Posted by pang72 > 2021-06-06 13:27 | Report Abuse

Apa jadi on Tuesday?
Some wanna cash out,
Some wanna buy,
Some limit up
Some limit down..

I also don't know who is right?

Posted by LittlePony > 2021-06-06 13:30 | Report Abuse

Oli out put x2. Profit x2. Oil price 70+
Share price 0.655x2 = 1.3???
Lol.......

Posted by Shinobi > 2021-06-06 14:14 | Report Abuse

I SELDOM write or express my personal opinion on politics and business, and furthermore I am not good in business. However, I can see during Tun M administration politic and business work side by side and always intertwined. This environment continues in “Boss Ku” administration .....and after the fall of UMNO, the same things continues to happened under the so called people government. The PKR....then PN.... Things haven’t changed in the last 50 years – they have only gotten worse. Every politic agenda in Malaysia always be associated with the business......politic funding!!!!!!
As local Malaysian from Sarawak...I am proud of myself, my country and my state. Everything is fair and good except the politic...thats remind me to my late father, he said “ Jangan sekoh main politik sebab politik tok kemaik” (don’t be in politic, politic is dirty).....may be what he said is true....
I have a chance to work in politic, few years ago and one of the task is fund rising for political fund....so where to find fund... .I am confused.. and one of my college give me list, a list of companies, some listed is bursa and some not.....he said see them ask for it....they know what to do....since then that was I did .....till retired 7 years ago...many dirty things happened in front of my eyes...My late father is right.
Recently, I see a local listed company from Sarawak been accused of unethical financial activities.....been reported to authorities and been tarnish their reputation in online ...thats recalled me of an incident similar to this during my work in politic...there is a time we need to tarnish the source of funder reputation when we can’t tarnish the individual....stop the source of money and then negotiate.....Things never change....either in Semenanjung or in Sabah and Sarawak..., I saw many companies been victim.. Sarawak companies also never escape..........
So, the recent incident involved local listed company from Sarawak........anything can happen, Is it a real fraud and unethical activities? a business espionage? or another political agenda? who’s knows.....
Maybe we need to look back on the similarity of the previous incident.....to this incident....

Posted by superman87 > 2021-06-06 14:49 | Report Abuse

company expand at the right time?

Posted by macho8 > 2021-06-06 16:31 | Report Abuse

Can I buy below RM0.80? Any advice?

Posted by izoklse > 2021-06-06 17:01 | Report Abuse

It is not for contra player

Posted by twynstar > 2021-06-06 17:17 | Report Abuse

If we read through these 27 pages of Proposed Acquisition of Repsol Assets,
https://www.hibiscuspetroleum.com/wp-content/uploads/2021/06/HPB-Proposed-Acquisition-of-Repsol-Assets-Final.pdf

We noted that Hibiscus gave us a lot of assumptions and estimated numbers, but Hibiscus didn't tell us the most important number, which is their Proposed Acquisition is based on how much of Brent oil price, USD 40/bbl ?? USD 50/bbl ?? or USD 60/bbl ??

So how to calculate this Brent oil price?

From the document of Proposed Acquisition of Repsol Assets, we know that :
1) Total Purchase Consideration is USD 212.5 million,based on Effective Date of 1 January 2021
2) Daily net production rate from Repsol Assets (including gas) = 17,400 boe/day
3) Based on Hibiscus’ estimate, EBITDA contribution of USD135m (RM558.8m) is expected in calendar year 2022 from Repsol Assets
4) Based on conversion rate of USD = MYR4.139

From document Investor Presentation May 2021, page 39
https://www.hibiscuspetroleum.com/wp-content/uploads/2021/05/2021-Hibiscus-Investor-Presentation-May-R1.pdf

We know that:
1) EBITDA margin of North Sabah : 40% - 60%
2) EBITDA margin of Anasuria Cluster : 40% - 70%

So, based on EBITDA margin 40%-60%, we have 3 possible prices:

1) If EBITDA margin is 40% of revenue ,
Revenue from Repsol= RM 558.8m ÷ 0.4 = RM 1397m
Estimated Brent oil price = RM 1397m ÷365÷4.139÷17400 = US 53.14/bbl

2) If EBITDA margin is 50% of revenue ,
Revenue from Repsol= RM 558.8m ÷ 0.5 = RM 1176.6m
Estimated Brent oil price = RM 1176.6m÷365÷4.139÷17400 = US 42.52/bbl

3) If EBITDA margin is 60% of revenue ,
Revenue from Repsol= RM 558.8m ÷ 0.6 = RM 931.3m
Estimated Brent oil price = RM 931.3m ÷365÷4.139÷17400 = US 35.43/bbl

The closing price of Brent oil on 31 Dec 2020 was USD 51.70/bbl

Conclusion : It is safe to say that the Proposed Acquisition in based on Brent oil price around USD 50/bbl

Posted by superman87 > 2021-06-06 18:42 | Report Abuse

Conclusion : It is safe to say that the Proposed Acquisition in based on Brent oil price around USD 50/bbl

if true, then hibiscus immediately earn in book asset value based on today oil price.

