Oil prices slid in early trading on Wednesday, extending sharp falls from the previous session after top exporter Saudi Arabia ruled out production cuts and industry data showed a further build in U.S. crude stockpiles.
If I get to choose, I will select FPSO industry rather than jack up rig. Umw in jack up rig business. Look at how McDermott perform, we get a hints of 2.
McDermott-THHEAVY joint venture provides a win-win solution .
JX Nippon Oil & Gas Exploration (JXN) RM2.9bn. EPCIC and FPSO contract that was secured by TH Heavy to commence in FY16 is a for a fixed term of 7 years (USD372m or RM1.2bn) with 10 annual optional extensions (USD475m or RM1.47bn).
Price range now between 0.90 to 1.00 for the next two weeks. Will be interesting to see the share price when Brent hits US$35
Impairment loss=asset value write down cos business slow & too many assets remain idle. Like value of yr house goes down during recession but gets revalued upwards when economy gets better. Hence its not a cash flow item but just a paper loss. There will be a write back when it's rigs r fully leased out.
No idea but don't play contra. Now down on earnings probably 2 weeks for price stablisation. Hopefully don't break the low. I want to see the price action on the day when Brent crude is up. That will show its support. The faster it stays above 1.00 the better as penny stock value is not good for this company's image
The 0.96 support held again. This is a critical point for UMWOG. Slip below this and it's free-fall. It suffered a double whammy this week: the poor quarter results and crude oil going down. Strong correlation with the latter, which makes the share price movements fairly predictable. Speculators of this counter will be hoping Brent ends well in Europe and especially US trading. No point thinking too much about it because crude oil prices can go either way. All we can do is to quickly respond to how it goes.
0.82 coming..u hav to remember..they do not make from oil price..they lease out rigs to oil company..as oil company cutting expansion..those rigs will be left with no jobs..therefore my opinion is sell..
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goldenshares
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Posted by goldenshares > 2016-02-24 09:58 | Report Abuse
Oil prices slid in early trading on Wednesday, extending sharp falls from the previous session after top exporter Saudi Arabia ruled out production cuts and industry data showed a further build in U.S. crude stockpiles.