Petronas sees some respite but stays mindful of prolonged challenges

https://www.theedgemarkets.com/article/petronas-sees-some-respite-stays-mindful-prolonged-challenges

"But then, the cargoes of LNG started picking up again in the first quarter [of 2021] because of the cold winter in parts of Asia.

“This is something we now need to live with as a norm. We have to be a lot more responsive to immediate demands and respond to a more liquid spot market, be it for petroleum products, crude or LNG," he added.

Tengku Muhammad Taufik hoped for a clear indication of gradual economic recovery this year, particularly in sectors such as transportation and tourism industry, in tandem with the roll-out of vaccination programmes that would spur consumer confidence.

Post removed.Why?

Post removed.Why?

Post removed.Why?

Mr. Koon, i support you....ignore the skeptics, pessimist and those who are holding grudge on you due to your often misleading articles (with zero integrity) to capitalize i3 retailers..


TG also keep doing share buy back..... once the skeptics and pessimist leave for good.. a new trend will inevitably emerge...

only issue is no one knows when and where is the bottom

TQ

pity uncle la...dont bash him too much

TG also keep doing share buy back..... once the skeptics and pessimist leave for good.. a new trend will inevitably emerge...

only issue is no one knows when and where is the bottom

https://www.soyacincau.com/2021/02/19/mydigital-malaysia-most-submarine-cable-landings-2025/

The Prime Minister has announced today that four cloud service providers, namely Microsoft Google, Amazon and TM have been given conditional approvals to build and manage hyper-scale data centres and cloud services. Between RM12 to 15 billion will be invested over the next 5 years.

Ladies and Gentlemen,

22. I would like to emphasize here that the MyDIGITAL initiative through the Malaysia Digital Economy Blueprint is a nationwide approach plan. In the face of future digital ecosystems, all stakeholders need to adapt as soon as possible to face whatever arising challenges in a connected nation.

23. Finally, I hope all Malaysians will take full advantage of this digital technology and be bold enough to face the process of transition towards achieving digital economy. Although the public and private sectors may play distinctly different roles, we must remain consistent and in tune. I'm confident that a policy framework encompassing the formation of infrastructure, detailing all regulations as well as facilitating the formation of ecosystems, can determine the direction the country needed to realize this digital vision.

24. With Bismillahirrahmanirrahim, I hereby launch the MyDIGITAL initiative and the Malaysia Digital Economy Blueprint.

13. Insya-Allah, all licenced telecommunication companies will have equal access to these infrastructure, in marketing their 5G services to their customers. This infrastructure cost-sharing enables telecommunication companies to generate higher returns and, in turn, provide better and cheaper 5G services to consumers. This situation will boost the use of 5G, thus enhance economic capability in triggering more product and service innovations.

14. So, by the end of this year, 5G technology will start to be enjoyed by the rakyat in stages. With this, Malaysia will emerge as one of the first countries in this region to build a 5G ecosystem using internet and cloud services in real-time to enable instant sharing of information.

15. Just imagine - this 5G technology will serve as a game changer as more smart services with direct impact will be made available for the well-being of the people. This 5G technology not only promises better and faster internet access, but more importantly, it also enables various important applications to be in the hands of end-users, including health monitoring applications for chronic patients, smart emergency assistance, and special applications for senior citizens who are living alone.

16. Fourth, between RM12 billion and RM15 billion will be invested by Cloud Service Provider (CSP) companies over the next five years. Here, I am pleased to announce that the government has so far given conditional approvals to four CSP companies - Microsoft, Google, Amazon and Telekom Malaysia - to build and manage hyper-scale data centres and cloud services. This hyper-scale data centres as well as hybrid cloud services will be created to increase data storage space, thus reducing operating costs and improving analytical efficiency.

17. In addition, the government has also proposed the appointment of three local ICT companies as Manage Service Providers (MSP) to work with CSPs to manage their services to agencies in the public sector. This is in line with our intentions to strengthen the capabilities of local companies. The three companies are Enfrasys Solutions Sdn. Bhd, Prestariang Systems Sdn. Bhd and Cloud Connect Sdn. Bhd.