Posted by malpac63 > 2021-06-06 18:54 | Report Abuse

Translation from Nanyang

Kenneth Pereira, the managing director of Dahonghua Petroleum, said at a press conference on Saturday: "The EBITDA contributed by the new assets is equal to twice the current average."

He continued that Safflower Petroleum will obtain an EBITDA of RM213.3 million in the 2020 fiscal year; if the above-mentioned RM558.8 million is combined, the EBITDA in 2022 will be close to the level of RM800 million.

In addition, the company also estimates that the new assets can bring in a net cash inflow of US$255 million (approximately RM1.1 billion) between 2021 and 2025.

Kenneth Pereira explained that once more funds are obtained, existing assets will be invested to increase oil and gas production.

He does not rule out that he will purchase more new assets in the future to expand the company's asset portfolio.

"However, at this stage, we will focus on handling the transfer procedures and execution of Repsol assets."

"We need to handle the work at hand carefully."

On the other hand, the information provided by Safflower Petroleum shows that, according to the estimation of RPS Energy Consulting Co., Ltd., the total value of the above assets is US$285 million (approximately RM1,176.48 million).

The price of the assets purchased by Safflower Oil is US$212.5 million (approximately RM877 million), which is equivalent to a discount of approximately 25%.

Kenneth Pereira said: “It can be seen that Safflower Petroleum has purchased high-quality assets at an ideal price. Compared with other cases of Malaysian oil companies acquiring assets, this is already a very low price.”

Three-fold increase in natural gas production

On the other hand, according to the information provided by Dahonghua Petroleum, after purchasing the above assets, the company's daily net oil and condensate production will double from the existing 9,000 barrels to 18,500 barrels.

Including natural gas, it can produce 26,800 barrels of oil equivalent (BOE) per day, which is about three times higher than the current 9,400 barrels of oil equivalent.

Balancing the oil portfolio

Kenneth Pereira also said that through the acquisition of the above-mentioned assets, the flag of the natural gas field can be used to better balance the asset portfolio of Safflower Oil.

"Previously, we only focused on oil production and had very limited involvement in natural gas. Therefore, we wanted to expand our footprint in the natural gas field through this acquisition."

Looking back at history, Safflower Oil announced on the 2nd of this month that it would invest US$212.5 million to acquire Repsol’s exploration and production assets in my country and Vietnam.

Among them, they include 35% of the Malaysian offshore PM3 CAA production sharing contract (PSC), 60% of the 2012 Kota Kinabalu Petroleum PSC, 60% of the PM305 PSC, 60% of the PM314 PSC, and Vietnam's Block 46 CN 70% of the shares.

This corporate event is also part of Repsol's streamlining of global operations and exit from the Malaysian market.

Related acquisitions are expected to be completed by the end of this year.

Will not reduce the willingness to pay dividends

Safflower Petroleum pointed out that this asset acquisition will not reduce the company's willingness to pay dividends in the future.

Kenneth Pereira said that as long as the oil price is still at an ideal level, which benefits Safflower Oil, the company will have the incentive to continue to pay dividends, and even pay higher dividends.

"Whether or not dividends are paid, or how many dividends are paid, depends on oil price trends."

He also said that thanks to the steady recovery of global economic activity, oil prices will remain at an ideal level in the next few years.

On the other hand, the funds to purchase assets come from the issuance of convertible redeemable preferred shares (CRPS), internal financing and bank loans.

As for the purchase of the above assets, how will it affect the debt level of Safflower Oil?

Kenneth Pereira estimates that after the completion of the acquisition, the company's total debt will increase to the level of 200 million to 300 million ringgits.

"As of fiscal year 2020, the company's debt ratio is about 0.04 times. We will try our best to maintain debt at this comfortable level."

He also explained that the company will not raise funds through the issuance of rights shares. "We already have enough funds. Moreover, it is not easy to raise funds by issuing rights shares."

Posted by izoklse > 2021-06-06 20:09 | Report Abuse

Terbaik :

On the other hand, the funds to purchase assets come from the issuance of convertible redeemable preferred shares (CRPS), internal financing and bank loans.

