IJM has drilling business, capital expenditure in drilling new well expected to increase in 2019. Good prospect for scomies. IJM is PH govt friendly, hope could secure new oil well contract to replace Ophir. if got sure goreng to RM1 like before
Let it rest for a while before the next rally . Everyone needs a rest . As long as it stabilise at this level , I think it should be good for the future
SCOMIES is NOT a oil-drilling company. There are providing the chemicals, additives, lubes to drilling companies & providing drilling waste management services. Please don't spread fake news if you are not sure. Read up in their website & prospectus, reviews & financial reports.
aiyoo after penang sure one sabah sarawak oso want some monorail lorr haar? kuching and KK oso want some laar .. some more how to entice votes from those states lorr .. scomi is bound to grow lorr ..
close like that lor it is likely than not to be reversed bullish lor .. but barring unforeseen circumstances lorr kikiki .. who knows what will happen by 5pm tomolo lorr harr aiyooo ... always think positive
Oil n gas sector cant move up until Dayang start moving up again. At the moment Dayang is badly injured and is struggling to stay above rm 1.30. Theres not much uncle Kyy can do as investor keep dumping everyday
Petronas introduced the Risk Service Contract (RSC) as a petroleum arrangement designed with the objective of intensifying upstream Malaysian oil and gas activities and developing smaller, stranded oil and gas resources.
Under the terms of the RSC, the contractor is the service provider and Operator of the field, while Petronas is the resource owner. Upfront investment of capital is contributed by the Contractor, with the Contractor compensated via the reimbursement of costs plus a remuneration fee for services rendered. The remuneration fee is linked to production volume and capital cost key performance indicators, and paid from proceeds of Ophir crude sales,
Back in April a decision was made to suspend the wells at the Ophir field and OPSB started discussions regarding termination of the Ophir RSC with Petronas. In June, Octanex exercised its right to terminate the Ophir RSC following occurrence of “economic cut-off” in accordance with the terms of the RSC. Octanex said in June that this would result in Petronas taking full responsibility for the field.
Octanex informed on Monday, November 19 that, upon the field meeting the contractual “economic cut-off” criteria, termination of the RSC was effected by OPSB. The RSC provided that following termination OPSB would be kept whole in respect to operating and capital costs for the project. OPSB has been carrying out negotiations in relation to these matters over several months.
The company added that that these negotiations had been concluded. Facilities (wellhead platform, wells, pipeline) have been handed over, reimbursement of costs has started and is expected to be completed in the second quarter of 2019.
OPSB has been relieved of most further project expenditure following novation of FPSO contracts entered into by OPSB in relation to the project. OPSB’s focus is now on project close-out and company wind-down activities, including final operating quarter Petronas cost recovery audit, GST reimbursements and loan facility close-out steps.
OPSB funded the Ophir developrnent via syndicated term loan facilities, with the balance of expenditure funded by OPSB’s shareholders in proportion to their equity interest in OPSB (50% in Octanex’s case).
The quantum of funds available for repayment of shareholder loans, following repayment of the project financing facilities, can projected within a meaningful range given the remaining expenditure requirements can now be reasonably forecast and the reduced number of outstanding variables.
Octanex largely facilitated its capital contributions to OPSB through a Sabah International Petroleum (SIP) convertible note facility, drawn to $8 million. Unless SIP elects to convert the convertible notes into Octanex shares (the drawn facility is comprised of two equal tranches of convertible notes, with conversion prices of $0.15 and $0.20), Octanex will be required to redeem the convertible notes at maturity (30 June 2019). Octanex is seeking to restructure the redemption terms of the convertible note in line with its share of projected shareholder loan repayments from OPSB.
OPSB funded the Ophir development via syndicated term loan facilities comprised of 75% of the capital expenditure and 75% of the first three quarters of operating expenditure, with the balance of expenditure funded by OPSB’s shareholders in proportion to their equity interest (50% in Octanex’s case).
Octanex’s $12 million convertible note facility (presently drawn to $8 million) with Sabah International Petroleum (SIP) was structured for the purpose of meeting Octanex’s equity contributions to OPSB. Advances made by Octanex and other shareholders to OPSB are subordinated to OPSB’s project financing facilities. As a result of which, payments from OPSB to Octanex can only follow repayment of the project finance.
Octanex will be required to redeem the SIP convertible note facility from the proceeds of payments received from OPSB, unless SIP elects to convert the convertible notes into Octanex shares (the facility is comprised of three equal tranches of convertible notes with conversion prices of $0.15, $0.20 and $0.25).
Scomies consolidate at 10sen-10.5sen since last few days. After break 11sen resistance, it will challenge its previous high 14sen.
Yesterday company announcement showed that Scomies CEO bought 1.8Million shares Scomies at 10.5sen in open market. This showing something good will happen soon which only the management know. This is a bullish signal to us.
No. If Scomi selling more than 33% stake in Scomies, will trigger General Offer (GO). New buyer need to made GO to other Scomies shareholder. If price is 20sen, big upside room as price now is 13sen.
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....
luckyman
732 posts
Posted by luckyman > 2019-04-06 17:39 | Report Abuse
Second wave of rally looks like coming again for oil and gas counters in view of the rising Brent oil price