Public Warned To Stop Using "Pronoton"

KUALA LUMPUR, April 22 (Bernama) -- The Health Ministry Tuesday warned the public to stop using "Pronoton", a traditional product, as it contains the scheduled poison analog sildenafil, which is not allowed to be used in traditional medicine.Its pharmaceutical services division director Eisah A. Rahman said the registration of the product had been revoked by the Drug Control Authority."Medicine containing sildenafil can only be prescribed by a doctor or bought with a doctor's prescription," Eisah said in a statement here Tuesday.Traditional products containing sildenafil can cause side effects like low blood pressure and other cardiovascular problems.All sale of the product must also stop with immediate effect and anyone caught doing so can be prosecuted under the Cosmetics and Drug Control Regulations 1984, which provides for fines up to RM100,000 or jail up to three years or both, if convicted.

My One Cent:

I use to take this "Pronoton" before, under "MayFirst" label which currently the main sponsor of Astro's Akademi Fantasia 6. Visit www.mayfirst.com.my for details.

Kencana (RM2.00): LOI for Shell platform in Sabah

CIMB reported that Kencana hv been received LOI from Shell to construct platforms in offshore Sabah. Contract worth would be in the region of RM100m with deliveries scheduled in 4QCY09-1QCY10.

Target Price (TP): CIMB:RM2.80

My One Cent:
Maintain BUY

SapuraCrest(RM1.55)-BUY!

Seadrill continue to increase its shareholding from 17.4% to 18.5%. SapCrest-WA currently traded at 1.6% discount to the mother (RM0.825+ex-price of RM0.71=RM1.535). The WA expiring on 18 Feb 2009, exercisable on 1:1 ratio. As oil price close at US$117 this morning, ppl will continue to favour O&G players.

Ah Beng- NEW STUFF

Ah Beng - NEW STUFF
********************
Ah Beng bought a new mobile.
He sent a message to everyone from his Phone Book & said,
"My Mobile No. Has changed.
Earlier it was Nokia 3310. Now it is 6610"
====================================
Ah Beng : I am a Proud, coz my son is in Medical College.
Friend: Really, what is he studying.
Ah Beng: No, he is not studying, they are Studying him.
==========================================
Ah Beng : Doctor, in my dreams, I play football every night.
DR: Take this tablet, you will be ok.
Ah Beng : Can I take tomorrow, tonight is final game.
===========================================
Ah Beng : If I die, will u remarry?
Wife: No! I'll stay with my sister. But if I die will u remarry?
Ah Beng : No, I'll also stay with your sister.
=========================================
Ah Beng : People consider me as a "GOD"
Wife: How do you know??
Ah Beng : When I went to the Park today, everybody said,
Oh GOD! U have come again.
===========================================
Ah Beng complained to the police: "Sir, all items are missing,
except the TV in my house."
Police: "How the thief did not take TV?"
Ah Beng : "I was watching TV news..."
=========================================
Ah Beng comes back 2 his car & find a note saying "Parking Fine"
He Writes a note and sticks it to a pole "Thanks for complement."
=============================================
How do you recognize Ah Beng in School?
He is the one who erases the notes from the book when the teacher erases
the board.
===============================================
Once Ah Beng was walking he had a glove on one hand and not on other.
So the man asked him why he did so. He replied that the weather forecast
announced that on one hand it would be cold and on the other hand it would
be hot.
==================================================
Ah Beng in a bar and his cellular phone rings. He picks it up and
Says "Hello, how did you know I was here?"
===================================================
Ah Beng : Why are all these people running?
Man - This is a race, the winner will get the cup
Ah Beng - If only the winner will get the cup, why others running?
===================================================
Teacher: "I killed a person" convert this sentence into future tense
Ah Beng : The future tense is "u will go to jail"
=====================================================
Ah Beng told his servant: "Go and water the plants!"
Servant: "It's already raining."
Ah Beng : "So what? Take an umbrella and go."
=====================================================
A man asked Ah Beng why Ahmad Badawi goes walking in the Evening and not
in the morning Ah Beng replied Ahmad Badawi is PM not AM

SapuraCrest (RM1.33)- BUY!

Seadrill awarded US$4.1b contract

OSLO: Brazilian oil group Petrobras has awarded the Norwegian oil services company Seadrill a contract that could be worth up to US$4.1 billion (US$1 = RM3.16), Seadrill said yesterday. The order covers the six-year lease of three semi-submersible drilling platforms, currently being constructed in South Korea and Singapore, it said in a statement. The contract brings Seadrill's order book to US$12 billion. Seadrill is registered in Bermuda and listed on the Oslo stock exchange. - AFP

My one cent:
BUY SapCrest on the newsflow- despite this news is not totally directed to SapCrest, i believe that Seadrill as a major shareholder with 17.44% stake, will sub-con some to SapCrest. Nonetheless, execution risks remain.