He also explained that the company will not raise funds through the issuance of rights shares. "We already have enough funds. Moreover, it is not easy to raise funds by issuing rights shares."

Posted by derrtan > 2021-06-06 20:35 | Report Abuse

https://www.enanyang.my/%E8%B4%A2%E7%BB%8F%E6%96%B0%E9%97%BB/%E8%B4%AD%E6%96%B0%E8%B5%84%E4%BA%A7%E6%89%A9%E5%85%85%E6%B2%B9%E6%B0%94%E4%BA%A7%E9%87%8F-%E5%A4%A7%E7%BA%A2%E8%8A%B1ebitda%E6%96%99%E5%A2%9E559%E4%BA%BF

Posted by derrtan > 2021-06-06 20:37 | Report Abuse

No right issue. the asset is acquired 25% discounted from market price now

Posted by vinc3362 > 2021-06-06 21:17 | Report Abuse

Bot a discounted and producing asset when Brent ~USD 50/barrel.

Purchase financed through previous funds raised from CRPS, bank loans and internal cashflow. No rights issue.

Once purchase completed, production tripled from current rate.

If Brent can maintain USD 70/barrel, how much will be the profit &/or cashflow be increased ???

Slamdunk decision on Hibiscus.

Posted by 其辉 > 2021-06-06 21:48 | Report Abuse

If the Brent oil price can maintain at current price, then it will bring more profit to Hibiscus

Posted by kakiminyak > 2021-06-06 22:13 | Report Abuse

Wish you guys all the best. Those who saw this coming and went in early, congrats. Those that will hold on and not play the short term roller coaster, even better. The glove counters last year was a good lesson. I made the mistake of selling out too soon. Only to see the stock price of supermax climb by more than 10 times in just a few months. This time I will not make the same mistake. This counter has solid potential. Maybe best to hold for a few years. No more itchy fingers playing with the keyboard.

Posted by Godofgambler > 2021-06-06 23:32 | Report Abuse

Just hold but not for years la..too long.
We need money also from time to time..
Of course we can't sell early and use holding power.
Sell only when profit reach 300 to 500%

Posted by Godofgambler > 2021-06-06 23:38 | Report Abuse

Seems like all news is talking about oil booming....
Congratulations to those that been holding before covid era

Posted by Godofgambler > 2021-06-06 23:40 | Report Abuse

Look like the answer is yes....

LittlePony Oli out put x2. Profit x2. Oil price 70+
Share price 0.655x2 = 1.3???
Lol....

Posted by kakiminyak > 2021-06-06 23:40 | Report Abuse

Godofgambler Just hold but not for years la..too long.
We need money also from time to time..

Let's hope for some dividend. Maybe next year?

Posted by Gooner82 > 2021-06-07 04:10 | Report Abuse

Primary wave 3 is on the way for hibiscus. At fibo 161.8pct, target price is around 1.30. Can keep for few months and will eventually reach this tp. Commodity super cycle has just started and crude oil will be one of them

Posted by krish52 > 2021-06-07 04:47 | Report Abuse

the management kept on spreading their wings. although looks like opportunities, it may not be quite acceptable to the investors. i bought the shares after the initial ipo at very high price. i yet to get my capital gain or any returns until today except 0.005 sen dividend.

Posted by kakiminyak > 2021-06-07 09:23 | Report Abuse

The share market is like going out to fish in a vast ocean in a little boat. You may get some fish to eat but at the same time you may become food for some sharks swimming around your little boat. It is definitely a very interesting place to be. Just don't stick your hand out too much. Get ready to move away quickly when you sense danger and ready to move in fast and furious when there is a wonderful opportunity. Sometimes you have to grab and go, sometimes you can stay and keep pulling in. There is no one method to use all the time. No such formula. You must change your style as you go. Just like water will change it's shape according to the vessel you put it in. I am from the old days. The Bruce Lee era. Ha ! Ha !

Posted by Godofgambler > 2021-06-07 09:29 | Report Abuse

https://oilprice.com/Energy/Oil-Prices/Well-See-200-Oil-Russia-OPEC-MinistersBlastIEAs-Net-Zero-Plan.html

Posted by izoklse > 2021-06-07 09:31 | Report Abuse

Based on current oil movement, potential for Brent to test USD 75 and continue to USD 80.

Posted by lloydlim > 2021-06-07 17:27 | Report Abuse

Hibiscus Petroleum Bhd (HPB) has the potential to earn about US$255 million (RM1.1 billion) in net cash inflow over the next five years once the acquisition of Fortuna International Petroleum Corp (FIPC) from Repsol Exploración SA (Repsol) materialise by the end of 2021. Source fr New Straits Times.