18. As part of the measures to empower cloud computing services in the public sector, the government, through its Cloud First strategy, has targeted the migration of 80 per cent of public data to hybrid cloud systems by the end of 2022. In addition, for a more effective and smooth data collection and management, this strategy also helps to reduce government costs in information technology management in the long run. All these Cloud services will allow Big Data, AI, IoT and other applications to be utilized to enhance and strengthen government services.

Ladies and Gentlemen,

19. The construction of this digital infrastructure forms the backbone for a sustainable digital ecosystem. This ecosystem serves as the key engine of growth towards sustainable economy. The government will continue to help strengthen this new ecosystem through various ways, including:

i) by creating a regulatory environment that can support digital use while protecting the privacy of citizens;
ii) by administering public data resources so that they can be jointly utilized by public and private organizations, and;
iii) by facilitating the evolution of labour market in potentially disruptive industries through automation and digital technology.

20. Therefore, we will ensure that digital companies involved with the government, will work hard to help Malaysians improve on their digital skills. These companies, among others, will also collaborate with local universities to establish the Faculty of Artificial Intelligence, and to work with the government to carry out employees’ skills improvement programs.

21. Cyber and data ?security are definitely among the government’s main focus in realizing the vision for a nation of digital technology. Public data will be handled sparingly based on security standards set by the government through the implementing agency, the National Cyber ??Security Agency (NACSA). Here I would like to assure you that the Government is very committed in monitoring the security of the data management system to avoid any future cyber threats.

11. Secondly, a total of RM1.65 billion will be invested by several telecommunication companies to strengthen connectivity to the international submarine cable network until the year 2023. This will open up more space for faster and more stable international data transfer, thus lowering internet costs to consumers in Malaysia.

12. Thirdly, a total of RM15 billion will be invested over a period of ten years for the implementation of 5G nationwide. This will create approximately a total of 105,000 job opportunities. This effort will be carried out by a special purpose vehicle under the Malaysian Government. This entity will then be given the appropriate spectrum to own, implement and manage the 5G infrastructure.

Apa khabar semua? I hope you all are in the best of health, insya-Allah.

1. First of all, let us express our gratitude to Allah Subhanahu Wata’ala because with His permission, we are here, virtually, together at this launching ceremony of MyDIGITAL and the Malaysia Digital Economy Blueprint this fine morning.

Ladies and Gentlemen,

2. The digital wave continues to affect the global community, reaching a scale that has never been achieved before and has completely changed the lifestyles of most communities all over the world. If we were to look back just five years ago, there were endless changes we can see in various and long-ranging aspects. Whether in terms of the way we interact with each other, the way we learn, doing business, and even the way we monitor our personal health, everything is very different and has changed with the touch of technology. Advanced technologies such as artificial intelligence (AI), internet of things (IOT) or big data analytics and blockchain; all of them have changed the patterns of the world’s economy and the way of life of modern society.

3. The role of digital technology is evident, especially, since a year ago following the outbreak of the COVID-19 pandemic which has led to tough, difficult challenges facing all countries to continue business as usual. It has never been clearer that technology is a convenient tool for advancement in the best of times, and an essential tool of survival during the most challenging of crises.

4. The mastery of digital technology is also key for our country to overcome productivity limitations, hence, upgrading the Malaysian economy. The ability to seize opportunities emerging from innovative technologies and business models, plays an important role in driving new engines of the country's economic growth.

Ladies and Gentlemen,

5. The MyDIGITAL initiative aims to empower every Malaysian, from Perlis to Sabah, to improve their lives in all aspects. Among others, it includes ideas and plans to improve digital literacy, creates high-income jobs, makes banking and finance business easier and more organized, provides virtual educational access to our children and brings medical facilities to remote towns.

6. It also serves as a digital transformation direction plan that is able to drive the business sector to compete on the global arena by enhancing expediency and efficiency of their operations.
Ladies and Gentlemen,

7. As a caring and responsive government, today, I would like to announce the MyDIGITAL initiative which includes the Malaysia Digital Economy Blueprint. This initiative will complement the national development policies such as the Twelfth Malaysia Plan (12MP) and the Vision for Shared Prosperity 2030 (WKB 2030).

