20151022-Maybank_KERPL-Regional_O_il___Gas_11页_785kb

Regional Oil & Gas Summary

Core Content Overview

This document provides an overview of the oil and gas market dynamics in the Asia-Pacific region, with a focus on price movements, company performance, and analyst ratings. It also includes news headlines and valuation data for key players in the sector.

Oil Price Movements

• Brent Crude Oil fell by 1.8% to USD47.85/b.
• WTI Crude Oil dropped by 2.4% to USD45.20/b.
• China Daqing Spot increased by 0.1% to USD42.32/b.
• LNG Northeast Asia CFR decreased by 0.1% to USD7.03/MMBtu.
• Singapore 92 RON Spot fell by 0.2% to USD58.65/barrel.
• Gasoil 500 ppm SG Spot dropped by 0.1% to USD58.93/gallon.
• 3.5% 180cst Fuel SG Spot fell by 0.6% to USD241.58/mt.

News Headlines

1. Oil slides on inventory build (Upstream, 21 October 2015):

   • Oil prices fell about 2% to three-week lows.
   • US crude oil inventories rose 8 million barrels, exceeding expectations.
   • Significant drawdowns in petrol and distillates prevented a steeper decline.

2. China crude stocks up for fourth straight month (Platts, 21 October 2015):

   • China registered a 784,000 b/d crude stock build in September.
   • This compares to a 47,000 b/d rise in August.
   • China does not release official data, and Platts uses supply and refinery throughput data for calculations.

3. Iran seeks 20% domestic stake in joint ventures (FT, 19 October 2015):

   • Iran's chief architect of new oil contracts stated that domestic companies should have a minimum 20% stake in joint ventures with international energy majors.

4. Europe and Asia oil groups target Iran (FT, 21 October 2015):

   • Energy executives from Europe and Asia are meeting with Iranian counterparts.
   • The lifting of sanctions is welcomed, and foreign companies are expected to return to Iran.

5. Cairn India profits plunge (Upstream, 21 October 2015):

   • Cairn India's profit dropped by 70% in Q2.
   • Revenue fell by 44% year on year, despite higher production.
   • The profit drop was less than expected by analysts.

Latest Reports

1. Yinson Holdings:

   • Secures 2nd extension for FPSO Adoon.
   • Day rates are similar but with a longer tenure of 3 years.
   • A growth stock with strong earnings and appetite for new FPSO projects.
   • Reiterate BUY and MYR4.35 target price.
   • Special dividend payout is likely after the sale of non-O&G business.

2. UMW Oil & Gas:

   • Tough, soft, weak (SELL).
   • Naga 8 secured a charter at sub-USD100k DCR, but overall low utilization is a concern.
   • 75% of rigs are idle.
   • Raise core net loss forecasts for 2015-17.
   • Reiterate SELL with MYR0.80 target price.

3. Icon Offshore:

   • Terminates vessel order.
   • Reimbursement of MYR13.7m is expected.
   • May consider similar actions for other vessel orders if market conditions remain weak.
   • Maintain SELL and MYR0.25 target price.

4. Perisai Petroleum:

   • Proposes a 10% private placement to raise about MYR40m.
   • Aimed at repaying loans.
   • Maintain SELL with MYR0.22 target price.

Valuation Summary

Asian Oil & Gas Companies

Asian Oil-Service Companies

Analysts Contact

• Howard Wong (HK/CHINA): (852) 22680648, howardwong@kimeng.com.hk
• Jigar Shah (INDIA): (91) 226623 2632, jigar@maybank-ke.co.in
• Pandu Anugrah (INDONESIA): (62) 21 2557 1137, pandu.anugrah@maybank-ke.co.id
• Liaw Thong Jung (MALAYSIA): (603) 2297 8688, tjiaw@maybank-ib.com
• Michael Bengson (PHILIPPINES): (63) 28498840, micheal bengson@maybank-atrke.com
• Yeah Chee Keong (SINGAPORE): (65) 6231 5842, yeakcheekeong@maybank-ke.com.sg
• Sutthichai Kumworachai (THAILAND): (66) 2658 6300 × 1400, sutthichai.k@maybank-ke.co.th
• Le Nguyen Nhat Chuyen (VIETNAM): (84) 844555888 × 8082, chuyen.le@maybank-kimeng.com.vn
• Truong Quang Binh (VIETNAM): (84) 444555888 × 8087, binh.truong@maybank-kimeng.com.vn

Additional Notes

• www.baogaoba.xyz is noted as the source for exclusive collection, daily updates, and free sharing.
• All forward-looking estimates and multiples for companies not under Maybank Kim Eng's coverage are from Bloomberg consensus.
• Average multiples and yields are weighted by market capitalization.