Kentz Share Discussion Threads

[rivaldo] 12/5/2014 14:43

The Valerus acquisition looks like giving KENZ a big boost in Africa:



"Kentz says Valerus acquisition strengthens its SA shale-energy hand
By: Terence Creamer
12th May 2014

The African region of engineering and construction group Kentz believes it is strongly positioned for any future shale-gas extraction activity in South Africa, following the recent acquisition, by the London-listed group, of integrated oil and gas solutions provider Valerus, of the US.

The South African government has indicated that it intends putting in place the regulatory framework required to facilitate shale-energy exploration and development and has also indicated that it would like to see gas playing a more significant role in the country's future energy mix.

The regulations have not yet been finalised, though, and a number of organisations have been formed to oppose shale-gas mining in the Karoo, owing largely to the water intensity of the process in what is a water-stressed region. In addition, some observers have warned that amendments to the Mineral and Petroleum Resources Development Act, which include a 20% free-carry for the State in oil and gas projects, might dampen investor appetite.

Nevertheless, regional development director for Africa Colin Crowley believes Valerus' process-engineering capabilities could enable Kentz to become a significant service provider to domestic gas producers should a shale-energy sector eventually start to emerge.

Valerus was acquired by Kentz for $435-million in January and currently offers oil and gas surface facility services in North and South America, where it has developed extensive gas-handling and processing expertise.

"This acquisition opens a door for us in this emerging and relatively niche market," Crowley says.

The Houston-based company has solutions that are applicable to both conventional and unconventional gas producers and regional MD for Africa Carl Dyer says these could also enable Kentz to participate more fully in the natural gas projects that are starting to take shape in East Africa, especially in northern Mozambique and Tanzania.

Both Anadarko, of the US, and Eni, of Italy, have made astonishingly large gas discoveries in the Rovuma basin and both companies are currently advancing plans for liquefied natural gas export terminals in Mozambique.

Dyer points out that Kentz, whose global activities are strongly aligned to the energy sector, has been active in Mozambique for a number of decades and says the group is currently developing a standalone office in Maputo. Johannesburg, however, will remain the group's African headquarters.

Kentz further consolidated its position in Mozambique earlier this year, when Brazilian miner Vale awarded the company coal processing and handling contracts for Phase 2 of the Moatize development, in the Tete province. It is also busy with aspects of the first phase of an infrastructure programme for Nacala, in northern Mozambique, and is hopeful of being awarded additional contracts relating to the ongoing upgrade of the Nacala port.

Africa as a whole is also viewed as an important growth market for the 14 500-employee-strong group, with the region currently comprising only 11% of its $15.6-billion project pipeline.

Kentz, which entered the African market three decades ago to support the development of Sasol, has grown to employ 5 000 people and is also currently eyeing prospects in West Africa, especially the energy-rich markets of Angola and Ghana."

[steeplejack] 24/4/2014 14:04

Yes,Barclays has it XD today 10.9c,record date on Friday

[simon42] 23/4/2014 16:03

Ex div is always a weds even if stated as Friday by the company. Don't know why.

[fizzypop] 23/4/2014 15:06

And alter ego is right as Google Finance have it shown as ex-divi today.

[fizzypop] 23/4/2014 15:00

msg 4914 and for those who are unable to scroll back two pages.

Divi Dates........

(A) FINAL DIVIDEND
The Directors have proposed a final dividend of 10.9 US$ cents per share which would make a total dividend payment
of 17.5 US$ cents per share for the year ended 31 December 2013. The final dividend payment will be made in May
2014 to shareholders on the register at the close of business on 25 April 2014.

[alter ego] 23/4/2014 14:40

Ex div is normally a Wednesday. Friday is more likely to be the record date IMO.

[fizzypop] 23/4/2014 14:31

Ex-divi Fri 25 April

[dominikzay] 23/4/2014 13:23

ex dividend day today ?

[alter ego] 23/4/2014 11:58

to be fair, it would be surprising if Kenz didn't regularly win contracts. They do reinforce their ability to meet market expectations but whether they mean the market should update those expectations is another matter. I am long KENZ FWIW.

[steeplejack] 23/4/2014 11:55

The market is becoming somewhat blasé about these contract wins!

[apad] 23/4/2014 07:54

Need some from the US of A, Riv. See what you can do:-)
AMEC statement lacklustre today. Comment about adverse effect of exchange rate.
apad

[cumnor] 23/4/2014 07:37

Solid, slow burner, the kind that could attract a mrkt cap of several billion over a few years winning bread and butter contracts, doing its stuff, without the quickie speculators noticing. It will imo be gobbled up soon, I fear. Anyway good stuff Kentz. Imo

[rivaldo] 23/4/2014 07:04

What a company this is - yet another contract win, this time $125m and nice secure income over 5 years going forward:



"Kentz awarded a US$125m 5 year contract in Kuwait by Fluor

London, 23 April 2014 - Kentz Corporation Limited (LSE: KENZ), the holding company of the Kentz engineering and construction group, is pleased to announce the award of a major five-year cost reimbursable contract by Fluor Kuwait Company, with an estimated value of US$125m.

Under the terms of the contract, Kentz will supply multi-discipline technical and supervisory personnel on a reimbursable basis to meet Fluor's supplementary manpower requirements on Fluor's Consultancy Services in Project Management and Related Activities contract for Kuwait Oil Company. The reimbursable contract will be executed through Kentz's Engineering and Projects business unit.

