Holding Co for Oil & Gas
Consolidation of state companies engaged in oil and gas industry is among top priorities this year. Our source at the state-owned enterprises ministry said the ministry has been in series of discussions with lawyers and market authorities because it involves PT Perusahaan Gas Negara (PGAS) Tbk.
Holding Co for State Miners
The government plans to establish six holding companies in the first half of the year. One of them will consolidate state miners like Bukit Asam (PTBA), Aneka Tambang (ANTM), Timah (TINS), and INALUM. The likely outcome?
ABM Investama & Toba Bara
PT Cipta Kridatama, mining contracting subsidiary of ABM Investama (ABMM), has just been awarded US$82 million worth of contract by PT Indomining, subsidiary of PT Toba Bara Sejahtra Tbk (TOBA), a coal mining and plantation company controlled by the family of Luhut Binsar Pandjaitan (coordinating minister for politics, security, law, and human rights affairs).
Palm Oil Rally Continues: So?
KPB Nusantara, the joint marketing office of state plantations, sold all five CPO packages (4,000 tons) at Rp8593/Kg (net) Monday (Apr 4), the new high, even though rupiah appreciated against US dollar.
Indika Energy: Where is the Light?
Trading of Indika Energy (INDY) shares is still suspended by market authorities due to unusual market activity (UMA). The stock rallied 229% from its low in the past three months with significant trading volume. Financial statement of the Company for the period ended Dec 31, 2015 pointed to net loss of US$44.6 million, expanded from US$27.64 million in 2014.
Resource Alam & Mitrabara: Small, but Resilient Coal Players
Resource Alam (KKGI) is not a liquid stock. It is a small coal producer with sales revenue of US$111 million only. But, this company is probably another example of how Indonesian coal producers would survive even if weak coal prices persist.
Petrosea vs Peers
Petrosea (PTRO), subsidiary of Indika Energy (INDY), is among the best performing stocks year-to-date with gain of 66%. Financial report of the Company for the year ended Dec 31, 2015, however, pointed to significantly weaker performance in the fourth quarter with net loss of US$11 million.
Palm Oil Journal & SGRO Results
Plantation firm Sampoerna Agro (SGRO) booked net profit of Rp248 billion last year, down 27% from 2014 due to higher financial costs. The Company, interestingly, reported stronger fourth quarter than the corresponding period of 2014. In the meantime, the benchmark June 2016 contracts of crude palm oil (CPO) advanced to its new high.
Commodities: Where to Go?
Shares of commodities-related companies open Monday (March 28) trading mixed. Golden Agri Resources falls 2.3% on SGX, while First Resources gains 2.8%. Multi-commodity trading company Noble Group Ltd, meanwhile, was flat in Singapore.
DOID Yet to See the Light
Delta Dunia Makmur (DOID), parent company of coal mining contractor BUMA, booked net loss of US$8.31 million last year against net profit of US$16.31 million in 2014 due to high level of debts.