News Highlights - Hibiscus Petroleum, WCT Bhd, Property Sector

Hibiscus Petroleum Bhd (RM1.88/share)

Hibiscus in Aussie oil venture

Hibiscus Petroleum Bhd and its wholly owned unit Ocenia Hibiscus Sdn Bhd will invest A$29mil (RM95.5mil) for a 13% stake, or 30.96 million new shares, in Australian-listed 3D Oil Ltd and on a proven developing asset in Australia. Hibiscus said in a statement its 13% stake in 3D Oil cost A$2mil (RM6.6mil). Meanwhile, via Carnarvon Hibiscus Pty Ltd, a wholly owned subsidiary of Ocenia, Hibiscus has entered into a conditional farm-in agreement with 3D Oil. The deal was for a direct 50.1% stake in the developing asset of VIC/P57 for A$13.5mil (RM44.4mil) and an additional investment of A$13.5mil (RM44.4mil) to work on the asset, it said. Within the permit of the VIC/P57 exploration licence is the West Seahorse Field, which is a proven field containing at least 9.2 million barrels, and two exploration prospects – Sea Lion and Felix. – Starbiz

WCT Bhd (RM2.54/share)

WCT expects work on RM4bil project to kick off in 2014

WCT Bhd expects to start work on its RM4bil mixed development project on an strategically-located site in the vicinity of Kuala Lumpur in 2014. Deputy managing director Goh Chin Liong said the project would be done phase by phase over a period of 10 years. “Development will go in tandem with the market outlook,” he said after the company’s EGM. The project will mark the company’s first development foray in Kuala Lumpur after having completed several projects in the Klang Valley, including its flagship township Bandar Bukit Tinggi in Klang. – Starbiz

Property sector

Efforts to curb property speculation

THE government will initiate measures to address various issues gripping the property sector, including curbing rampant speculative activities in the market. Housing and Local Government Minister Datuk Seri Chor Chee Heung said he would present to the cabinet findings of an industry meeting which could be used to come up with innovative ways to build affordable homes. “The government has done fairly well in addressing the housing issues of the lower income. However, 40 per cent of the medium-income society still need accommodation. “My ministry will use some of the findings to improve the sector,” Chor told reporters here after opening a roundtable discussion on “Housing Affordability - Issues and Challenges”.  The government will put forward recommendations, which will be based on proposals made by Real Estate and Housing Developers Association Malaysia (Rehda) such as on how to curb speculative property prices, financing, abandoned projects and sluggish developments. – Business Times

Source: AmeSecurities