Monday, April 30th, 2018
HOUSTON, April 30 — Marathon Petroleum Corp agreed to buy rival Andeavor for more than US$23 billion in the largest-ever tie-up between US refiners, giving the combined company a nationwide presence and increased access to growing export markets….
NEW YORK, April 30 — US stocks rose today as strong earnings reports from McDonald’s and a slate of merger announcements lifted sentiment, while inflation worries were kept in check after tepid data on US income and spending. McDonald’s jumped…
WASHINGTON, April 30 — US Treasury officials are meeting with about 10 industry groups today to discuss the latest draft of legislation that would tighten scrutiny of foreign investment in order to limit Chinese efforts to acquire sophisticated US…
NEW YORK, April 30 — McDonald’s Corp reported first quarter results that topped analysts’ forecast today, helped by strength in international markets and US consumers opting for more expensive burgers over value meals. Shares of the world’s…
WASHINGTON, April 30 — US consumer prices accelerated in the year to March, with a measure of underlying inflation surging to near the Federal Reserve’s 2 per cent target as last year’s weak readings dropped out of the calculation. The rise in…
LONDON, April 30 — Pierre Andurand, one of oil’s most prominent hedge fund managers, said the current reluctance of energy companies to invest in new production meant US$300 a barrel was “not impossible” within a few years. Andurand, who’s…
BRUSSELS, April 30 — The EU said today it was “prepared” for US President Donald Trump imposing controversial tariffs on steel and aluminium from the bloc, as a deadline looms amid growing fears of all-out trade war. The European Union’s top…
PETALING JAYA: Sumatec Resources Bhd has been admitted into the Practice Note 17 (PN17) category after its external auditors Grant Thornton Malaysia's disclaimer opinion on its financial statements ended December 31, 2017.
The auditors said Sumatec's ability to continue as going concern is dependent on a series of corporate exercises including a proposed acquisition of Markmore Energy (Labuan) Ltd (MELL) from its controlling stakeholder Tan Sri Halim Saad.
The proposed acquisition's objective is to obtain new source of funds to generate adequate cash flow for the development and production of the Kazakhstan-based Rakushechnoye oil and gas field owned by MELL's unit CaspiOilGas LLP, in order to achieve positive cash flow from its operating activities and also to settle its major debts and obligations.
However, the auditors said it was unable to find audit evidence in relation to the feasibility and sustainability of the plans.
Sumatec recorded a net loss of RM113.95 million and RM171.06 million at the group and company levels, respectively, as well as a negative cash flow of RM15.33 million and RM9.86 million for the financial year ended December 31,2017.
The group said in a bourse filing that it is looking into formulating a regularisation plan to address its PN17 status, which is required to be submitted to the regulator within 12 months, failing which will face suspension and delisting.
Its shares were unchanged at 6.5 sen with some 39.88 million shares done.
PETALING JAYA: Yinson Holdings Bhd's associate company Yinson Energy Sdn Bhd (YESB) has entered into a novation agreement with JX Nippon Oil & Gas Exploration (Malaysia) Ltd and TH Heavy Engineering Bhd (THHE) for the novation of the leasing for Layang floating production storage and offloading (FPSO) facilities.
Pursuant to the novation documents, YESB will assume THHE's right and obligations under the charter contract.
It is a firm charter period of eight years with 10 extension periods of one year each. The estimated aggregate value of the charter contract, assuming all extension options are exercised, is US$860 million (RM3.37 billion).
Yinson targets to complete the novation by end May 2018 and the FPSO is expected to commence operations at the Layang field in 2019.
However, it noted that borrowings undertaken in connection with the novation will increase its gearing for the financial year ending Jan 31, 2019.
For THHE, it will receive novation proceeds of RM374 million, which will be used for repayment to creditors and working capital.
Yinson shares closed unchanged at RM3.96, while THHE was down 13.3% to 6.5 sen.