“We maintain our forecasts, which are 6% to 9% above consensus, underpinned by the full-year contribution of the fully utilised 1.3 million m3 storage facilities in Pengerang Phase 2, additional 430,000 m3 capacity from phase one and Tanjung Langsat 3’s 120,000 m3 tanks, ” it said in a research note
KUALA LUMPUR: AmInvestment Bank Bhd has maintained a “buy” call on Dialog Group
with a higher sum-of-part-based fair value of RM4.85 per share, from RM3.80 per share previously, on the back of strong demand for storage facilities driven by the current oil glut.
The investment bank said the company’s main earnings growth prospects stem from the full-year contribution of Pengerang Phase 2’s 1.3 million cubic metres (m3) storage which commenced operation in the third quarter of 2019 and Tanjung Langsat 3 terminal’s initial 120,000 m3 capacity, of which half was commenced in October 2019 and the rest in January 2020.
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