Posted by Mohd Fahmi Bin Jaes > 2016-01-20 21:33 | Report Abuse

Benefit to price petronm down

Posted by Alex Chan > 2016-01-20 21:39 | Report Abuse

Currently, Shell Refining's refinery plant in Port Dickson, Negeri Sembilan, has a capacity to process 156,000 barrels of crude oil per day.

The Port Dickson plant has been bleeding financially for the last four years since the financial year ended Dec 31, 2011 (FY11), as it grappled with poor refining margins.

The stock fell 29 sen or 5.33% to close at RM5.15 today, giving it a market capitalisation of RM1.56 billion.

Posted by Flybythenite > 2016-01-20 23:09 | Report Abuse

Why buy OnG ctrs? So much uncertainty.

Posted by Probability > 2016-01-20 23:10 | Report Abuse

Wow 156,000 BPD...instead of 125,000 BPD.

Fantastic....looks like they have not been running full swing yet as per Q2-15 (without the MTA).

25% increase in PROFIT potential (not even considering the MARGIN rise yet!)

Posted by LACHARSINGH > 2016-01-20 23:12 | Report Abuse

it's a certainty when raw crude oil prices is going stay low these few years....

Posted by paperplane2016 > 2016-01-20 23:18 | Report Abuse

All petrol station lose like hell.

Posted by Mohd Fahmi Bin Jaes > 2016-01-20 23:21 | Report Abuse

petrol station loss because they have oil ron95 cheap for january sales, but febuay need to sell more cheaper.

Posted by LACHARSINGH > 2016-01-20 23:27 | Report Abuse

makcik kat petrol station tak tau manage inventory.....hanya tau dapat lesen station minyak

Posted by Erwan Hasidan > 2016-01-20 23:32 | Report Abuse

must also see chemical pricing trends, must also notice that market will demand lower prices as feed is low price. Price will eventually soften. But they will enjoy the low price at least for now.

Posted by LACHARSINGH > 2016-01-20 23:37 | Report Abuse

http://www.oil-price.net/en/articles/who-benefits-from-lower-oil-prices.php

Posted by Flybythenite > 2016-01-20 23:46 | Report Abuse

It's a no win situation. Can't the big boys sit down & resolve? Dragging whole world into recession!

Posted by sunztzhe > 2016-01-21 00:26 | Report Abuse

Lets take a snap look at Shell's financial performance for 3 QR in 2015.Its Q4R 2015 will be released soon.

YTD 3 QR 2015 EPS =85 cents/share. With Conservative forecast Q4 2015 EPS of 50 cents/share , forecast Full FY 2015 EPS= 135 cents/share.

Forward EPS for full year 2015 based on YTD 2015 3QR of 85 cents/share = 113 cents/share

Assuming Market gives pure refinery a conservative PE of say 8.5, the TP range ranges from RM 9.60 to RM 11.40

If Refineries make good profits in future(which they will achieve with benign crude oil prices) and declare a dividend payout policy, the market will instead give it a PE higher than 10 as in the case of PETDAG/PETCHEM

If crude oil price remain benign for FY 2016, the Earnings per share for SHELL in FY 2016 will be much better than FY 2015.

Posted by Lukesharewalker > 2016-01-21 01:13 | Report Abuse

If big brother sneezes, everybody loses

Posted by Lukesharewalker > 2016-01-21 01:15 | Report Abuse

Dow is now down 480

Posted by Probability > 2016-01-21 01:21 | Report Abuse

Aiyo....when money is taking out from the market....the market crash la.... after that...where you want to put back the money? Bond?

Market again laa...

Now the question is... which Market??

REFINERIES laa...

Posted by Probability > 2016-01-21 01:22 | Report Abuse

its a REBALANCING act laa...
that's all...money has to return here!

Posted by LACHARSINGH > 2016-01-21 07:06 | Report Abuse

on the edge news Daily today

http://www.businesstimes.com.sg/wealth/this-billionaires-wealth-grew-most-in-world-as-oil-plunged

NEW DELHI] Oil's plunge and the impact on the global economy is hurting many a billionaire. Indian tycoon Mukesh Ambani isn't one of them.

Reliance Industries Ltd, controlled by Mr Ambani, is benefiting from low crude prices as margins swell at the company's refining complex, the world's largest.

Mr Ambani's net worth increased US$620 million as of Friday, the most in the world in 2016, according to the Bloomberg Billionaires Index.

That's almost five times more than the second-biggest gainer this year, Wal-Mart heiress Alice Walton, who's up US$130 million.

Among India's 13 billionaires in the world's richest 400, Mr Ambani is also the only one to see an increase in his fortune.

Profit for the December quarter, to be announced later Tuesday, is projected to rise to an eight-year high to 69.8 billion rupees (S$1.48 billion), from 50.9 billion rupees a year earlier, according to the median estimate of 16 analysts in a Bloomberg survey.

Higher refining margins will underpin the performance as oil prices during the quarter were 42 per cent lower on average from the year-earlier period.

That's attracted investors including BlackRock Inc to Reliance, making the Mumbai-based company the best performer on the Bloomberg World Oil & Gas Index over the past three months.

"Any increase in refining margin helps Reliance's profit significantly because that business is the largest contributor to the bottom line," said Sanjeev Panda, Mumbai-based analyst at Sharekhan Ltd. The shares have gained "because of the sharp fall in crude reflecting positively on the margins."

Brent oil has fallen more than 70 per cent the last 18 months as the Organisation of Petroleum Exporting Countries (Opec) effectively abandoned output limits amid a surplus. The global benchmark crude on Tuesday added 54 cents, or 1.9 per cent, to US$29.09 a barrel on the London-based ICE Futures Europe exchange at 2.31 pm Singapore time.

Reliance's shares climbed about 14 per cent in 2015, ending a seven-year jinx of under-performing the S&P BSE Sensex. The stock slid 37 per cent from 2008 through 2014, versus a 35 per cent advance in India's benchmark equity gauge, as the company spent billions of dollars to expand its chemicals capacity and plowed US$15 billion in a telecommunications venture.

Reliance Jio Infocomm Ltd, Mr Ambani's telecom unit, plans to sell 150 billion rupees of shares to existing stockholders, according to an exchange filing late Monday.

"Start of projects worth US$30 billion across segments will make 2016 the biggest year in Reliance's history," Vikash Kumar Jain, an analyst at CLSA, wrote in a Jan 4 note.