9月4日9时30分，公司承建的越南海阳2×600MW燃煤电厂工程烟囱钢内筒提升安装正式开始。
　　该工程烟囱分为砼外筒和钢内筒两部分，烟囱外筒高165米，采用钢筋混凝土结构；钢内筒高170米，共4束。钢内筒在组合场卷制加工为4米一节运至现场安装。烟囱钢内筒安装方法为：在烟囱163米承载平台上布置4台100吨钢索式液压提升装置，利用钢索式液压提升装置将钢内筒单束整体提升到位。
　　提升前，越南当地机械检测单位对液压提升装置进行了试吊取证，钢内筒吊装从上至下依次提升。为做到全员清楚安装过程、重视安全把控，该项目部吊装前进行了详细的安全技术交底，对吊装危险源进行了分析，并制定了液压提升装置操作规程及起吊前检查确认表。

Icon8888, there is a provision for LAD of RM25m in 2017 AR.

In Q3 2017, there was a reversal of RM18m LAD to be reclassified as contingent liabilities pending final settlement. Therefore, only specific LAD provisions are permitted.

It seems that the RM25m provision for LAD is meant for the star building. Hence, the losses from the Bank Guarantee case has already been fully provided.

http://en.vietstock.vn/2018/07/vietnam-power-plant-will-drive-jaks-profit-growth-974-329030.htm

Sslee, writing an open letter to disgrace a friend OPENLY is definitely NOT right. What does that makes you ??

warrant price is RM0.25. Conversion price yet to be fixed.

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Siaosiaoguy2018 What’s the warrants price and conversion?

DO not confused fraud case with accounting standards.

No one believes in international accounting standards ? Auditors will allow the recognition of "fake profits"?

Management has indicated during the AGM that the vietnam project will be 50% completed by the end of 2018. Given that only 28.6% work done up to June 2018, Jaks will likely book in about RM100M profit in 2nd half 2018. Therefore, the RM25m Bank Guarantee losses (51% owned), if any, will not mean much harm to Jaks' 2018 results.

Despite the LAD of RM16m in Q2, the results is still very commendable. Do note that only RM63m and RM16.9m revenues and profits respectively from vietnam were recognised in Q2. Which means only 8.6% work done is booked in 1st half 2018, thus leaving a huge room for work done recognition in 2nd half 2018.

Revived warrants is more attractive to investors. More investors will subscribe.

Results likely to be released later

The balance amounts of about RM14m are placed in escrow accounts pending settlement of "affected portion" of the land title. If Written Confirmation from Authorities not obtained, the balance amounts will be refunded and not form part of the purchase price.

Will know soon ....

The engine of growth will be the construction profit from vietnam. Expected to be around 25m in Q2.

The RM50m bank guarantee is most likely a performance bond. It is vigorously contested by Jaks. Until the final settlement reached between both parties, it is not likely to be written off by Jaks in Q2.

I must say that the gain on disposal has already been booked in Q4 2017.

Jon, there are many ways to learn. Why choose to provoke others ? You will only make more enemies. Unless learning from enemies is your ideology too. I believe it is better to learn from friends than enemies.

Calvin, a lot of successful businesses today, started off with all in bet on its sole business venture. Eg, ytlpower, genting, ioi, pmetal, airasia, etc. It is very common for businesses to do so because they often only have enough money to do just one. However, in the investing world, diversification is the prudent method. Don't bet more than what you can afford to lose. Jaks is a small company to take on a huge RM8b project aiming to change its fortune. It has to pour all in. It takes Jaks 5 years to get the project off the ground. Now 18 months to completion. You have to give Ang Lam Poah credit for this achievement. Remember, Jaks is just a RM500m company.

Icon8888, any reason why we should buy in batches over the next year ?

Icon8888, I have faith in CPECC capabilities. So, I will take advantage of the low price to buy now and hold. As it gets closer to completion, chances are the price will move higher but inherent risks remain until the plant is fully operational. Therefore, for the same amount of risks, we should take every opportunity to buy cheap.

I m just telling the truth. Jaks cannot afford to lose in Vietnam IPP. The prize for winning will definitely be rewarding.

Jaks' share of bank borrowings is close to RM1.7b, if the power plant fails, Jaks is doomed and busted. Bankruptcy is almost certain. It secured the BOT contract and a capable JV partner who in turn secured finances for the project. Is Jaks digging itself a grave, or securing itself a place in the billion ringgit roundtable ? It is a all or nothing bet by Jaks. It would be quite stupid for Jaks to bet everything for a petty prize. For now, it has to successfully complete the power plant on schedule.

Upon default, the lenders will exercise its "step-in" rights (which was not previously permitted by the vietnam gov't) to take over the power plant and continue operation to recover its loan.

