Strong order book augurs well for Bumi Armada

Kenanga Research said its earnings assumptions for the company remained conservative.

PETALING JAYA: After achieving first oil at Sterling 5 floating, production, storage and offloading (FPSO) vessel, analysts expect Bumi Armada Bhd and project partner to secure final acceptance from the client by the end of the first quarter 2024 (1Q24).

Since it has not provided a date for the asset’s final acceptance at this juncture, Kenanga Research said its earnings assumptions for the company remained conservative with no contribution from FPSO Sterling 5 factored into the 4Q23 and 1Q24.