Posted by nikicheong > 2022-03-18 12:23 | Report Abuse

From Bumi Armada IR:

Thank you for reaching out.

The Group’s day-to-day operations in Russia has not, at the moment, been materially affected by the conflicts between Russia and Ukraine. We would also add that operations in Russia form only a minor part of the Group’s overall operations.

We stand guided by the applicable Listing Requirements threshold for disclosures. Rest assured that BAB will make the necessary disclosures if there are developments that warrant an announcement or disclosure to Bursa as per the applicable Listing Requirements.


Thank you.

Bumi Armada Investor Relations

Posted by nikicheong > 2022-03-18 12:35 | Report Abuse

I'm still trying to understand posts here that talk about how if oil prices skyrocket, Armada's price should go up.

Armada's revenue is not dependent on oil prices. If oil goes up to USD200 per barrel, its revenue is going to remain unchanged.

What it does need is oil prices to be at a minimum level so that it's clients (whose livelihoods are dependent on oil prices) can pay the bills.

As long as oil prices do not crash, Armada is in a good position.

Oil prices skyrocket, makes absolutely no bloody difference for the company.

---------------------

Yes, true, but higher oil price environments means three things:

1) Lower likelihood of operators defaulting on payment and/or terminating the contract prematurely due to cashflow and/or yield issues
2) Higher likelihood of contract extensions being negotiated and exercised as it becomes more cost effective to extend the life of existing producing assets by drilling new wells and tying back new fields
3) Higher number of sanctioned projects, meaning more opportunities for FPSO operators such as Bumi Armada to get new contracts

Posted by nikicheong > 2022-03-18 12:36 | Report Abuse

Also, read in the JP Morgan report that management has indicated Armada Claire will be sold off within the next few months. No other research report mentioned that the sale would occur in the matter of months.

Posted by winmal > 2022-03-18 16:27 | Report Abuse

Thanks nikicheong, always post timely information, retail investors have overdone over... although Armada have result a record profit but share price still 0.415 which 2014 price was Rm2.50

Posted by MM78 > 2022-03-18 16:31 | Report Abuse

Well said ! NikiCheong for "Yes, true, but higher oil price environments means three things:

1) Lower likelihood of operators defaulting on payment and/or terminating the contract prematurely due to cashflow and/or yield issues
2) Higher likelihood of contract extensions being negotiated and exercised as it becomes more cost effective to extend the life of existing producing assets by drilling new wells and tying back new fields
3) Higher number of sanctioned projects, meaning more opportunities for FPSO operators such as Bumi Armada to get new contracts "

Thank You for sharing your solid reasoning once again .

Posted by TimCoke > 2022-03-18 16:38 | Report Abuse

Last chance to ride on, firing soon

Posted by OrlandoOilSemiconIoT > 2022-03-18 17:03 | Report Abuse

No announcement means all good or not material so says BAB management

And margin calls forced selling is over just now at 0.405

Bot some at 0.405

Posted by strattegist > 2022-03-18 17:19 | Report Abuse

closed red 0.405

Posted by Ninja _07 > 2022-03-18 17:53 | Report Abuse

Thank you @nikicheong ... You're awesome as always!

Posted by KPH5328 > 2022-03-19 11:54 | Report Abuse

https://www.nst.com.my/business/2022/03/781079/russia-ukraine-conflict-raised-concerns-about-bumi-armadas-exposure-russia
Bumi Armada has two subsea construction assets in the Caspian Sea or the Armada Installer and Armada Constructor, that have worked for Russia's vertically-integrated oil company Lukoil up to December 2018.
The company had recently secured a new contract to perform pipelay work for Lukoil that will begin in the second quarter (Q2) 2022.
Additionally, it said Bumi Armada sold its three ice-class offshore service vessels (OSVs) to Lukoil on January 20, 2022, for US$44.5 million.
However, the risks are manageable as Lukoil is not owned by the Russian state and has not been subject to the US or European sanctions, CGS-CIMB Research said.
"Importantly for Bumi Armada, the US$44.5 million proceeds from the sale of the ice-class vessels have been remitted to Malaysia and used to pare down its corporate borrowings.

"Also, the ongoing contract for the two subsea construction vessels is not material to Bumi Armada. Therefore, we believe the company has the right to claim the costs of all preparatory work done to date even if the pipelaying work is ultimately abandoned," it said.

CGS-CIMB Research anticipates Bumi Armada to proceed with the Lukoil work and that it may be possible to remit profits back to Malaysia via non-Russian banks' continued access to the SWIFT payments systems.
"Hence, the risks arising from the Russia-Ukraine war on Bumi Armada may be manageable, in our view," it said.

