DBSV Research issues an Equity Explorer report on Interra Resources with fair value $0.57 and moderate risk return. Interra is an oil & gas proxy in Myanmar and Indonesia, with two producing fields in central Myanmar as well as two producing fields and one exploration site in Indonesia. Its wells produced close to 1m barrels of oil last year, and it currently has about 24.6m of 2P (proven + probable) reserves. Myanmar is the key earnings contributor, accounting for 86% of FY12 EBITDA. ITRR has been in Myanmar since 1996, and is currently the largest onshore oil producer in Myanmar, commanding c.40% market share. Growth is expected to come from production ramp up, potential further upside from exploration assets and bids for new licences.  

Keppel Corp has secured a contract from Caspian Drilling, a subsidiary of the State Oil Company of Azerbaijan Republic (SOCAR), to build a semisubmersible drilling rig worth about US$800m. The contract value is slightly higher than expectations of US$700-750m. This contract will lift Keppel's YTD wins to S$2.47bn, forming 41% of our full year assumption of S$6bn. Maintain BUY, TP: S$13.00. 

PEC has won new contract, adding $64m to its order book. The group secured a contract to provide mechanical construction works for a mid-scale process plant in an LNG complex in Sarawak, East Malaysia.

KS Energy has entered into an agreement for the supply and construction of a jack-up drilling rig for US$165.5m. The delivery of the rig is expected to be in Q1 2014.

Mobile phone distributor MDR announced that its Myanmar partner, Golden Myanmar Sea Company (GMS), has been appointed by Nokia Sales International as a distributor of Nokia's products in Myanmar. MDR's Myanmar associate, MDR Myanmar Co Ltd, will be providing consultancy and retail franchisee procurement services to GMS.

Cacola Furniturehas inked two separate non-legally binding memoranda of understanding (MOUs), each for a possible acquisition of a goldmine in China. The proposed deals, if either one proceeds to completion, will result in a change of control and constitute a reverse takeover (RTO) transaction. Under the first MOU, Cacola is looking to wholly acquire Gold Depot Investments - which has an indirect interest in a goldmine located at Jingping county, Guizhou province - from Gold Tycoon for $250m. The second MOU is for the acquisition of 100 per cent of Shanxi Han Yin Huanglong Gold, which has an indirect interest in a goldmine located at Yellow Dragon Village, Long Ya Town, Hanyin county, Shanxi province for $130m.

Source: DBSV