As per announcement by Finance Minister not so long ago, now is at the final approval process at the board level (LHDN, KWSP and etc ), they will start buying very soon...
Revenue up a lot but profit down, because of the low aluminium price. New plant will start production soon, if alum price can recover, profit should b much better. Collect.
A must buy counter because next quarter we can't get this price rm 2.15 /= again due to aluminium price rebounded and new expansion plant operate . Very soon its will come back to rm 3.00/= again . Last quarter's profit affected by fire incident but still the company continue to give dividend . Tq to Pmetal company .
Aluminium price will reach 1200. Cannot buy. Global market is collapsing. Pmetal aint making extra money as you can see in quarter report. They could only maintain their operation. Still can drop further.
Oversupply. Although china cut supply, still need to clear their storages. Still need few more months to observe. China producers should have a storage of one year supply due to pot startup around one year. Supply over demand. Not healthy. Aluminium price still can reach 1350.
Pmetal next quarter report still the same. Same profit or less due to phase 3 expenses. Sales drops tremendous and expenses increase in the same time. Wrong timing. Not same as phase 2 timing. Still can drop further.
Happy123 , thank you for sharing your news to us . Aluminium prices will be slowly rebound . The year 2016 will be the prime year for Pmetal . Tq happy123 .
Aluminium price will reach 1200. If reaching 1200 pmetal has a loss and the price is below 1.00. Big japan investor would not invested in. Think twice before buy. I prefer to wait for news. Hard to rebounce back if global economy still in downtrend.
Do not think it is a gold mine. Even gold is worthless investment now. Out of expectation. I still want to see the quarter report and the impact of current aluminium price to its profit. If this coming quarter is loss. Then next quarter report even worst because the price is running below 1500. 1500 is still profitable to pmetal with two plants only. Now added in with 3rd plant same as 2nd plant capacity. Expenses increase and profit is low due aluminium price.
Don't worry , they already prepare the umbrella before its rain . Powerful generator already on standby . This time they will not be stupid like those days .
Power generator ??? It needs the power from bakun dam to operator. No worry. 1 hour shutdown only would not effect too much. What I worry is the impact of aluminum price to its profit. 1200 will encounter huge losses already. How soon will it rebounce from 1200 is unknown. Crude oil still able to reach 20.00 and when it reaches 20.00, how soon it will rebounce back ? Nowadays not the same as before.
In the long run for all the things, aluminium price will be going down and becomes flat as same like normal distribution chart. Same with gold, s&p500, KLSE and the rest. KNM has a obvious pattern it becomes flat already..
First, let’s look at the U.S., the simplest and most transparent of the “Pick 6” issues bandied about as a price driver. Certainly the unconventional revolution has been a huge factor in global production increases over the last 6 years. The item NOT generally recognized is that production typically lags drilling by some 5 months, thus the drilling in December 2014 is discernible in production records in April 2015. That analysts were alarmed at increasing production and supply during the 1st half of the year suggested that they did not understand this dynamic, nor did the business press. We predicted in April that monthly production would peak in May and then jump around between -100 mbpd and -350 mbpd for the rest of the year. When looking at additional production month over month, it is important to remember that it is building on a sloping foundation of natural decline.
For instance, in 2014, as the U.S. added some million barrels of daily production, it had to produce 2.2 million new barrels of production to do so. The slope of that foundation required 1.2 million new barrels to just flatten it out. First year production in the U.S. has had a blended annual decline that has increased from 41 percent in for 2010 era wells to 47 percent for 2013 era wells. Therefore, 2014 era wells were likely to have declined 49 percent and 2015 by 51 percent in their first year. Second year declines show less of a pattern, ranging from 10-20 percent decline from the end of the prior year. In other words, we will see real production declines in 2016 as the full impact of 2015 drilling reductions are cycled through. Depending on the variability of the second year declines, this could range from -400 mbpd to well over -1MM bpd. So, the U.S. isn’t going to be the bringer of oil glut news going forward. In fact, the U.S. oil patch has severely damaged its capacity to rebound from an oil field services point of view, with companies foregoing normal maintenance to just survive. This deferred maintenance will have permanent consequences. Score: NOT a driver.
Saudi Arabia’s Ability To Grow Production
Whereas Saudi’s rig count is up, so is its production. They are producing record amounts and most analysts believe that there is little if any behind valve production. SCORE: NOT a driver
Iran’s Latent Ability To Produce More Oil
When sanctions hit Iran, they immediately dropped 600 mbpd from their official production levels. That they report the same production to the barrel since cause their official number to be quite suspect. Iran has not been investing in their infrastructure and they require outside dollars to reinvest in existing production, ranging from $30 billion to $500 billion over the next 5 years, depending on the source to maintain what they have. $30 oil is not an environment amenable to outside tender offers. Some claim that there will be no net new production in the near term, that Iran will merely start to recognize the production of oil it has sold in the black market. In any case, 500 mbpd ‘new’ production are baked in as of last week. SCORE: NOT a driver
Chinese Economic Slowdown And Its Impact On Consumption
As the year has progressed, the Chinese economy exhibits signs of extreme duress, suggesting that demand growth could weaken materially. Imports of metals and building materials are down substantively. Oil is not. China continues to import crude oil at increasing rates, most likely taking advantage of the low price environment to strengthen strategic reserves. China’s growing “guns vs butter” investment shift isn’t likely a bearish sign for crude oil, either. The IEA and EIA’s production growth estimates both suggest that the market isn’t going to elastically respond to lower crude prices, in essence saying that lower price will not drive higher consumption for the first time ever and despite the surprise increase in consumption in 2015 SCORE: NOT a driver.
Russia’s Ability To Add Global Production
Russia found itself in a fun position in 2015 as economic sanctions hammered the ruble down 50%. Essentially, Russia had a half price drilling environment and was effectively hedged by its cratering currency because it pays for new wells in rubles and sells its crude in dollars. This advantage doesn’t exist at commodity prices this low. Russia isn’t likely to spend a buck to get back 20 cents in the first year. SCORE: NOT a driver.
OPEC’s Inscrutable Strategy
Forget all the rest of the “Pick 6”. If anyone assumed OPEC wasn’t in charge of global oil prices, they were dead wrong. And by OPEC, let’s be honest and say Saudi Arabia. Only Russia, Saudi Arabia, and the U.S. technically have the production base to unilaterally affect the price of crude without completely undermining their net production rates, and the U.S. regulatory environment is focused on efficiency and safety and not price, because, alone of these three, the U.S. until recently was thought to be a net beneficiary of low priced crude oil
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....
Matrix
38 posts
Posted by Matrix > 2015-11-23 16:54 | Report Abuse
ValueCap coming in soon..