Metals Shares & Measures to Cut Supply
Glencore’s decision to stop operation of Katanga and Mopani mines in Africa for 18 months lifted Dr Copper’s price. Indonesia’s decision to stop export of tin last month, meanwhile, contributed to higher average price of tin. These are among measures taken by metal producers to shore up prices after significant corrections from weak China manufacturing data in the past few months.
CPO & Plantation Shares
Shares of plantation companies ended significantly lower in the region Monday (Sept 7) on broad market sentiment, while crude palm oil (CPO) turned to positive territory later in the afternoon. The benchmark November contracts of CPO gained RM17 to RM2048 per ton on the Bursa Malaysia Derivatives.
Bracing for New Gas Policy
Shares of gas producer and transmission company PT Perusahaan Gas Negara (PGAS) Tbk dropped significantly by almost 11% Monday, Sept 7, morning as investors responded negatively a plan from the government to cut gas price for industrial customers, including state-owned electricity provider PT Perusahaan Listrik Negara (PLN).
Shale Gas Troubles & Coal Outlook
Financial Times published some interesting articles titled “US shale oil industry hit by $30 billion outflows” and “US shale industry braced for bankruptcies” in the past few hours to follow earlier reports from Forbes titled “Oil Goes Down, Bankruptcies Go Up—These Frackers Could be Next to Fall”.
Ramba Energy’s New Deal for Lemang Block
Ramba Energy Ltd, controlled by the Soeryadjayas, has on 6 September 2015 entered into a memorandum of understanding with a strategic investor (the Farm-in Partner) to farm-out a 25% working interest in the Lemang production sharing contract from the Company’s 80.4%-owned Indonesian subsidiary, PT Hexindo Gemilang Jaya.
CPO & Plantation Shares
The benchmark November 2015 contracts of crude palm oil (CPO) ended flat at RM2033 per ton Friday (Sept 4) after trading as low as RM2009, while December 2015 and January 2016 contracts gained RM5 and RM10 respectively on Bursa Malaysia Derivatives.
Update on 35,000 MW Program
State-owned electricity provider PT Perusahaan Listrik Negara got a boost from the government’s pledge to avoid criminalisation of officers in the handling of 35000 MW program launched by President Jokowi. But, what progresses have been made by PLN in the program so far?
Gas Supply Race at PLN & People Close to Power
After nearly six months of tender, state-owned electricity provider PT Perusahaan Listrik Negara (PLN) has finally completed the pre qualification stage. Eleven groups, including three companies close to people in power, are competing for the supply of gas to small-scale power plants with a combined 2800 MW capacity.
Newmont’s Export Extension Hinges on Smelter
PT Newmont Nusa Tenggara’s (NNT) concentrate export permit extension request is still being reviewed by the Ministry of Energy and Mineral Resources ESDM). The Ministry is determining whether or not NNT’s request has come with all the requested prerequisites fulfilled. NNT’s concentrate export permit will expire on September 18, 2015.
Relaxation of Mineral Ores Export: Who Gets What
Coordinating minister for politics, security, and human rights affairs Luhut B Pandjaitan revealed yesterday the government’s plan to allow companies already started construction of smelters to export mineral ores. Who will be benefited and threatened from the relaxation?