RM205m Worth Of Malaysian Hotels Changed Hands In 2008
Transactions involving the buying and selling of Malaysian hotels have plunged 83%, from RM1.2b in 2005 to RM205m last year, as owners preferred to hold on to their assets as property prices appreciated. There was also noticeable absence of foreign interest in 2008, where there were no foreign buyers last year, as compared to 2006 and 2007 when more than 60% of the hotel investment volumes were by foreigners. Nonetheless, the hotel scene is gradually gaining momentum with several big players making their move. This year has seen the Novotel Hydro Majestic in KL sold to The Nomad Residences. While Sime Darby on the other hand may also close the deal on the sale of its Hotel Equatorial Malacca and Hydro Hotel Penang this year.

Perisai Petroleum Teknologi Sees Potential In MOPSU
Perisai Petroleum Teknologi will build several mobile offshore production and storage units (MOPSU), costing some US$70m each, for the development of small and marginal fields. It anticipates that business from firms in the oil & gas industry will be moving to smaller fields for oil production to meet growing energy demand world-wide. MOPSU units are still in the planning stage and Perisai is firming up details on its technical proposal. MOPSUs are fully reusable, utilising modular drilling units, integrated storage and a detachable drilling template. Conventional systems rely on drilling rigs, wellhead platforms, pipelines or a floating storage and offloading vessel. A JV which Perisai has a 50% stake in, has been formed with Kencana Petroleum and Singapore-based Ezra Holdings to develop MOPSU. If successful, Kencana will fabricate the MOPSU while Ezra will raise the necessary financing.

MASkargo Looking To Put Freighter Back In the Air
Malaysia Airlines Cargo (MASkargo) is working towards bringing its grounded 747-400 freighter back into operations by 4Q09. It had grounded the plane in March when capacity overwhelmed demand. The move saves MASkargo over RM1m a month in operating costs. The company has since cut 40% capacity off its scheduled operations and re-deployed two freighters for charter services in the last few months, in a move to maintain its load factor. The load factor is the percentage of cargo to the weight of the plane. The strategy has so far worked, as the average load factor remains at the same level as last year, at 65%. Nonetheless, the management revealed that the overall outlook for the industry would be dependent on China’s economy picking up.