In 2017 this stock crashed. Then came the painful RI and share consolidation exercise of 10:1. Good company?? Nahhh...no,thank you. Not for me. Good for contra players, though.
oil price stand above 60 usd for 2 month times, should generate a lot cash for sapura! the share price is still low due to covid case in malaysia, else at least 0.160 ad!
Hi Joshua, how oil price affect sapura earning? My understanding is sapura earning is project base (build and deliver). Can you give me some guide? TQ.
Steady but still no kfc. Why still dont want to show QR . Why so scare lah. Anyway byvthis month alao have to show right. Why take so long to decide how much the impairment amount kah. Correct?
My guess for the delay in QR, this is the first profitable quarter after rights and preference share issue. They need to figure out or negotiate with PNB about dividend and also how much dividend to pay to preference shares. But just my guess.
The impact of oil price can be split into short term and long term
Short term- Sapura through SapuraOMV actually produces oil and gas, but mostly gas. Gas prices ussually moves in tandem with oil price. so there is a direct correlation with oil price and profit when oil prices goes up.
Long term - this one is indirect and more tricky. If oil price is consistently high and expected to stay at that level, than major oil companies will go ahead with their capital spending to increase oil production ( it also means they have more profit to cover these spending). This will translate to more projects such as drilling and building up rigs and pipelines. Sapura will then bid for these projects and have a chance of winning them. With more projects in the market will also mean the rental or building cost will be higher so Sapura can make more profit .
RISK8888 Hi Joshua, how oil price affect sapura earning? My understanding is sapura earning is project base (build and deliver). Can you give me some guide? TQ. 20/04/2021 8:41 AM
If Sapura can pay dividend to shareholders. It will attract more people to jump in for long term investment. Although the Company in debt, they can take provisions for dividend to secure holding.
Hi All, thansk for all sharing on prospect of this oil counter, i think, even without dividend, or so so upcoming QR, the Sapura share price won't crash....coz sentiment is there to hold up the share price...and the fact big fund still sitting on it...
Short term- Sapura through SapuraOMV actually produces oil and gas, but mostly gas. Gas prices ussually moves in tandem with oil price. so there is a direct correlation with oil price and profit when oil prices goes up.
My question, does sapura earn $$$ for every oil & gas extracted from the ground by selling them? Or they just build the tower for extraction and only earn from building the tower?
looking forward for your further guidance. Thanks.
Walaoeh, Oil price continue to drop down to Bottomless pit! Brent now at $65.23 -1.34 -2.01% Can buy cheaper price tomorrow drop to 0.13, May collect cheaper price
its ok lah, as long as oil price stay around 60 USD, its should be sustainable for oil industry. The 60USA if stable, sustainable, it is good for industrial revitalization and recovery, and it can stop Shale oil from making an immediate come back.
That is good enough for now....
Its expected that new Covid wave will slow down the recovery, but recovery is imminent. and there are many countries which are gearing up for more oil exploration and building more oil rigs, many countries are starting new O&G projects to prepare for Oil price boom in 6-12 months time due to full recovery as soon as COvid is fading, so all these are good for upstream like Sapura, which is why we are seeing more projects being announced...
To answer: My question, does sapura earn $$$ for every oil & gas extracted from the ground by selling them? Or they just build the tower for extraction and only earn from building the tower?
Yes they do, through Sapura OMV. How it works, Sapura OMV ussually share the rig with different parties and they have a selling agreement with Petronas. So every gas extracted is sold to petronas .
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....
Undi_PKR
945 posts
Posted by Undi_PKR > 2021-04-19 16:47 | Report Abuse
PN same like BN? Only PKR govn KFC sure?