Tush Doshi, Group President, Engineering and Projects business unit for Kentz commented: "We are very pleased to have been awarded this major contract that once again demonstrates our ability to win repeat business with core clients. Our focus on client delivery continues to see long-term benefits for the Group and we are delighted to be continuing our long standing relationship with Fluor in Kuwait, a region where we have served the needs of capital projects since the early 1980s." "

[fizzypop] 22/4/2014 08:46

Thanks Whizz and good luck. Will digest over breakfast.

[whizzy1] 21/4/2014 20:21

Just to add fizz, even if you put a stop loss in place, and it triggers, you still get shafted when the shares hit the market due to the lower offer price, although Kentz is a pretty tight spread these days, but no stamp duty, bonus.

[whizzy1] 21/4/2014 20:11

Completely depends on volatility and trading range as to which point I buy, plus I use percentages, not prices, when I buy in a a strong upward trend, I always allow 2% but if I'm trying to re-enter (guess the bottom of the highest low) I stick with 3%, I'd rather loose a little and try again later, Re: Naked Traders style, then swap it for a trailing stoploss when I think (guess) the stock is back in an upward trend.
I also think it helps being a bit anal on one particular stock, I can say in all honesty I check this stock (Kentz) at least 10 times a day, plus as much news as I can google on evenings (iPad/bath sorry) lol that may warrant a stop move the next day ie, Ukraine at the moment unfortunately, and I've been doing this for the last 5 years.
I've done quite a bit of top slicing recently, spent the dosh on a new business venture (cafe) and a few years back I also bought a small house with profits, but still have what some would call a large amount, in the godsend, otherwise known as Sharesave ISA, no family so no one will suffer if I loose the lot.

[fizzypop] 17/4/2014 08:29

Hi Whizzy
What did you consider 'a well placed stop' on your 707p purchase? Thx.

[rivaldo] 17/4/2014 07:40

More comment from MGW - KENZ are "dominant" in LNG:



"Kentz Corp

Another contract for Kentz, this time in Canada from Suncor, a new client for the company won last year. The $64m award is for telecoms work in the oilsands and is further scope on a contract won last year for this client. Unlike some of its peers, Kentz continues to do well in Canada and their telecoms expertise bodes well for the future especially in LNG where they are dominant in the market. The Kentz price has drifted from the recent highs and I am confident that they will continue to do very well."

[whizzy1] 16/4/2014 17:20

And don't forget a well placed stop loss!

[whizzy1] 16/4/2014 17:18

It's anyone's guess, but personally I made a stink load of cash on the dip, with a quality company such as Kentz, a 'good' dip is a great buying opportunity IMO.

[fizzypop] 16/4/2014 17:10

Disagree Fruitninja84. Currently Dow +0.71%, Nasdaq +0.87%, VIX below 15.
Kenz, being a quality share, was bound to bounce back sharply. Short term noise in my opinion. Buying on the up is usually a tad too late. I may be wrong and the DOW may tank but Kenz will retain value despite any gyrations in the share price

[fruitninja84] 16/4/2014 16:19

Anyone else get the feeling that this 'bounce' is fake and the market will keep hammering this down with a lot of other stocks ? What if the Dow tanks tomorrow and so does the 250? Gains today will surely be erased , but of a mugs game buying anything in this market imo

[rivaldo] 16/4/2014 13:47

Good insight from Liberum:



"Elsewhere in the FTSE 250, oil and gas services group Kentz rose as much as 2.2pc on the announcement it had won a $64m extension to its contract to set up a telecommunications system at the Fort Hills oil sands project in Canada.

The original contract was secured last year by Kentz's technical support services business, while the new work was won by its engineering and projects division. Liberum's analysts said "the encouraging news is that it shows that Kentz can win contracts through one business unit and then bring others into play to extend the work scope"."

[rivaldo] 15/4/2014 07:24

Another contract win today - time for a bounce:



"Kentz awarded US$64m Canada Telecoms contract
15 April 2014

Kentz awarded further scope in Canada for the Fort Hills Oil Sands Project

London, 15 April 2014 - Kentz Corporation Limited (LSE: KENZ), the holding company of the Kentz engineering and construction group, is pleased to announce that it has secured a further scope of work on the telecommunications contract for the Fort Hills Oil Sands Project in Canada.

Kentz Canada Ltd is the main telecom contractor for the project. The scope has been extended to include full engineering, design and procurement of the project telecommunication systems. This CAD$70m (US$64m) order will incorporate reliable and modern state-of-the-art technologies, with a proven track record to ensure the effective construction and operation of the plant site for the permanent information technology infrastructure. Having been given the original award in March 2013, the project will be running to July 2017 and is being executed out of Kentz's Calgary engineering centre of excellence in Alberta, one of Kentz's five regional centres.

etc"

[whizzy1] 14/4/2014 17:49

Agree steeplejack, Sunday evening was spent researching everything I could in relation to market news/sentiment for the forthcoming week, Ukraine, earnings in the States, upcoming data etc, plus overtones of a 10% market correction being well overdue (every five years apparently) I simply raised my stop, took my profits, then re-entered when I thought things had calmed down. I'll do another assessment this evening and adjust my stop loss accordingly.
Be up again tomorrow, oversold rather than a dead cat IMO.