Nam Cheong – Likely beneficiary of Malaysia’s oil and gas capex plans

It is common knowledge that Malaysia’s Petronas has sharply increased its 2012-2017 capex by approximately 70% to MYR300b over the previous five years. A likely beneficiary to this industry development is Nam Cheong Limited (“Nam Cheong”). Description According to an independent market research report by Pareto Securities Asia Pte Ltd., Nam Cheong is the largest shipbuilder of offshore support vessels (“OSVs”) in Malaysia and the 2nd largest player east of the Suez Canal. It has about 50-75% of the market share in Malaysia and 7% of the regional market share. It started ship building in 1968 and has more than two decades of track record in building OSVs. […]

Kreuz – Bullish Breakout flag formation

On 28 Mar, I have written on Kreuz when it was trading at $0.485 (See It has since appreciated 63% to a high of $0.790 on 21 May before retracing to the current level of $0.690. With reference to Chart 1 below (dated 3 Jul 13), Kreuz seems to have completed a bullish flag formation on 3 Jul after it broke the resistance of 0.685 with volume expansion. Total volume transacted on 3 Jul was 4.35m shares which is more than the average 30D volume of 3.5m shares. This is also the highest volume reached since 12 Jun. Chart 1: Kreuz breaks out of flag formation. […]