Biofuel to be Mandatory?

Came across the news on biofuel from The Star yesterday. Which company will benefit from the implementation?

Mandatory sale of biofuel to start June next year

By WANI MUTHIAH

BANTING: The mandatory sale of biofuel will be implemented in the central region from June next year.
Plantation Industries and Commodities Minister Tan Sri Bernard Dompok, who said this, added that the mandatory sale would be implemented in phases beginning in Kuala Lumpur, Selangor, Putrajaya, Negri Sembilan and Malacca, and the southern, western and northern parts of Perak, Pahang and Johor.
The implementation was part of the Government’s biofuel initiative under the B5 Programme, with bio-fuel derived from blending 5% palm methyl ester with 95% diesel.
Dompok, who launched Sime Darby Bhd’s biodiesel fuel Bio-N and visited its biofuel plant in Carey Island on Wednesday, said petroleum companies had requested for some time before the implementation.
“They needed time to plan their facilities and capital expenditure,” said Dompok, adding that the Government would pay for the setting-up of biodiesel blending facilities at six petroleum depots in the central region.
The depots, which would be fitted with in-line blending facilities, would be located in Port Klang, the Klang Valley Distribution Terminal (KVDT) in Selangor, Port Dickson, Negri Sembilan and in Tangga Batu, Malacca.
An allocation of RM43.1mil would be made available for this purpose, Dompok said.
Dompok said that the price of biofuel would fluctuate according to the market price of crude palm oil and diesel.
“If there’s an increase in diesel price, it would be borne by the oil companies. They have agreed to take it on as operational expenditure,” said Dompok.
Earlier in his speech, the minister said the Government had released the National Biofuel Policy in March 2006 in line with global developments that saw nations pursuing aggressive agendas on the production and use of biofuels to reduce dependence on fossil fuels.
The policy outlined five strategic thrusts, namely the use of biofuel for transport and industry, production of biofuel for export, development of indigenous technologies and biofuels for a cleaner environment.

Clarification

After receiving two emails asking about stock recommendation/advice, I think I need to clarify again that I am not a professionally-trained investment adviser. I am in no position to advise anyone about any stocks. Please seek advice from your professional investment adviser.
Furthermore, there are a lot of books about stock investment that you can get from any bookstores. You could even get information through many good blogs around about stock investment.

I just wonder why would anyone asking for stock recommendation from stranger?

There will be some changes to the way I blog. I will remove the simulation portfolio as well. My mistake perhaps as I am still new to blogging.

Good Sign for KFima

When the largest shareholder accumulating the share, it is normally presume that the share is undervalue.
What do you think?

Best Buy of 2010

One of my best buy in 2010,

Total Price: RM13 (from Pay Less Books Warehouse Sales)
PE : 0
'Book' Value: Priceless

Books are the bees which carry the quickening pollen from one to another mind.  

~James Russell Lowell

Books are the quietest and most constant of friends; they are the most accessible and wisest of counselors, and the most patient of teachers.  

~Charles W. Eliot

A man may as well expect to grow stronger by always eating as wiser by always reading.  ~Jeremy Collier

Capitalize on India’s Infrastructure Development?

With increasing priority given to infrastructure development in India, with 20,000km road earmarked to be completed in three years, it will not be a surprise if most of  infrastructure companies' focus will be shifted to India. India, which already has one of the largest networks of road in the world, hopefully will be another market for Protasco Bhd to penetrate in.

                                           (Taken from HCM Engineering website)

 A check on the website of HCM Engineering reveals that they indeed looking forward to participate in infrastructure development in India with large delegates from the company attended the India Infrastructure Forum in London on 2^nd February 2010. The ability to penetrate into India, hopefully will be another catalyst for Protasco Bhd although it might not happen so soon.

You can refer to my previous post below,

Protasco Bhd

Protasco Bhd - HCM Engineering & Kumpulan Ikram

Berkshire Hathaway Shareholder Letters

The 2009 Berkshire Shareholder Letter had been released. As usual, a lot of wisdom from the top investor.
You can find the letter from the link below,
Berkshire Hathaway Shareholder Letters

Kumpulan Fima Bhd and Fima Corporation Bhd

                                             Source: Kumpulan Fima AR2009

Fima Corp is 60.9% owned by Kumpulan Fima Bhd ( refer above taken from Kfima AR2009).

Fima Corp meanwhile 100% owned Percetakan Keselamatan Nasional Sdn Bhd, Security Printers Sdn Bhd
and 80% Nunukan Jaya Lestari. Hence, owning Fima Corp will have more direct exposure to those companies while owning Kumpulan Fima will have exposure to those companies plus bulking and food division.

                                             Source: Fimacorp AR2009

Hope this information give a clear relationship between both companies to all readers.