Federal Int    Last:0.142   -

Federal

time to hoot tua tua ?

 

not surprising if this goes back to 73 cts as immediate target ?

 

today market digging for black gold .....

 

I remember OCBC has a detail write up last year sept 07  on Fed indicating a fair value $1.05 .

With their recent gain of $15.8 mil from the divestment of its US subsidiary & more orders this year, i am of the opinion that it will cross $1 within this year.

I favour their recurring income stream business unit - via marine logistic (FSO leasing) & power industry ( Banyan utilities) which currently is the booming industry.

 

Does anyone think that Federal will be a $1 stock ?

 

Go Go Go .....

 

this year will be another  boom yr for oi & gas sector

for fed....they have well diversify into energy, oil & gas sector with a few JV

expect to hear more value contracts soon.

 

"Jan. 3 (Bloomberg) -- Crude oil traded near a record in New
York after reaching $100 a barrel for the first time yesterday on
concern violence in Nigeria may further cut output in Africa's
biggest oil producer."

 

Remember ..... oil price is booming again .....

 

Hooting the oil again today .....

 

Time to keep close watch on Federal .....

 

China Energy possibly turning positive again ..... ?

 

AusGroup very powderful ......

 

 

How about Federal .....

 

vested. new annoucement as follow. A potential counter.



(1) FORMATION OF INDONESIAN SUBSIDIARY ? PT. GASUMA FEDERAL INDONESIA;

(2) INDONESIAN SUBSIDIARY AWARDED CONTRACT FOR PROVISION OF GAS AND ELECTRICITY  

 

price looks attractive. Any comments ?

 

this is the news

 

PRESS RELEASE

Federal International makes gain of S$15.8 million from the divestment of its stake in US subsidiary HP & T Products, Inc.

- Divestment is aimed at further consolidating and streamlining the Group?s businesses

 

any idea why this counter got suspended for trading??? some good news announcing??? wat's the news???

 

Ah cheoooooooong ah cheong!!!!!

 

News update from The Business Times
October 19, 2007, 10.33 am (Singapore time)
Oil near new US$90 high as dollar sinks
Oil held firm within sight of its new US$90 high on Friday as another slump
in the US dollar to a record low and rising fears over pre-winter fuel stocks
lent support to an over 13 per cent surge in under two weeks.

US light crude for the soon-to-expire November contract ticked up 5 cents
to US$89.52 a barrel by 0049 GMT, following a hefty gain of US$2.07 a
barrel on Thursday's close......................................

Article from DMG:
Oil and gas based co. with good record order books running for the next few years.
Prospects shine as oil prices continue growing to new highs.

Federal TP:1.05
Rotary TP:1.80
Labroy Marine
Swiber
Aqua-Terra TP:0.70
KS Energy TP:4.20

 

Federal International is confident of growing Asian sales and earnings by 10 to 15% per year, and will expand its power plant and offshore marine ventures.

The firm told Reuters on Tue it is targeting an extra US$30 million in equipment sales next year from previously untapped Indian and Middle East markets, as demand for energy exploration grows with oil hitting record prices of $87.97 a barrel.

"The world is energy hungry, and we're using this opportunity to get our share of the industry. There is a piece of cake for everyone," said Federal International's COO Sanjeev Gupta in an interview.

It has just bought a second ship to convert to oil storage, a booming industry in oil trading hub S'pore, after having since '06 diversified from its traditional business of producing and distributing specialised oil valves.

"This is the best way of getting a consistent, long-term income for us, because the trading business always fluctuates," said Sanjeev.

The firm has already won a US$91 million 10-year charter from PetroChina for its first Floating & Storage Offloading (FSO) vessel, and Sanjeev said it has been short-listed for an "much bigger" contract from Malaysian state firm Petronas for the second.

Federal International, which has a stock market value of US$175 million, also expects by the end of the year to name a project to build and operate an Indonesian power plant worth around US$25 million, which would add to two power plant projects announced since June in Indonesia and S'pore.

It is also targeting winning 3 more power projects in Indonesia, which is faced with soaring power demand and aims to build 10,000 megawatts of additional capacity by '10.

The company has invested almost $100 million on capital expenditure this year and expects to spend more than that next year. Sanjeev said its low gearing of less than 1% meant it could borrow to fund new projects.

The firm is projected to see full year '07 profits of $15.9 million, according to consensus figures from 2 analysts, after it doubled net profit in '06 to $10.2 million.

OCBC Investment Research analyst Serene Lim, who has a "buy" rating on the stock, said Federal's PER of about 14x forecast earnings compares favourably against oil and gas-related peers.

Singapore-listed Ezra trades at 28x and Swissco International at 37x, while top global oil services firm Schlumberger is at 26x.

"If the new power plant and the FSO vessel projects come onstream, it should look even more attractive. But we still see some execution risk because the company is quite new to such projects," Lim said.

 

It will move up soon. Load up now.

 

Alamak, this fella moving wrong directionlah.Strong resistance at .82c. Any reason for all the selldown?