8. MyDIGITAL sets out a combination of initiatives and targets across three phases of implementation until the year 2030;

i) By 2025, the digital economy is expected to contribute 22.6 percent to the country's Gross Domestic Product (GDP).
ii) At the same time, the plan also aims to provide 500,000 job opportunities in the digital economy.
iii) The government also encourages 875,000 micro, small and medium enterprises to accept the use of e-commerce.
iv) In addition, these initiatives under the auspices of MyDIGITAL also serve as catalysts for 5,000 start-up companies to begin their operations in the next five years.
v) These initiatives will be the starting point to attract new investments worth RM70 billion in the digital sector, from within and outside the country.
vi) The government is also targeting for the level of productivity of the economic sector to increase by 30 percent higher than what that has been achieved today, by 2030.
vii) For the public sector, all agencies will provide cashless transaction facilities as the main option by 2022.

Ladies and Gentlemen,

9. To accelerate innovation and create an effective digital ecosystem, four important types of digital infrastructure under MyDIGITAL need to be built first. Development efforts will be jointly undertaken by the Government and the private sector where the latter will share in contributing towards capital fund and expertise;

10. Firstly, a total of RM21 billion will be invested over the next five years through the National Digital Network (JENDELA) project to strengthen the existing connectivity. This fixed line optical fibre network will cover almost 100 per cent populated areas in stages - from 7.5 million premises by the end of 2022 to 9 million premises by the end of 2025. Based on this wider fibre optic network coverage, this country will be better prepared to switch to fifth generation cellular networking technology (“5G”) in the near future.

https://www.theedgemarkets.com/article/5g-be-available-stages-year-end-malaysians-making-country-one-first-build-5g-ecosystem

The government will invest a total RM15 billion via a special purpose vehicle (SPV) over a period of 10 years for the purpose of a nationwide roll-out of 5G, with licensed telecommunications companies (telcos) provided with equal access to infrastructure.

Under the MyDigital blueprint, Prime Minister Tan Sri Muhyiddin Yassin said the SPV will be given the relevant spectrum to own, execute and manage 5G infrastructure.

https://www.theedgemarkets.com/article/muhyiddins-speech-mydigital-malaysia-digital-economy-blueprint-launch-ceremony


17. In addition, the government has also proposed the appointment of three local ICT companies as Manage Service Providers (MSP) to work with CSPs to manage their services to agencies in the public sector. This is in line with our intentions to strengthen the capabilities of local companies. The three companies are Enfrasys Solutions Sdn. Bhd, Prestariang Systems Sdn. Bhd and Cloud Connect Sdn. Bhd.

https://www.malaymail.com/news/malaysia/2021/02/19/malaysia-digital-economy-blueprint-how-we-can-achieve-100pc-internet-access/1951007

uncle selling Supermax and buying Dayang looks like

Till you eliminate the root cause, all cosmetic actions will eventually fail

good discussions there sifus sslee, pjseow, philip..

I like what Kishor Mahbubani said, we can learn a lot from singapore

"MPH" is what Malaysia needs


https://www.infrastructure-channel.com/article/-/content/meritocracy-and-pragmatism-keys-to-singapore-s-success


And the secrets are captured in an acronym –MPH – which stands for three words. M for Meritocracy: one reason why Singapore is exceptionally successful is because its leaders tried to get the best possible people to join them in government, so the quality of minds of the leaders matter, but the quality of the minds of the people that are around them is equally important.

The second letter, P, stands for pragmatism: Singapore is by far the most pragmatic country in the world. It will try anything without thinking whether this it will fit its ideology.

The third letter is the hardest one and that is why most countries fail: it stands for honesty. By accident of history we had three brilliant leaders who were also exceptionally honest, even when Singapore was a very poor country and the salaries were very low. If any country can implement these three principles, I guarantee you the country will succeed.

Thanks Ben Tan

super_newbie is such a gem

Sifu OTB should really reward you with something....

DK, you are true gem in i3. Extremely resilient and dedicated. More than that you have a very big heart and a good sense of conscience. I really feel sad to hear about your mom.

All of us are nothing at the end...its these simple feelings which gives meaning to everything.

You need not be active...or take any responsibility to your calls if any in future...you are not paid for these free sharing of opinions...feel free to share your thoughts on any stocks whenever possible...

take care

i think Mr. Koon need to address the greatest fear of gloves investors currently (no point coming with many articles and not talking about the elephant in the room)...

