OSK Research calls ‘neutral’ for MISC, Bintulu Port

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MINIMAL IMPACT: Photo shows the 950-metre berth at Bintulu Port. The port, alongside MISC, both get ‘neutral’ recommendations from OSK Research, pegged with forecast values of RM6.86 and RM8.20, respectively.

KUALA LUMPUR: OSK Research Sdn Bhd has a ‘neutral’ call for MISC Bhd (MISC) and Bintulu Port Sdn Bhd (Bintulu Port); with RM8.20 and RM6.86 forecast value each.

The research house said it saw Petronas liaising with its Japanese counterparts to supply immediate additional liquefied natural gas (LNG) to Japan.

“While additional revenue could be reaped from the slightly longer route taken to ship the LNG volume, the overall impact would be negligible in nudging MISC’s earnings significantly, and no impact on Bintulu Port.

“As such, we see muted impact from this move although trading on the spot market could be a boon for Petronas given that 10 per cent of its volume are sold on a spot basis,” it said in a research note yesterday.

Petronas had said recently it was working with buyer nations in the Far East on possible cargo swaps to cater for increased LNG requirements. — Bernama