It is not for Jaks to service its IPP's debts (well, maybe upon default by its JV). It is the JV, Jaks hai duong power ltd, responsibility to service its bank borrowings.

You can do your own research. Feel free to correct me if you found information proving otherwise.

Jon, I been doing research on jaks for over a year. I read so many I can't possibly remember all my sources. As I ve said, decide for yourself what to believe.

Interest rate doesn't matter much as the capacity charge takes care of the interest expense. Anyway, based on the loan taken for a similar project in vietnam, it is 5.4% average, half fixed half floating.

Jon. I have already shared a lot of information and thoughts. I didn't delete any posts. You can decide what to believe.

It is never wrong to be too conservative. When you have reservation about a stock, best to stay away rather than feeling sorry later. Can always come back later when it is clearer. Everyone has different views and perceptions, each can progress down their own path.

I have done considerable amount of research on the BOT contract, the vietnam tariff structure, the power demand landscape of vietnam. I tried to make close comparisons, like Mong Duong2, Vinh Tan 1, etc. I carried out research on their agreements with the MOIT and their PPAs with EVN. Their coal supply agreement with Vinacomin, With limited data, I finally reached my own decision to invest in Jaks.

I m happy to share my knowledge with the humble. I don't want to argue with those with differing foregone conclusion. Nothing to gain from winning an argument.

I m not here to make enemy.

The BOT projects awarded after 2010 has a completely new tariff structure to be based on its decision 41 /2010/TT-BCT, which requires tariff to be split into technology-based fixed price (capacity charge) and technology-based variable price (energy and supplementary charge).

Jaks Hai Duong power will be paid "Capacity Charge", " Energy Charge", and "supplementary Charge". Capacity charge is based on fixed price per kwh of the capacity installed. Energy charge is based on energy produced. Supplementary charge covers exchange rate fluctuation, land lease etc.

The capacity charge guaranteed a predetermined net returns on the capital invested by the operator including the interest on loan. The energy charge provide additional returns based on energy production. Coal, lime, and oil costs are on pass thru basis.

The tariff structure is totally unlike malakoff.

It effectively means that the BOT agreement guaranteed a predetermined returns on the capital invested by the operator regardless of the electricity generation and consumption.

The 3 chinese banks will not approve the US$1.4b loan if the project's profitability and ability to repay loan is subject to undue risks such as plant output rate and consumption rate.

If you want 100% guaranteed stock, buy Rsena.

Limited information. I m sure it cannot be from debt drawdown. Once started operation, it has to standby funds for 6 monthly installments for loan repayment, maintenance, and working capital. Only balance are permitted for distribution.

Btw, mong dong 2 is 19% owned by a chinese firm.

http://www.aes.com/investors/presentations-and-webcasts/default.aspx

Icon8888, don't make me laugh

Can anyone name one power project under BOT in vietnam that was not profitable ?

AES Corp 51% owned mong Dong 2 power plant in Vietnam which started operation in Mid 2015 distributed US$46m and US$51m to AES Corp in 2016 and 2017 respectively.

It looks like KYY did not sell on 14th August as today is the reporting deadline......

8月13日20时，越南海阳2×600MW燃煤电厂工程1#机汽机基座13.650m层混凝土开始浇筑，至15日凌晨3时浇筑完成，历时32个小时，浇筑方量1335m3，为后续汽机台板就位及主厂房断水创造了良好的条件。
　　1#汽机基座位于主厂房A～B跨内3轴至7轴线之间，该汽机基座结构设计复杂、预埋管道、螺栓、机组锚固板较多且精度要求高，施工难度大，同时面临土建、安装交叉施工；为保证顺利完成浇筑目标，项目部多措并举落实各项保障措施。第一，工程部多次组织综合图纸会审，解决施工过程中技术难题；第二，项目部积极落实开工前盘点机制，多次召开汽机基座专题会，统筹协调人力、材料、机械等各方面资源，保证满足现场施工需求；第三，项目部组织热动、电仪专业对汽机基座预埋管道、螺栓、机组锚固板定位提前进行联合验收，层层把关，确保汽机基座每颗螺栓、每个埋件定位精准；第四，项目部克服恶劣天气的影响，成立汽机基座运转层浇筑突击小组，落实责任，对1#汽机验收中发现的问题及时进行消缺，确保现场具备浇筑条件。第五，浇筑前，专业科组织进行了系统性的安全技术交底，确保整个浇筑过程顺利完成。
　　1#汽机基座的顺利浇筑完成，为后续汽机整体施工打下了坚实的基础，项目部将再接再厉，优质高效地完成后续里程碑节点。

titus, wise people provide credible arguments for their views. Besides just associating Jaks to mudajaya and jtiasa, I have not heard any arguments from you why Jaks vietnam ipp will fail. I really can't see the connection between Jaks, mudajaya and jitiasa.

