i am confident
Thanks for sharing sir. Indeed MISC could, but perhaps Petronas would like it better for MMHE to be "independent" to as to ensure cost competitiveness and encourage competition with local fabricators.
MMHE is under utilization. Yard in Pasir Gudang still have good capacity to accommodate big project like Pegaga. Petronas might push Mubadala to give this project to them. Again, KKB is better contender than Brook because of current capacity.
4. Provision of Transportation and Installation (“T&I”) Works for Bokor CPP Project by Malaysia Marine and Heavy Engineering Sdn. Bhd.
Sapura Offshore Sdn. Bhd. (formerly known as SapuraKencana TL Offshore Sdn. Bhd.) has been awarded a contract to undertake transportation and installation works for Bokor Central Processing Platform project (“Contract”) for Malaysia Marine and Heavy Engineering Sdn. Bhd.
The Contract scope of work comprises of transportation and installation of jackets, piles, bridges and appurtenances.
The works are expected to be completed by March 2020.
From now on IBs will definitely re-rate MMHE, mainly due to earnings visibility from Bokor CPP.
Also, have some scant hope of landing either the Pegaga CPP or some part of that project.
Going forward, in the next 24 months, Petronas should also be dishing out more contracts.
Can probably hopefully expect the share price to settle at above RM0.80 from now onwards as the worst is over and it is crazy that a company in such a specialized niche with such a beautiful balance sheet is valued at less than half of the book value.
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....
Wm039
47 posts
Posted by Wm039 > 2018-01-09 22:00 | Report Abuse
Tomorro re -price