""investors fear that the extraordinary fat margin glove makers enjoying now will easily be squeezed by new players coming into the market.."
.....................................................................

the above factor on supply side is the major concern now and not the demand reduction after successful vaccination (which now everyone knows takes a long time due to many factors such as vaccine efficacy, doses available and new strains)

this is the root cause - if Mr. Koon can dispute this concern, share price will surely shoot up

paperplane came from a ruptured condom and delivered as a baby on nurse hands with gloves....his first contact in the world is gloves

dont play play ah..

Now its becoming clearer why gloves makers are investing heavily for expansion....

there is a definite recurring demand for gloves due to:

1) general hygiene elevation worldwide coupled with,
2) long term intermittent covid cases despite worldwide vaccination,
3) recurring vaccination needs and,
4) population growing from young to older vulnerable population

not considering the mutations even

https://www.thestar.com.my/business/business-news/2020/11/25/top-glove-sees-demand-doubling-when-vaccines-ready-by-year-end

While pharmaceutical companies are gaining momentum on positive COVID-19 vaccination news, Top Glove Corporation Bhd expects demand for examination gloves to double when the vaccines are ready by year-end.

Its chairman Tan Sri Lim Wee Chai said that over the long term, the glove business remained good and healthy, with the company's share price depending on the earnings and performance.

"Our share price has been doing well for the past 11 months. Just recently, we have had some hiccups and hope it will be temporary and be back to normal.

"Examination gloves are needed to inject vaccines. The world needs to produce seven billion vaccines and will need seven billion pairs of gloves," he said during a Covid-19 update press conference today.

....................

vaccination now seems to be are recurring event with immunity level for a limited period only and new strains continuously developing

thats pure recurring demand for gloves

do you know who bought back the shares to RM7 level? not the retailers...but institution

you think they can keep shorting indefinitely...

they know institution is supporting current price..i doubt they dare to short further

The management spent more than 1.2B to buyback shares at current price, its highly unlikely they will let it go to waste......

vaccine news is becoming numb

who is talking about world economy - you mean you are concern on recovery stocks?

our subject here is obviously gloves prospect only

COVID-19: Here’s why global travel is unlikely to resume ‘till 2024

Vaccination doesn’t equal liberation

https://www.jpost.com/health-science/coronavirus-in-israel-vaccination-doesnt-equal-liberation-657898

“To reach herd immunity, about two-thirds of the world population – four billion to five billion people – need to be vaccinated. Each person has to have two doses – that is 10 billion doses of the vaccine.”

The unit predicts that the bulk of the adult population in advanced economies will have been vaccinated by mid-2022. Middle-income countries will take until late 2022 or early 2023.

“For poorer economies, mass immunization will take until 2024, if it happens at all,” the report said.

In other words, “we will not have synchronistic recovery,” said Agathe Demarais, global forecasting director and trustee for the Economist Charitable Trust, an independent charity that is meant to leverage the journalistic expertise of The Economist newspaper.

“In the meantime, while not everyone is vaccinated, we will have the emergence of new variants, and it could mean going back to square one.”

.................

The odds of going back to square one with a mutant virus resistant to the vaccine is way much higher than reaching global immunity within next 3 or 4 years....it only took months for the new UK strain and African strain to form.

TG with 70% dividend payout will give you about RM1.30 within the next 1 year.

you take that from share price, its equivalent to buying TG at RM5.30 now

For its avg PE (long term valuation ) of 20, TG only need an EPS of 6.5 cents per qtr after 2022 to justify current valuation

EPS of 6.5 cents is about 500m per qtr

...........................................

Is 500m per qtr that difficult to attain with 30% increase in gloves output with the COGS approaching 2.4Billion now? REMEMBER COGS is a long term phenomenon which wont subside for many years...


Thats only 17% margin (500 PAT / (2400 COGS + 500 PAT).
........................................................

Will the gloves PAT margin by end of 2021 abruptly drops to this level at the most pessimistic prospect?

It will take ages to vaccinate the whole world....and even after that you will never eliminate the virus...this is a fact

It took just months from wuhan case of less than 1000 to grow exponentially worldwide and mutate into multiple strains

what certainty we have in the next 2 years we will not see a new strain that's far deadlier?

The odds are extremely high (Think about it)

Israel seem to be celebrating with 0.07% of the vaccinated population showing infection after 2nd dose.....

thats a joke actually

if thats true, after vaccinating the whole Malaysian population we will still be having daily covid cases of more than 25,000....thats not something to celebrate on vaccine efficacy i think

With the rising total covid cases in Malaysia, foreign fund have no choice than to flee from other stocks in bursa to big 4 gloves.

