Sabah & Sarawak
Neutral on Jaya Tiasa’s discontinued planting on remaining landbank
Jaya Tiasa Holdings Bhd (Jaya Tiasa) has announced that the group will discontinue planting on its remaining plantation land bank representing 0.4 per cent or circa 280 hectares (ha) of its estimated plantable area of 69,873ha. The group has given its commitment to comply with Wilmar’s Integrated Policy, outlined AmResearch Sdn Bhd.
Recall that at end-2013, Wilmar launched a ‘No Deforestation, No Peat, No Exploitation’ policy that aims to advance an environmentally and socially responsible palm oil industry.
National commodity policy review being finalised
The new direction and focus of the commodity sector under the National Commodity Policy review is in the midst of being finalised, says Minister of Plantation Industries and Commodities Datuk Amar Douglas Uggah Embas. Speaking at his ministry’s monthly gathering, he said the review would be presented to the Cabinet soon.
“We need game changer policies and strategies which can cope with the dynamic international market and the rapid change in science and technology. ”
El Nino impact to widen in 2016, planters warned of CPO price surge
Warnings of the El Nino impacting parts of the US in coming months could spell good news for crude palm oil players arising from a drop in competitor’s prices, namely soybean oil.
According to recent reports from the National Aeronautics and Space Administration (NASA), El Nino is expected to impact California and the rest of the nation in the coming months.
Any disruption in grain harvesting will be positive for crude palm oil price.
Petronas achieves first oil production from Tanjong Baram oil field
PETRONAS announces that oil production from Tanjong Baram Field has commenced on August 18, 2015.
The field is operated under a Risk Service Contract with EnQuest Petroleum Development Malaysia Sdn Bhd as its operator in partnership with a local Malaysian company Uzma Energy (Sarawak) Sdn Bhd. Tanjong Baram is the fifth RSC that has achieved oil production after Berantai, Balai Cluster, Kapal Banang Meranti Cluster and Tembikai.
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National
Valuations of equity markets not yet excessive
Pacific Mutual Fund Bhd remains cautiously optimistic on equities in 2016, saying valuations are not yet excessive. Chief investment officer/executive director, Teh Chi-cheun, said global equities are expected to rise given the decent economic growth of the US with ample liquidity on the back of continued quantitative easing by Europe and Japan coupled with monetary easing in Asia, especially by China.
Moody’s: O&G industry to cut spending in 2016
As commodity prices continue to slide, the global oil and gas (O&G) industry will reduce capital spending and work toward leaner budgets in 2016, says Moody’s Investors Service. Managing Director Steven Wood said excess supply would continue to be a drag on commodity prices this year on global oil and US natural gas markets.
Alignment of HSR network still under discussions, says Singapore MOT
The alignment of the 300 over kilometre high-speed rail (HSR) network between Singapore and Kuala Lumpur is still under discussions and will be finalised only after detailed engineering studies are completed, says the Singapore Ministry of Transport (MOT). “After the recently-concluded Request for Information (RFI) exercise in December 2015, both countries are studying the feedback thoroughly and will use it to improve the project’s commercial and operating models and procurement approach,” an MOT spokesperson was quoted as saying.
Budget 2016 must be adjusted due to challenging new year
Adjustments to Budget 2016 are to be tabled soon by taking into account the current economic scenario to reflect the realistic situation of a challenging new year, said Prime Minister Datuk Seri Najib Tun Razak. Najib said the adjustments would take into consideration several aspects for recaliberation.
Mercedes-Benz posts record sales of 10,845 units in 2015
Mercedes-Benz Malaysia (MBM) posted record sales in 2015, up 56 per cent to 10,845 units from 6,932 in the previous year. President/Chief Executive Officer, Dr Claus Weidner, said MBM sold the A-Class to the brand’s leading S-Class with locally-produced limousines, namely C-, E- and S-Class leading the sales.