Posted by KPH5328 > 2022-03-19 12:00 | Report Abuse

USD200 mil contract from Lukoil, press release in Apr 2012

Posted by Eric Lim > 2022-03-19 14:17 | Report Abuse

press release in Apr 2012, What are you trying to tell? History?

Posted by superrr > 2022-03-21 10:10 | Report Abuse

Bangla unable to help themselves, where got $ to buy....hahaha

Posted by superrr > 2022-03-21 10:12 | Report Abuse

Maybe ky will talking to buy more ?...hihi

Posted by superrr > 2022-03-21 10:13 | Report Abuse

Undervalue, undervalue, undervalued again to promote.......

Posted by fudrud > 2022-03-21 10:33 | Report Abuse

Very kindly driven down to 40 sen so that we can be happy for another six months whenever we see a daily gain...

Posted by strattegist > 2022-03-21 14:06 | Report Abuse

steady

Posted by DatoKyle > 2022-03-21 23:00 | Report Abuse

Tmr will be a good day for ARMADA.. Tp 0.46 ++ end of tmr trading day !

Posted by Qqqqqqqq111111 > 2022-03-22 01:03 | Report Abuse

buybuybuy

Posted by bullmarket1628 > 2022-03-22 06:50 |

Post removed.Why?

Posted by bullmarket1628 > 2022-03-22 07:02 | Report Abuse

Oil Prices Jump As European Countries Consider Banning Russian Crude
By Tsvetana Paraskova - Mar 21, 2022, 9:00 AM CDT

https://www.google.com/amp/s/oilprice.com/Energy/Oil-Prices/Oil-Prices-Jump-As-European-Countries-Consider-Banning-Russian-Crude.amp.html

Oil prices rallied early on Monday amid EU consultations about potentially joining the U.S. in banning imports of Russian oil.
As of 7:45 a.m. ET on Monday, WTI Crude was up 3.87% at $108.91 and Brent Crude was trading up 3.93% at $112.30. 

Posted by hoot9e996 > 2022-03-22 09:57 | Report Abuse

when you gave up on this counter, it really show a comeback lol.

Posted by OrlandoOilSemiconIoT > 2022-03-22 10:51 | Report Abuse

Margin calls forced selling cleared

Fog of war clearing....

Posted by strattegist > 2022-03-22 11:05 | Report Abuse

steady green

Posted by nicholas99 > 2022-03-22 11:23 | Report Abuse

big selling. big trap.

Posted by i3lurker > 2022-03-22 16:10 | Report Abuse

looks like 43 sen will need more days

Posted by DatoKyle > 2022-03-22 21:05 | Report Abuse

My dad told me that under-valued ARMADA got potential de ! Will soar very very soon ! Tp 45 ++ tmr !

Posted by CHLEONG888 > 2022-03-23 07:58 | Report Abuse

Fly to the moon .....

Posted by TimCoke > 2022-03-23 09:44 | Report Abuse

today 0.435, then go down a little, make the bars look nicer.

Posted by i3lurker > 2022-03-23 11:11 | Report Abuse

I am shopping and using this format first time.
This new website is real stupeeeeeed wtf

Posted by strattegist > 2022-03-23 11:45 | Report Abuse

slow

Posted by TimCoke > 2022-03-23 12:09 | Report Abuse

0.42 d, then later make up abit

Posted by nikicheong > 2022-03-23 13:31 | Report Abuse

Lots of positive news for Bumi Armada recently actually. All the more baffling for the fall in share price, as the company has confirmed two key matters, that are:

1) The proceeds from the 3 ice class vessels sold in Russia had already been received in full and used to pare down debts in January 2022.

2) The two SC vessels in the Caspian Sea are not materially affected from the Russia-Ukraine war.

Now, on to the positive news:

1) US$50mil contract secured with Lukoil for the two SC vessels. Recall, these SC vessels were sitting idle for more than two years! They've been incurring depreciation, impairment and other misc charges. Now, with the contract, we expect it to cover the depreciation and other misc fixed costs (such as salaries), and also no further impairment. On top of that, we can expect minimum of 10% net profit margin. All things said, this will reverse the losses, and lead to some profits. So the net impact to the bottom line won't just be the 10% net profit margin, but rather the 10% + the losses sustained the per quarter in the past.

2) Mumbai Port FSRU contract is going ahead as planned, according to various Indian sources. It's a small 50-50 JV project with Shapoorji that will see at most around US$5-8 mil of net profits to the company per year, but still something.

3) TGT field is very healthy in Vietnam. Field operators seeking to extend field license from the Vietnam government till 2031 (they already have a prior extension to 2026). Current FPSO contract is only until Nov 2024. Very high chances of further 2-7 years extension, and this is further strengthened by the fact that there is active drilling going on at the field. In 2022 4 new wells were drilled, and in 2023 2 new wells will be drilled. All in all, this will inevitably extend the production plateau, benefitting Bumi Armada.