Its clearer now why they were net buyers of TG last week while retailers were net seller.

This trend will sustain going forward...

Israel seem to be celebrating with 0.07% of the vaccinated population showing infection after 2nd dose.....

thats a joke actually

if thats true, after vaccinating the whole Malaysian population we will still be having daily covid cases of more than 25,000....thats not something to celebrate on vaccine efficacy i think

1 - 2 years...that is pretty long wait for recovery stocks...

with great uncertainty of a new variant resistant to current vaccine not emerging within this time frame...



Posted by soojinhou > Feb 6, 2021 10:12 PM | Report Abuse

U all r tokking kok. It doesn't matter whether the whole global population get vaccinated, it only matters when rich and economically important countries does, which is about a year or two. That's the sad reality whether u like it or not

current issue with gloves is not affordability but still availability...

anyone not accepting the above are living with irrational optimism on recovery stocks...and unjustified pessimism thinking the demand for gloves will vaporize in an instant after vaccination

Dream on....

anyone not accepting the above are living with irrational optimism on recovery stocks...and unjustified pessimism thinking the demand for gloves will vaporize in an instant after vaccination

Dream on....

COVID-19: Here’s why global travel is unlikely to resume ‘till 2024

Vaccination doesn’t equal liberation

https://www.jpost.com/health-science/coronavirus-in-israel-vaccination-doesnt-equal-liberation-657898

“To reach herd immunity, about two-thirds of the world population – four billion to five billion people – need to be vaccinated. Each person has to have two doses – that is 10 billion doses of the vaccine.”

The unit predicts that the bulk of the adult population in advanced economies will have been vaccinated by mid-2022. Middle-income countries will take until late 2022 or early 2023.

“For poorer economies, mass immunization will take until 2024, if it happens at all,” the report said.

In other words, “we will not have synchronistic recovery,” said Agathe Demarais, global forecasting director and trustee for the Economist Charitable Trust, an independent charity that is meant to leverage the journalistic expertise of The Economist newspaper.

“In the meantime, while not everyone is vaccinated, we will have the emergence of new variants, and it could mean going back to square one.”

.................

The odds of going back to square one with a mutant virus resistant to the vaccine is way much higher than reaching global immunity within next 3 or 4 years....it only took months for the new UK strain and African strain to form.

COVID-19: Here’s why global travel is unlikely to resume ‘till 2024

Vaccination doesn’t equal liberation

https://www.jpost.com/health-science/coronavirus-in-israel-vaccination-doesnt-equal-liberation-657898

“To reach herd immunity, about two-thirds of the world population – four billion to five billion people – need to be vaccinated. Each person has to have two doses – that is 10 billion doses of the vaccine.”

The unit predicts that the bulk of the adult population in advanced economies will have been vaccinated by mid-2022. Middle-income countries will take until late 2022 or early 2023.

“For poorer economies, mass immunization will take until 2024, if it happens at all,” the report said.

In other words, “we will not have synchronistic recovery,” said Agathe Demarais, global forecasting director and trustee for the Economist Charitable Trust, an independent charity that is meant to leverage the journalistic expertise of The Economist newspaper.

“In the meantime, while not everyone is vaccinated, we will have the emergence of new variants, and it could mean going back to square one.”

.................

The odds of going back to square one with a mutant virus resistant to the vaccine is way much higher than reaching global immunity within next 3 or 4 years....it only took months for the new UK strain and African strain to form.

TG with 70% dividend payout will give you about RM1.30 within the next 1 year.

you take that from share price, you are as good as buying TG at RM5.30 now

For its avg PE (long term valuation ) of 20, TG only need an EPS of 6.5 cents per qtr after 2022 to justify current valuation

EPS of 6.5 cents is about 500m per qtr

...........................................

Is 500m per qtr that difficult to attain with 30% increase in gloves output with the COGS approaching 2.4Billion now? REMEMBER COGS is a long term phenomenon which wont subside for many years...


Thats only 17% margin (500 PAT / (2400 COGS + 500 PAT).
........................................................

I opine that this is an extremely realistic (CONSERVATIVE actually).....since this assumes that by end of 2021 abruptly margin drops to this level.

