$HIBISCS (5199.MY)$ (1). The concern about capital expenditu...
$HIBISCS (5199.BMS)$ (1) The concern about capital expenditure from MB is not a concern at all. The reason for the lower TP from Jeremy Yap of MB is that his NPV is lower than others. Very low. Any company can easily obtain loans from banks, such as E&O, Parkson.
(2) Reduce revenue for the 2025 fiscal year. The production target for 5199 is 2025-2026. 5199 plans to produce 35,000-50,000 barrels per day. As of today, 5199 has already achieved the lower limit of the 2025-2026 target, which is 35,000 bpd.
(3) Decrease in existing assets as of the 2025 fiscal year. Sometimes, they intentionally do this. When prices are high, you sell everything you get. When prices are low, you keep some. We have been doing this. Crude oil and liquefied natural gas tankers are currently moored nearby, waiting to take off/unload. There are also other areas in the 5199 pipeline, such as the North Sea and PM3 CAA, expected to come online early next year. This includes Brunei assets once TotalEnergie agrees. It seems that 5199 is very confident that this will happen soon. Existing employees just need to switch from TotalEnergie's fire-resistant work clothing to Hibiscs and then they can leave.
(4) As for the lower exchange rates and crude oil prices. We, especially those in the oil and gas upstream industry, know that we can always increase production to compensate for this. Admittedly, Brent crude oil once fell below $40 and even dropped to $21 due to new entrants in the shale oil market. OPEC didn't want to lose market share, so they lowered prices to maintain market share. Now, due to fracking bans in many countries, hydraulic fracturing is prohibited for extracting crude oil.
(5) 5199 has predicted that Brent crude oil will further decrease within the range of 72-75 starting from 2025. They have developed a mitigation plan.
I found that these concerns have been exaggerated without considering tanks that will not explode, structures that will not fail, and ships that will not sink, which are built by owners or companies.
(2) Reduce revenue for the 2025 fiscal year. The production target for 5199 is 2025-2026. 5199 plans to produce 35,000-50,000 barrels per day. As of today, 5199 has already achieved the lower limit of the 2025-2026 target, which is 35,000 bpd.
(3) Decrease in existing assets as of the 2025 fiscal year. Sometimes, they intentionally do this. When prices are high, you sell everything you get. When prices are low, you keep some. We have been doing this. Crude oil and liquefied natural gas tankers are currently moored nearby, waiting to take off/unload. There are also other areas in the 5199 pipeline, such as the North Sea and PM3 CAA, expected to come online early next year. This includes Brunei assets once TotalEnergie agrees. It seems that 5199 is very confident that this will happen soon. Existing employees just need to switch from TotalEnergie's fire-resistant work clothing to Hibiscs and then they can leave.
(4) As for the lower exchange rates and crude oil prices. We, especially those in the oil and gas upstream industry, know that we can always increase production to compensate for this. Admittedly, Brent crude oil once fell below $40 and even dropped to $21 due to new entrants in the shale oil market. OPEC didn't want to lose market share, so they lowered prices to maintain market share. Now, due to fracking bans in many countries, hydraulic fracturing is prohibited for extracting crude oil.
(5) 5199 has predicted that Brent crude oil will further decrease within the range of 72-75 starting from 2025. They have developed a mitigation plan.
I found that these concerns have been exaggerated without considering tanks that will not explode, structures that will not fail, and ships that will not sink, which are built by owners or companies.
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104260041 : Buying more?
田東正 OP 104260041 : My account has already lost 1.2 million Malaysian Ringgit, I don't have money to buy tickets. Wait a little longer, when the RHB dividends are received, then buy all into the PetroChina. It's too cheap at 5199, just buy as much as you want with money!![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
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