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. […]