4) Active bidding for 2 contracts in Angola. One is with Eni in the Agogo field in Block 15/06, where Bumi Armada already has a FPSO, the Armada Olombendo. Another bid is with TotalEnergies in the Cameia-Golfinho field. For this, their competitors are MISC and Yinson. Strong chance Bumi Armada secures either one project. For the Eni project, they stand a strong chance as it is a field in which they already have an existing FPSO. For the TotalEnegies project, a strong chance as Yinson and MISC are busy with their multiple Brazil projects. With the improvement in the debt profile and sale of OSV assets (and likely sale of Armada Claire FPSO), it is possible that Bumi Armada could take on one of these projects (but not both) without the need for a rights issue.

5) Bumi Armada along with Shapoorji are unlikely to be penalised for the delays surrounding the Armada Sterling V FPSO, as the issues there seem to be with field owner ONGC. On the FPSO side, Bumi Armada-Shapoorji appear to be on-track to deliver their side of the bargain.

Posted by purple70 > 2022-03-23 13:58 | Report Abuse

Thanks nicki cheong!

Theses are the kind of comments we should have here! Well analysed

Posted by Macgyver11 > 2022-03-23 14:41 | Report Abuse

Eeeem..I see now day even do analyst also no point. Sometime price doesn't act to the fundamental.

Posted by i3lurker > 2022-03-23 15:06 | Report Abuse

Yes
share market is about Greed and EQ
IQ has got nothing to do with it.

Posted by i3lurker > 2022-03-23 15:17 | Report Abuse

dun be confused
its very simple
Standard 6 fellers knows how to do it and make millions

Red means buy
Green means sell

if you are color blind, no one can help you.

Posted by i3lurker > 2022-03-23 15:30 | Report Abuse

the buying stops when you dun see red
remember again.......
Red means buy
Green means sell

if its white you go to Jenja Club to "kow lui" maybe you might meet sslee there

Posted by TimCoke > 2022-03-23 15:46 | Report Abuse

making up, look better for tomorrow

Posted by MoneyMakers > 2022-03-23 15:52 | Report Abuse

Nice dip today..current range just need pick entry & wait

Fundamentals very strong..still super discount

Posted by i3lurker > 2022-03-23 16:41 | Report Abuse

42.5 sen looks like breaking

Posted by i3lurker > 2022-03-23 17:22 | Report Abuse

maybe tomorrow then

Posted by awesome20 > 2022-03-23 17:23 | Report Abuse

waiting to break 450

Posted by koowakzai > 2022-03-23 18:22 | Report Abuse

Company free cash flow yield is healthy. Turn around is coming.

Posted by hoot9e996 > 2022-03-23 23:23 | Report Abuse

round 2 of oil price spike. but malaysia O&G no power 1.

Posted by Icon 888 > 2022-03-24 02:09 | Report Abuse

Oil 150 Boleh ke?

Posted by bullmarket1628 > 2022-03-24 06:32 |

Post removed.Why?

Posted by bullmarket1628 > 2022-03-24 07:00 | Report Abuse

Oil jumps 5% as Caspian pipeline disruption adds to supply fears
By David Gaffen
March 24, 20223:17 AM GMT+8
Last Updated 4 hours ago. Energy

https://www.reuters.com/business/energy/oil-prices-resume-climb-after-us-stockpiles-drop-tight-market-2022-03-23/

NEW YORK, March 23 (Reuters) - Oil prices jumped 5% to over $121 a barrel on Wednesday as disruptions to Russian and Kazakh crude exports via the Caspian Pipeline Consortium (CPC) pipeline added to worries over tight global supplies.
The situation adds to market worries about the ripple effect of heavy sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine.
The CPC pipeline is a significant supply line for global markets, carrying around 1.2 million barrels per day of Kazakhstan's main crude grade, or 1.2% of global demand.

Brent crude futures settled up $6.12, or 5.3%, to $121.60, while U.S. West Texas Intermediate (WTI) crude futures rose $5.66, or 5.2%, to $114.93 a barrel.
Oil benchmarks have been steadily rallying since Russia invaded Ukraine a month ago in what it calls a "special operation" and United States and its allies slapped heavy sanctions on that nation, disrupting worldwide oil trade.
Russia exports between 4 million and 5 million barrels of crude every day, making it the world's second-largest exporter behind Saudi Arabia. Analysts have varying estimates of how much oil will be unable to make it to market.

Posted by Newbies93 > 2022-03-24 08:21 | Report Abuse

This counter can enter or not? Got hope?

Posted by hoot9e996 > 2022-03-24 08:30 | Report Abuse

last time oil price spike, this counter heavy selling.
touched around 38c before reversal, can try your "luck"