OIL & GAS 
[%MkqY%] [%mZxm%] [%ibXl%] 
Research by HLIB 
Overweight 

“Bracing for a post-monsoon euphoria”

We retain our OVERWEIGHT rating on the sector with unchanged average Brent oil price forecasts at USD85/bbl for 2024/2025. Post monsoon, we believe local offshore activities will run at full throttle and lift topside maintenance contractors and OSV fleet owners in the coming quarters. The award of Pan Malaysia MCM-HUC packages, POV tender and Project Safina 2 are key rerating catalysts. With oil price staying above USD80/bbl, we expect drilling and FPSO markets to remain tight in view of rising E&P activities around the globe.

Analyst(s):
Brian Chin
[%JDkx%]

OIL & GAS 
$KLSE-DIALOG $KLSE-ARMADA $KLSE-VELESTO 
Research by HLIB 
Overweight 

“Bracing for a post-monsoon euphoria”

We retain our OVERWEIGHT rating on the sector with unchanged average Brent oil price forecasts at USD85/bbl for 2024/2025. Post monsoon, we believe local offshore activities will run at full throttle and lift topside maintenance contractors and OSV fleet owners in the coming quarters. The award of Pan Malaysia MCM-HUC packages, POV tender and Project Safina 2 are key rerating catalysts. With oil price staying above USD80/bbl, we expect drilling and FPSO markets to remain tight in view of rising E&P activities around the globe.

Analyst(s):
Brian Chin
brianchy@hlib.hongleong.com.my