In this low priced oil environment, the first to idle will be drilling rigs as they are for exploration not production.

Production projects will likely continue even as oil prices is very low, as they are sunk costs, so they will need the cashflow to keep the company afloat. The majority of cost per barrel is exploration and capex required to build production. The actual production cost once everything is in place is very cheap ~ $10 only.

In cash crunch time exploration will always be the first to be idled as it can always be deferred to better times to maintain cashflow. Next to go down will be capex for NEW production, which will be the MOPU, OSV and FPSO's.

The assets already in production, will be last to go idle as these are money earning assets unless the company close shop. 

So... production > capex > exploration

I have a different view on this.

CAPEX spending for example is needed before production can be started. All the CPP for example, that's CAPEX. All of those needed to be awarded by the giant, constructed before new production can start.

So my view is that CAPEX spending will be cut first, meaning delaying the new production before existing production is cut.

Depending on what type of production, marginal fields can be expensive after factoring the fee paid to the operators of the field.

wat's wtk? ok, later go study...
what else are on your watch list?
never knew presbhd fly so high, shouldn't have sold it yesterday. sigh.........

what announcement? the price is 1.8x already... gosh..... 

what's the tp for your hovid guys?

So secretive... 

Now all the people see the surge and gonna buy in blindly.. no knowing that price of oil is still very weak.. 

Potential ikan bilis trap at this level if you ask me..

So.... conclusion is?

If cannot handle the roller coaster and emotion plus having no conviction better don't trade stocks. 

Conclusion - u can never guess Mr Market

As Stephen Chow say...

"If u can guess my actions, ppl still call me God of Cookery?!"

You have conviction at other thread.. about low PE and big cap stock..

Then why did not buy? 

SKP and UMWOG is in different segments..

SKP do everything under the sun..

UMWOG is dealing mostly with drilling rigs... which will be first to die in low oil price environment due to less exploration 

You missing another segment.. FPSO.. which has went up nearly 25% from bottom, due to multi year guaranteed contract less affected by oil price.. 

Dialog is another fantastic company.. not much affected by oil price..

Due to its nature of storage tanks, with multi year contracts. 

Some in RM and some in SGD..

Some thanks especially those with petronas is take or pay.. virtually guaranteed profits.

Those in Johor is wholesale rented to oil traders.. so should be ok for sometime until contract expired. 

I was looking at dialog recently.. I still think the price is pricy.. PE 30x..     

SKpet at these level and at these oil price is also pricy..

Their petrochemical tanks in kemaman is RM based. 

Pet pet.. uptrend wor.. 

Gonna ride the wave.. 

TA wise, ride the trends
FA wise, not attractive 

TA is about market sentiment 

Earn kopi money only.. if reach rm 3.. might sell. 

Not at the mpoment.. property sales seems weak...

look at what happening to china, property company default loan.. Singapore property holding on massive unsold volume.. 

a friend strong rekomen PJD

IF you really have to own property/construction.. i would rekomend..

Tambun
Mitra

and to certain extend Matrix 

Disclaimer : Not vested .. yet