Since you are quoting KYY as the link, why mentioned those 2 stocks only. I m sure KYY bought more than that. I m not defending anyone here, but your bias comments is suspicious.

The is so much attacks in this forum. Some begin to wonder why ? Most, if not all, attacks are targeted at KYY. The attack intensities as price falls, happy to see KYY suffering losses. However, does it really border him so much ? He admitted his mistake, sold down, and moved on. But many still live in anger. Who is the one really unhappy ?

Those with hidden agenda took the opportunity to instill fear. Making presumption that the vietnam IPP is facing cash flow problems, delays and doomed to fail. Hoping the weak and the strained holders will cut loss for them to buy cheap.

Without Vietnam IPP, Jaks will be under RM0.50. The RM25m losses from BG, if materialised, were overblown causing the price to drop from RM1.80, a massive wipe-off of RM450m market cap. Reasonable ??

Or perhaps what Icon888 feared most is happening here now ??

Icon888 quoted "One type of companies that I don't like to touch are those that the major shareholder only has very limited stake. For example, Hibiscus. Its major shareholder only owns approximately 10% stake. As such, even though I am bullish about the company's prospects, I hesitate to bet big. Ten out of ten PLC bosses resent holding only small stake in their company. After working so hard, most of the value they create will accrue to the rest of the shareholders. This makes them feel like an employee, and they don't like that. Most of the time, they will try to enrich themselves at the expense of the rest."

Andy Ang has less than 10% shareholdings ........

If Jaks is doomed, who would buy so much to bail out KYY ? I hope no one actually believes the ikan billis can take on a buffalo. Well, maybe those fund managers who scooped up the private placements at RM1.36 and RM1.38 are now average down.

What prompted these buyers despite all these attacks ? It is because continuous speculative attacks without merits will not deter fund managers and intelligent investors from buying. These investors are smart enough to conduct in-depth studies and take on calculated risks.

A simple business sense would tell you that " A company with 40% ownership in a RM7,600M power plant which promises 25 years of stable earnings should not be worth just RM550M ". With 3 chinese banks providing non-recourse RM5600M loan to finance the project, they must be confident with the builders.

CPECC parent company just completed and started operation on its 1,200MW Vinh Tan 1 power plant in Vietnam 5 months ahead of schedule. Why doubting CPECC's ability on Jaks Hai Duong Power Plant ?

To stay clear headed during turbulent times is vital for success. Best wishes.

TillyLovers, since you are buying into Jaks, you must be confident with its vietnam power plant. Once it completes the power plant, with HUGE stable earnings for the next 25 years, Jaks will be a completely different company. I can't tell you how it is like next week, but its power plant will be completed in 18 months.

I expect the vietnam construction profit to be around 25-30m for Q2. I don't think they will factor in the 50m Bank guarantee in Q2 as the auditor might not allow such provision. Anyway, the eventual loss, if any, is only 25m (being 51% owned).

Nikmon, so far, the comments signal that works are on schedule.

公司承建的越南海阳2×600MW燃煤电厂工程二号机组1、2号锅炉空气预热器冷端大梁分别于8月12日和8月14日顺利吊装就位，为后续空气预热器的安装工作奠定了坚实基础。

8月11日22时58分，公司承建的越南海阳2×600MW燃煤电厂工程二号机组汽机基座上部结构13.65米运转层混凝土顺利浇筑完成,本次浇筑历时26小时31分钟，浇筑混凝土1339立方米。
　　该工程二号机组汽机基座结构位于主厂房横向17轴~21轴，长45.2米，宽12.5米，上部结构共两层。为了确保本次混凝土顺利浇筑，海阳项目部对该机组汽机基座结构部位的钢筋绑扎、模板安装、锚固板及螺栓定位、脚手架等进行多次多级检查，并邀请总包单位及OE专业工程师进行联合验收。

CK Wong, in that case, what was the offer price ?

Steady31, whether you buy Jaks at 1.80 or 1.00, the risks associated with the vietnam power plant remain unchanged. For those who wish to invest on the prospect of the power plant, why don't take the opportunity to buy at a price which you is attractive to you instead of waiting for lower and lower prices which may not come true. Then again, would you wait for lower price if Jaks hits 0.90,0.80,0.70 ? You might be forever waiting.....

Steady31, KYY reducing his stakes aggressively from 30% to 23% has caused the price to plunge. While this should make KYY a lesser threat to Ang's empire, the extreme low price now makes Jaks vulnerable to entry by other big players. Ang must solidify his position quickly to prevent others from emerging to become another threat.

Andy Ang is very likely to take this cheap sale opportunity to solidify its control of the company