Category: Commodities

Palm Oil: How Low Will You Go?

The benchmark July 2017 contracts of crude palm oil (CPO) dropped significantly by RM57 to RM2473 per ton on the Bursa Malaysia Derivatives Tuesday (Apr 25). Contracts for October 2017 were the lowest at RM2408, reflecting anticipation of market players about higher supply in the coming months.

Read More

Growing Acquisition in Coal Industry

Thermal coal has been stabilizing above US$80 per ton since early October 2016. While volatility is anticipated due to policy changes in China, some continued to acquire coal assets in Indonesia. The most recent is acquisition of 14.74% shares in a coal mine in Kalimantan by South Korean energy company.

Read More

Coal Journal No. 15/2017: Output to Watch

Thermal coal is now traded at around US$84.1 per ton, down significantly from its peak late last year, but the commodity has been hovering above US$80 per ton for nearly seven months since early October 2017 amidst mixed views of supply-demand balance in China and India, growing output in Indonesia, and weather issues in Australia.

Read More

A More Aggressive Pertamina (1): Maurel & Prom Acquisition

Pertamina has reiterated its intention to be more aggressive in acquiring oil and gas assets in the country and overseas to meet the target set by the government to reach production of 1.9 million barrels of oil equivalent per day (boepd) by 2025. The state company has kicked off 2017 with acquisition of more shares in Maurel & Prom, which is listed on Euronext Paris.

Read More

Yan Bin’s Reignwood & Bakrie Group

Some continued speculative trading in shares related to Bakrie Group, which is seen in huge trading volume and volatility. Average trading volume of Bumi Resources (BUMI), the largest coal producer in Indonesia, for example, was 722 million shares per day in the past three months as thermal coal hovers above US$80 per ton. Average trading volume in Energi Mega Persada (ENRG), the oil and gas producer, was 561 million shares per day in the period.

Read More

Revisiting Luhut’s TOBA

Shares of coal producer and plantation company PT Toba Bara Sejahtera Tbk (TOBA) have gained significantly by 89% since October 2016 due to a combination of higher average price of thermal coal and TOBA’s expansion into power generation business. Last week, for example, TOBA’s subsidiary PT Minahasa Cahaya Lestari (MCL) signed power purchase agreement (PPA) with state electricity firm PT Perusahaan Listrik Negara (PLN) regarding 2×50 MW coal-fired power plant project in Minahasa Utara, North Sulawesi province.

Read More

Mahakam Block: With or Without Total

Total E&P Indonesie and Inpex Corporation yet to make decision about their future in Mahakam Offshore Block, whose production sharing contract (PSC) expires Dec 31, 2017. They’re expected to make final decision to take or not 30% participating interest offered by Pertamina after yesterday’s meeting at energy & mineral resources ministry.

Read More

Palm Oil Journal No. 10/2017: Output to Watch

Our preliminary data pointed to significantly higher production of crude palm oil (CPO) in Malausia and Indonesia last month, which would continue to weigh prices. Combined with higher average price of input costs, margins of plantation companies might be under substantial pressures in the second half of the year.

Read More

In GOLD They Trust

Indonesia Stock Exchange (IDX) might brace for more equities from gold-copper miners. J Resources Asia Pacific (PSAB) is offering up to 20.13 billion new shares and US$300 million 5-Year Notes. Four other gold-copper mines are expected to enter the capital market in the coming years.

Read More

Coal Journal No. 14/2017

Thermal coal retreated 1.4% to US$88.5 per ton Thursday (Apr 6), but still representing 69% gain year-on-year, lifted by supply side concerns from the tropical Cyclone Debbie and rally in crude oil market. Indonesian government, meanwhile, sets reference price of US$82.51 per ton for April 2017, an increase of 57.7% from the corresponding month of 2016.

Read More

SIPEF’s Aggressive Expansion in Indonesian Palm Oil

Crude palm oil (CPO) continues to volatile, but Belgian company SIPEF has aggressively expanded its operations in Indonesia through acquisition of oil palm plantations. After spending US$144 million for the acquisition of additional 47.71% shares in PT Agro Muko, the Company has signed heads of agreement to acquire another plantation firm for US$53.1 million last month.

Read More
Loading
error: Content is protected !!