Posted by Jjkcl > 2021-06-07 17:48 | Report Abuse

high future profit margin,gd

Posted by SBHeng > 2021-06-07 18:36 | Report Abuse

Buy

Posted by Sarara > 2021-06-07 19:32 | Report Abuse

Tomoro will be limit up !!!

Posted by LittlePony > 2021-06-07 19:44 | Report Abuse

Maybe goreng 1 to 2 days........ Ahahahaha

Posted by Prashan Ram > 2021-06-07 19:51 | Report Abuse

when u guys say limit up, sure wont be limit up..lol

Posted by izoklse > 2021-06-07 20:04 | Report Abuse

Hoping for Brent steady above 71 USD so that tomorrow Hibiscus can have a nice push.

Posted by LittlePony > 2021-06-07 20:13 | Report Abuse

@Ram. Dun like that..... I wait it very long time lio. On hand still hold 1.04....lol

Posted by Godofgambler > 2021-06-07 20:18 | Report Abuse

High TP Rm2
Will only let go when it reach Rm2

Posted by Reap88 > 2021-06-07 20:19 | Report Abuse

The profit forecast for Hibiscus seems too good to be true. If indeed that good why would Repsol want to sell and cash out. To buy Repsol stake is no small sum. Is there anywhere in the press release or report how Hibiscus intend to finance the purchase of Repsol stake? If more PP, RI, ESOS shareholders stake will be diluted.

Posted by izoklse > 2021-06-07 20:29 | Report Abuse

Reap88 this is for you. The rest pergi baca sendiri ma.

https://www.energyvoice.com/oilandgas/asia/327445/repsol-set-to-sell-handful-of-southeast-asia-assets-to-hibiscus/

Following the sale, Repsol will still have a large footprint in Southeast Asia, notably in Indonesia and Vietnam.

“The sale of the company’s upstream assets in Malaysia and in Block 46 CN in Vietnam supports Repsol’s broader rationalisation of its global portfolio, streamlining its presence from 25 to 14 core countries within the framework of the multi-energy company’s 2021-2025 Strategic Plan that focuses on the geographic areas with the greatest competitive advantages,” said Repsol.

This deal follows the sale of the company’s producing assets in Russia, the cessation of oil production activities in Spain and the exit from exploratory activity in other countries, added Repsol.

https://www.enanyang.my/%E8%B4%A2%E7%BB%8F%E6%96%B0%E9%97%BB/%E8%B4%AD%E6%96%B0%E8%B5%84%E4%BA%A7%E6%89%A9%E5%85%85%E6%B2%B9%E6%B0%94%E4%BA%A7%E9%87%8F-%E5%A4%A7%E7%BA%A2%E8%8A%B1ebitda%E6%96%99%E5%A2%9E559%E4%BA%BF

On the other hand, the funds to purchase assets come from the issuance of convertible redeemable preferred shares (CRPS), internal financing and bank loans.

He also explained that the company will not raise funds through the issuance of rights shares. "We already have enough funds. Moreover, it is not easy to raise funds by issuing rights shares."

Posted by macho8 > 2021-06-07 20:57 | Report Abuse

Transaction price will open at RM0.655 tomorrow. No surprise at all.

Posted by malpac63 > 2021-06-07 21:00 | Report Abuse

From The Straits Times



BUSINESS
Hibiscus Petroleum to rake in RM1.1bil from Fortuna Int Petroleum

By Ayisy Yusof
June 7, 2021 @ 1:31pm
Hibiscus Petroleum Bhd (HPB) has the potential to earn about US$255 million (RM1.1 billion) in net cash inflow over the next five years once the acquisition of Fortuna International Petroleum Corp (FIPC) from Repsol Exploración SA (Repsol) materialise by the end of 2021.
Hibiscus Petroleum Bhd (HPB) has the potential to earn about US$255 million (RM1.1 billion) in net cash inflow over the next five years once the acquisition of Fortuna International Petroleum Corp (FIPC) from Repsol Exploración SA (Repsol) materialise by the end of 2021.
KUALA LUMPUR: Hibiscus Petroleum Bhd (HPB) has the potential to earn about US$255 million (RM1.1 billion) in net cash inflow over the next five years once the acquisition of Fortuna International Petroleum Corp (FIPC) from Repsol Exploración SA (Repsol) materialise by the end of 2021.

The oil and gas (O&G) exploration and production company also estimated earnings before interest, taxes, depreciation, and amortisation (EBITDA) contribution of US$135 million (RM558.8 million) from the Spanish asset in the calendar year 2022.