􀂃 Sarawak-based Dayang offers direct exposure to lucrative brownfield oil & gas activities and marine charters services in East Malaysia.

􀂃 Dayang should deliver a 27% EPS CAGR in FY08-09, riding on its RM627m orderbook and marine contracts, with upside potential if it develops its marine assets and/or takes the M&A route.

􀂃 Dayang’s 11x FY09 EPS, based on its RM1.45 IPO price, is higher than closest peer Petra Energy’s 7x and small-cap’s 8x average, but its share price may open higher, riding on its major shareholders’ clout.

Direct proxy to East Malaysia’s oil & gas play. Sarawak-based Dayang Enterprise Holdings, 74% owned by Naim Cendera (NCH MK; Not Rated) (34%) and its promoters - Harry Bujang (16%), Tengku Yusof (15%) and Ling Suk Kiong (10%), offers direct exposure to the rewarding brownfield oil & gas segment and marine chartering services in East Malaysia. Offshore topside maintenance and marine vessel chartering are Dayang’s core businesses (accounting for 98% of gross profit in FY07), while minor fabrication, and hookup and commissioning works play complementary roles.

Orders are Sabah-Sarawak centric. Not surprisingly, its RM627m brownfield oil & gas contracts, stretching into 2012 (see table overleaf), are for Sarawak and Sabah fields. Petronas Carigali (PCSB) is its largest customer to-date, accounting for 48% of total orders. Dayang’s tenders for new contracts worth RM600m are a testament to increasing brownfield activities in Malaysia, as the
country seeks to optimize production from the existing oil platforms.

27% EPS CAGR in FY08-09. Dayang is financially healthy, cash-rich and has consistently generated decent EBIT margins and teen ROEs. Dayang should deliver 27% EPS growth p.a. in FY08-09, riding on its existing RM627m orderbook and marine contracts. There is further room for growth as Dayang will take delivery of a new workboat/barge by end-08, and as new contracts are
awarded (not incorporated into forecasts). We are also not ruling out Dayang eyeing the M&A route for inorganic growth and/or growing its marine fleet as Dayang, with its light financials, has the capacity to gear up. On the flip side, we are concerned that superior 30% pretax margin (2x of Petra Energy’s) may be under pressure due to higher operating expenses (i.e. wages, steel, etc).

Not Rated; greater values lie elsewhere. Dayang’s 11x FY09 EPS, based on its RM1.45 IPO price, is above closest peer Petra Energy’s 7x and small-caps’ 8x average, but its share price may find support from its shareholders’ clout.

Wah Seong (RM2.23)- gets RM390m job

Wah Seong Corp Bhd has clinched a RM390m contract for the manufacture, supply, coating and storage of pipes for the Sabah-Sarawak Gas Pipeline (SSGP) project, boosting its order book to a whopping RM1.7b. Wah Seong told Bursa Malaysia yesterday that its unit Petro-Pipe (Sabah) Sdn Bhd signed the contract with Petronas Carigali Sdn Bhd on Tuesday.

The pipes were scheduled for delivery within a year from September, it said, adding that the contract was expected to contribute positively to group earnings for the financial years ending Dec 31, 2008 and 2009. Managing director and group chief executive officer Chan Cheu Leong told StarBiz that the group was in the midst of setting up an integrated pipe coating and manufacturing facility in Kimanis, Sabah. CEO Chan sees good prospects for the group as investments in O&G infrastructure such as pipelines and process equipment would continue to grow, driven by increased demand and the under-investment in O&G infrastructure over the past decade. “The Asia-Pacific and Central Asia are the immediate areas of focus of the group,” he said. Wah Seong rose eight sen to RM2.23 yesterday on volume of 1.7 m shares. (StarBiz)

Fuel Subsidies and Prices

The Two RON-nies…
The Government is reportedly considering a proposal to introduce RON95/RON99 petrol, an "upgrade" from RON92/RON97 currently on sale at pump stations, as the means to address its growing burden of maintaining heavily subsidised fuel prices.

The principle here is "two-tier product and pricing" and "cross-subsidisation". This is workable IF low income and high income fuel consumers are effectively segregated via the consumption of different petrol grades, hence different prices, with the latter group "subsidizing" the former group.

However, we noted that virtually all cars on the roads these days can run on RON95 petrol, which means a mechanism that involves subsidized RON95 price and partially-subsidised or non-subsidised RON99 price is virtually ineffective in containing the Government’s fuel subsidy costs. Reading between the lines, we suspect the real motive is to raise fuel prices, with RON95 cheaper than RON99, creating the "price subsidy illusion" on the part of the public, with the ultimate objective being cutting or containing the amount of fuel subsides incurred by the Government.- Aseambankers