Instead of the usual AGM, MERMAID invites shareholders to SUNTEC on Saturday, 27th February 2010 for a FORUM. Level 3 Room 314 09:30 - 11:00 AGENDA To discuss MERMAID matters on an informal basis. :laugh:
cimb today: Mermaid Maritime announced that its subsidiary has secured a contract from Chevron Indonesia Company to provide drilling and related services for offshore oil and gas fields in Indonesia. The contract is expected to last 9 months and has a potential value of US$24.5m. However we have already factored in this win in our earnings forecast. Maintain Trading Sell with a target price of S$0.73.
trading sell at 73 cents? stock now only 51.5 cents.
Valid acceptances of only 64.7% were received for the rights issue. At that time, the stock price was at 28 cents, which is the same as the exercise price of the rights. In that circumstances, shareholders would rather not subscribe.
Now the share price has hit 30 cents. Could it be that the stock price was pressed down so that some people could mop up excess rights shares??? Buy at 28, sell at .....30? above 30?
Oil and gas exploration and production (E&P) companies are among the first to rally in a commodity bull cycle. SG-listed E&P players like Rex International (REXI SP) and RH PetroGas (RHP SP) have surged by between 30% and 85% over the past month.
Meanwhile, downstream companies like Sembcorp Marine (shipyard) and Mermaid Maritime (offshore support vessels and subsea services) are only starting to react to the higher oil prices. With oil prices back at where they were trading during the good all days, lagging oil companies should start to follow their upstream peers. -- KGI.