You can watch a video of the briefing below, the part related to gloves begins at the 44 min to 46 min mark:

https://www.youtube.com/watch?v=rCmZR90RPG0&feature=emb_logo

..........................................................

thanks Ben Tan

You can watch a video of the briefing below, the part related to gloves begins at the 44 min to 46 min mark:

https://www.youtube.com/watch?v=rCmZR90RPG0&feature=emb_logo

..........................................................

thanks Ben Tan

well said...

Posted by ChaseBros > Feb 4, 2021 12:39 AM | Report Abuse

(CNN) February 3, 2021. A mutation that could allow Covid-19 to escape antibody protection has now been found in samples of a rapidly spreading strain in the UK, according to a report Monday by Public Health England.

https://edition.cnn.com/2021/02/02/health/variant-mutation-e484k/index...


The mutation, called E484K, was already part of the genetic signature of variants linked to South Africa and Brazil.

Experts say that aggressive testing, adhering to Covid-19 guidelines and rapidly rolling out vaccines are more important than ever in light of these spreading variants.

-----------------------------------------------------------

Vaccine will not eliminate Covid-19 but hopefully in due time when Scientist understands Covid better. Worst case may be like the flu-vaccine which may require update and re-inoculation every year but then again, there may be vaccine nationalism or vaccine is reserved for the wealthy country since the production is unable to meet the world demand in a short time.

Mutation is inevitable and you wouldn't be safe till the world is adequately vaccinated because a new variant could easily set foot in your country and trigger another unstoppable wave. There would be structural step up in the healthcare system and hygiene.

Demand for glove surpass the availability by a great margin in the next 3 to 4 years, as shared by Hartalega Mgmt and Healthcare Industry experts.

MISC core business

https://www.misc.com.my/media/252887/misc_ar2019-1-value-chain.pdf

Natural gas and oil are resources which are central to our modern lives. We rely on them for fuel, electricity and all kinds of products.

Today, these commodities are transported by sea over large distances to their eventual end users. MISC is proud to play its role in providing maritime transportation solutions to meet the energy needs of the world

According to McKinsey & Co’s “The Future of Liquefied Natural Gas”, Asia is still highly dependent on coal as its primary energy source, accounting for about 47% of its energy mix. Gas makes up about 12% of the region’s energy consumption, a stark difference compared to 20% of consumption in other regions.

“Increasing Asia’s share of gas energy consumption to 20% would add the equivalent of more than 400 million tonnes of LNG to annual gas demand, near doubling the size of the LNG market, ” it said.

“The long-term outlook for LNG is brighter than that of other fossil fuels because of its comparatively lower cost and lower emissions from production and combustion. But to find a true competitive advantage amid a volatile market, the LNG industry must move beyond what were once winning strategies (control of gas resources, reliability of supply).

“Instead, LNG players should focus their efforts on five areas: capital efficiency, supply-chain optimisation, downstream market development, decarbonisation, and digital and advanced analytics.”

“In 2021, LNG regasification projects would gain momentum in the near future, thus creating more demand for LNG.

“Countries like Pakistan, Vietnam and the Philippines are going for regasification in the short to long term. Moreover, the petrochemicals, infrastructure and transportation sectors are becoming major sources of demand, augmenting LNG use in the power sector.

“LNG demand will grow by 3%-4% in 2021 despite global economic fragilities and the pandemic scare, ” he told StarBiz.

In addition, Shan said as more countries are heading towards cleaner energy as part of their environmental efforts, that would drive the demand of LNG moving forward.

“LNG is the future in the global energy mix. According to the latest report from ExxonMobil/BP, oil, natural gas and coal would remain as the global energy mix by 2040, contributing 50%-60% to the energy equation calculus, ” he said.

Meanwhile, ICE Petroleum Group managing director Abdul Jalil Maraicar expects the spot price of Asia LNG to remain high in the near term, driven by the sudden surge in demand as many countries are coping with an unusually cold winter.

Would this benefit MISC?

https://www.thestar.com.my/business/business-news/2021/02/01/big-lng-boost-for-malaysia

He even denies holocaust... what a level of hatred against jews and blatant partiality towards his own religion

He would willingly sacrife a million non muslim malaysian for this one
Great pretender..

I have said this long ago...he was the bast**d who killed PH