KUALA LUMPUR (April 7): The Organization of Petroleum Exporting Countries (OPEC) and its allies have yet to reach a consensus on reducing oil production, mainly Russia, which has caused oil prices to drop by 3% the previous day. They are doing. Still covered.
Oil and gas stocks were managed by Hengyuan (HENGYUAN, 4324, Main Board Energy Group). This was followed by Petronas Chemical (PCHEM, 5183, Main Board Industrial Products Service Group) and Malaysian Gas (GASMSIA, 5209, Main Board Utilities Group). .
Hengyuan at the closing of the market fell to 10 years, RM4, 95 you and the National Petroleum Research Journal, RM19, 10 you, the ups and downs, the Malaysian gas 2 you, RM2,85 fell to you.
OPEC decided not to cut production at the end of the meeting on Thursday, and discussed the issue on Friday, causing international oil prices to fall. On the same day, at the close of New York, Brent crude oil revenue declined by $ 1.50 or 2.4 percent to $ 60.06, while New York crude oil revenue fell $ 1.40 or 2.7 percent to $ 49.49 a barrel.
On Friday, the international oil price moved through a narrow range during the Asian trading hours Brent crude oil prices rose US $ 0.17 a barrel, or 0.28 percent to $ 60.23, while New York crude oil revenue rose 0.06 US dollars or 0.12 percent per barrel. Rose to $ 51.55.
Analyst: Production cuts will expand
Analysts are still expecting OPEC to decide to make some cuts. The Mitsubishi UFJ Financial Group said: Financial We are about to begin to see plans to replan production. We will reduce OPEC's daily production by about 1 million barrels, as well as lobby other non-member countries to further production. Var
Although Middle Eastern oil producing countries are eager to reverse the recent decline in oil prices to compensate for government spending, Russia's sensitivity is different, the Russian government has now provided a budget surplus, and the weakening of the ruble has reduced the impact of falling oil prices.
According to Bloomberg, according to the Kremlin official, the Russian government draws attention to the impact of oil prices on Russian consumers, as this can lead to discontent with economic policies.
Although Russia, the largest oil producer of OPEC +, agreed to reduce production in principle, the Vienna negotiations did not confirm certain cuts in production. The OPEC delegation said earlier that Saudi Arabia has a tendency to reduce production in Russia by approximately 300,000 barrels per day, but Moscow plans to produce only about 150,000 barrels.
As the global economic slowdown weakened the demand for supply, the supply increased, while crude oil prices fell 30 percent since October, and the oil and gas stocks were severely affected.
Petronas reiterates $ 66 oil price
Analysis: Oil and gas industry blows up cold wind
Although oil prices have recently dropped below $ 60, oil prices in Petronas 2019 are expected to remain at $ 66 a barrel. Analysts think that Petronas will not be able to keep cash and make new contracts, and the oil and gas industry will continue to explode.
Petronas' president and CEO, Tan Sri Wang Zujifili, said on Thursday that the $ 66 company is the foundation of the company's business.
"We don't set predictions every season, so we'll keep $ 66 next year."
Kenanga research believes that Petronas will not spend a lot of capital expenditure on the turmoil of oil prices, especially Petronas must pay higher dividends to the government, a special profit share of RM30 billion, 2019 dividend expected for 2018 and 2017 for RMB 258 billion The dividends for the years are only 26 billion and RMB 16 billion.
”In addition, the Bianjialan comprehensive project is almost complete, meaning that capital expenditure can be reduced and more mature products can be launched to meet cash flow.“
The Malaysian investment bank is more optimistic as the current oil price is higher than US $ 52 per barrel set by Petronas in 2018. It is believed that national oil development activities will not change much. With the exception of the so-called private dividend, which is RM30 billion, Petronas has still stated that net cash is still RM 960 billion.
Petronas' performance in the first nine months of this year decreased 7% to 2.7 billion dollars. Malaysia's investment bank believes that Petronas will support the development of deep-sea oil fields and launch a new operating model, including the self-control cost and profit sharing model. More investors come to Malaysia to develop related businesses.
In terms of oil prices, the Malaysian investment bank said it has risen by 11% to 11.7 million barrels, up 20% from US production.
In the first nine months of this year, the total contract value of the oil and gas sector increased by 26% to RMB 7.5 billion compared to the previous year, easing the recent decline in oil prices to have little effect.
After many issues, the Malaysian investment bank and Kennamet listed the oil and gas sector as SER neutral iba, Daile Group (DIALOG, 7277, main energy group), Shiba Power (SERBADK, 5279, main board energy group) and cloud. Sheng Holdings (YINSON, 7293, Main Board Energy Group) are included as preferred stocks.
Sin Chew Daily / Financial ch Report: Xie Wangchao Finans2018.12.07