Managing director Dr Kenneth Pereira said the transformative acquisition is expected to enhance HPB's financial ability to reinvest into the existing asset portfolio and expand its growth prospects by acquiring high-quality production assets while paying dividends to reward its shareholders.

"Over the last six months, we have been bidding for this asset. Thankfully, the oil prices also rebounded into a reasonable range now for us to be able to enjoy some upside from this asset," he said at a virtual press conference on Saturday.

Pereira said oil prices have bounced to about US$72 per barrel despite the ongoing Covid-19 crisis globally, as aircraft around the world are still grounded and many economic activities are hampered by the efforts to contain the virus.

"At the time when we were bidding for the FIPC asset, oil prices ranged between US$55 and US$65 per barrel but now nearing US$72 per barrel.

"We believe oil prices still hold at a strong level. If the pandemic issues get resolve gradually across the world, we believe oil prices may trend a bit higher," he added.

To recap, HPB issued a single-tier interim dividend of 0.5 sen per share for the financial year ending June 30, 2021, despite lower oil prices at the time ranging from about US$55 to US$60 per barrel.

HPB's indirect unit, Peninsula Hibiscus Sdn Bhd, has acquired FIPC for US$212.5 million (RM879.5 million) after entering into a conditional sale and purchase agreement (SPA) with Repsol on June 1.

HPB said the acquisition is a unique opportunity for the company to acquire a high-quality asset portfolio comprising five production sharing contracts (PSC) in Malaysia and Vietnam.

The acquisition also allows the company to collectively assume Repsol's role as the operator for PM314 with a 60 per cent stake, PM305 (60 per cent), 2012 Kinabalu Oil (60 per cent), PM3 CAA (35 per cent) and Block 46 (70 per cent).

The acquisition involves five PSCs in Malaysia and Vietnam, involving 205 wells and 17 platforms, while Peninsula Hibiscus will be taking on Repsol's role as operators.

Corporate finance head Joyce Vasudevan said HPB would not be raising a full amount of US$212.5 million to complete the acquisition but rather generate funding via banks borrowing and Islamic convertible redeemable preference shares (CRPS).

"Currently, we have about RM200 million accrued from CRPS. We believe it will not be an issue for us to raise another up RM250 million, possibly via CRPS, to close the acquisition deal. HPB will generate the remaining balance from banks borrowing as part of the acquisition's settlement," she said.

Joyce said HPB is a debt-free company and have a strong cash flow from its acquiring assets.

"Hence, we can take on more debts," she said, adding that the company has no plan to raise funds via a rights issue.

"We have sufficient funding ability through other sources. However, we also don't want to unnecessarily burden our shareholder by doing a rights issue at this time," she added.

HPB has guided to keep its gearing below a comfortable level of 0.3 times in the future with expected borrowing of up to RM300 million after acquiring FIPC.

Posted by Reap88 > 2021-06-07 21:10 | Report Abuse

Thanks for the information izoklse. It is assuring that the funding will not be via RI, PP or ESOS. I hope the funding will be by way of bank financing because if convertible preference shares can also mean dilution of capital some point later in time. Hibiscus may be hard pressed to use internal funds as its liabilities currently is around RM1.3B

Posted by kakiminyak > 2021-06-07 21:10 | Report Abuse

Let's see if Hibiscus has the highest volume on bursa June 08.

Posted by izoklse > 2021-06-07 21:15 | Report Abuse

I hope dividend next year :-). hehehe.

Posted by Reap88 > 2021-06-07 21:25 | Report Abuse

Let’s see how Hibiscus open tomorrow. Best of luck everybody

Posted by pea3034 > 2021-06-07 21:33 | Report Abuse

i sure 0.65 only

Posted by Nepo > 2021-06-07 22:13 | Report Abuse

You sure RM 0.65, then i buy in lor!

Posted by lausan > 2021-06-07 22:32 | Report Abuse

Good

Posted by sampooler > 2021-06-07 22:41 | Report Abuse

Anything below 0.7 i will grab first

Posted by Godofgambler > 2021-06-07 22:48 | Report Abuse

https://www.google.com/amp/s/www.wsj.com/amp/articles/options-traders-bet-on-return-of-100-oil-11623061227

Posted by ctquay600305 > 2021-06-07 23:00 | Report Abuse

open around 0.7

Posted by flyinv > 2021-06-07 23:13 | Report Abuse

Don't underestimate the power of bilis being in lockdown...power up!

Posted by Godofgambler > 2021-06-07 23:24 | Report Abuse

Tomorrow we ikan bilis will chase after sharks.
Together we can.

Posted by m_aloha > 2021-06-07 23:26 | Report Abuse

Could hibiscus lu tmr??