Pipeline or piped dreams?
By ANITA GABRIEL, senior business editor who feels uneasy whenever it appears as if connections trump business sensibilities. Surely, that's not a good thing?
The closely-guarded and scrupulously-monitored oil and gas sector in the country which reins are tightly gripped by the national oil company, has suddenly become a target of unknown individuals perceivedly pumped up with narcissism more than cash, trumpeting they've landed high-flying multi-billion gawk-worthy (even by stalwart standards) jobs. Really?
Take for example:
How is it possible that a behemoth project of this scale (talking about a 7,000km Trans-Asian Oil and Gas Pipeline project at US$100bil) which involves a full interconnection of gas transmission pipelines stretching from Mersing, Johor to Natuna Islands, Indonesia and from Hanoi, Vietnam to Hong Kong and Guangzhou, China and one that without a doubt, would involve government-to-government negotiation and cooperation as well as that of the big oil companies is being unveiled by Panelpoint a company with a registered address in Negri Sembilan with a RM90,000 paid-up capital?
Indeed, Najib says no nod given to firm for Trans-Asian Oil and Gas Pipeline project:
“No. China? Mersing to China? Gas pipeline? Tak ada (No such thing),” he said after the Umno supreme council meeting yesterday.
Source : http://biz.thestar.com.my/news/story.asp?file=/2011/7/30/business/9206283&sec=business
The notable points are:
Low profile, is one thing. Meeting minimum disclosure standards, quite another.
Truth is, there are plenty reasons to be doubtful when a plan appears lofty from the get-go.
Ask any investment banker. They'll tell you that at any one time, there are numerous proposals “of all sorts” being bandied about. Not all are doable but every now and then, some emerge from the cracks of checks and balances and set a siren of suspicion in the market.
“In some of these proposals, the promoters can't see pass the contract sum. The business case is secondary. They get the government's approval in principle, then they look to churn it at a premium,” says a banker.
The lessons are just as plenty.
Based on the news flow involving the oil and gas sector, it would appear as if corporate Malaysia is flushed with ludicrous gobs of cash. And it may well be. But there's no guarantee that fancy and ambitious plans could eventually be reduced to the exact opposite wobbly warts in the system.
Source: http://biz.thestar.com.my/news/story.asp?file=/2011/7/30/business/9202934&sec=business
The closely-guarded and scrupulously-monitored oil and gas sector in the country which reins are tightly gripped by the national oil company, has suddenly become a target of unknown individuals perceivedly pumped up with narcissism more than cash, trumpeting they've landed high-flying multi-billion gawk-worthy (even by stalwart standards) jobs. Really?
Take for example:
How is it possible that a behemoth project of this scale (talking about a 7,000km Trans-Asian Oil and Gas Pipeline project at US$100bil) which involves a full interconnection of gas transmission pipelines stretching from Mersing, Johor to Natuna Islands, Indonesia and from Hanoi, Vietnam to Hong Kong and Guangzhou, China and one that without a doubt, would involve government-to-government negotiation and cooperation as well as that of the big oil companies is being unveiled by Panelpoint a company with a registered address in Negri Sembilan with a RM90,000 paid-up capital?
Indeed, Najib says no nod given to firm for Trans-Asian Oil and Gas Pipeline project:
“No. China? Mersing to China? Gas pipeline? Tak ada (No such thing),” he said after the Umno supreme council meeting yesterday.
Source : http://biz.thestar.com.my/news/story.asp?file=/2011/7/30/business/9206283&sec=business
The notable points are:
Low profile, is one thing. Meeting minimum disclosure standards, quite another.
Truth is, there are plenty reasons to be doubtful when a plan appears lofty from the get-go.
Ask any investment banker. They'll tell you that at any one time, there are numerous proposals “of all sorts” being bandied about. Not all are doable but every now and then, some emerge from the cracks of checks and balances and set a siren of suspicion in the market.
“In some of these proposals, the promoters can't see pass the contract sum. The business case is secondary. They get the government's approval in principle, then they look to churn it at a premium,” says a banker.
The lessons are just as plenty.
Based on the news flow involving the oil and gas sector, it would appear as if corporate Malaysia is flushed with ludicrous gobs of cash. And it may well be. But there's no guarantee that fancy and ambitious plans could eventually be reduced to the exact opposite wobbly warts in the system.
Source: http://biz.thestar.com.my/news/story.asp?file=/2011/7/30/business/9202934&sec=business
