But oil demand in the Asia-Pacific is expected to grow by 800,000-900,000 barrels per day (bpd) this year and next, while the region's output could shrink by 240,000-330,000 bpd during the same period, Chauhan said.
The gap between oil production and demand has jumped over 30 percent since 2010 to an estimated 25.7 million bpd in 2016 and is set to grow by another 1.1 million bpd next year. Rising oil prices, however, means the cost could soar by a third in just one year to $566 billion.
Perisai is still struggling with its debts. Oil price still yoyo up and down due to speculation. “Perisai currently has short term borrowings of RM475.4mil but its cash is only RM21.9mil. Note that the group is attempting to renegotiate with bondholders of its SG$125mil in medium term notes to reschedule the payback period,” it said. So this month is a very unstable time for Perisai.
It seeks to defer payment of interest on the notes which bear interest of 6.875% per annum. Very tough time for Perisai. Cold sweat. Bak kata Melayu Hutang keliling pinggang.
Day day low ah.. people only tell you price when rebound from what goes up 50 ~ 100% very shiok, but they don't tell you when lost capital lose by 50 ~ 70% (equalvalent need 200% price increase just to pair loses).... so don't just always day day think shot rocket high... belum kena belum tahu, sudah kena then lagi shiok.
· Last Friday, PERISAI announced that it will commence a consent solicitation process on 10 September 2016 to seek the approval of its medium-term note (MTN) holders.
· We believe the consent solicitation is essential for PERISAI to avoid default while having further discussion on potential debt repayment and restructuring.
· In view of its lingering weak balance sheet and poor earnings outlook, we maintain UNDERPERFORM rating on PERISAI with unchanged TP of RM0.16 peg to 0.3x CY17 PBV.
As long as oil price go down...Perisai is in risk. Pray for oil price to shoot like rocket. Only way Perisai can rebound is oil price shoot. Otherwise it is in deep trouble.
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This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Risk Trader
3,942 posts
Posted by Risk Trader > 2016-09-02 14:52 | Report Abuse
Can jump when buyer Q more then seller....