Tuesday, 11 September 2012

Sapurakencana Petroleum - Lands USD45m Contract

THE BUZZ  
 
Sapurakencana  Petroleum  (SKP)  announced  on  Bursa  Malaysia  yesterday  that SapuraAcergy  SB,  a  joint-venture  company  it  equally  owns  with  UK-based  Subsea  7 S.A, has been awarded a contract for the charter of a vessel, Sapura 3000, to Mexican firm Construcciones Maritimas Mexicanas S.A. de C.V.

OUR TAKE  

More  on  the  contract.  
The  contract,  which  is  valued  at  approximately  USD45m (RM135m), comprises the provision of Sapura 3000 to undertake heavy lifts in the Gulf of Mexico region. The charter commenced on 18 Aug 2012. The contract duration is 125 days.  Sapura  3000  is  a  deepwater  heavy  lift  and  pipelay  vessel  with  a  3000  tonne  lift capacity.

Positive  news  but  no  change  to  our  FY13-14  forecasts.  
This  is  because  we  had earlier  incorporated  some  orderbook  replenishment  of  some  RM4bn  in  FY13  for  the merged entity into our forecasts. With the new contract in its orderbook, we forecast that the company’s orderbook has risen to some RM15.5bn to date.

Maintain  BUY.  
Despite already  having  a strong  orderbook,  we  think  that  there  are  still ample  opportunities  for  SKP  to  further  beef  up  its  orderbook  in  the  coming  months, especially  from  Petronas,  which  should  be  ramping  up  its  local  exploration  and production  capex  to  temporarily  substitute  for  the  loss  of  production  at  its  Sudan operation.


Source: OSK

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