ExxonMobil May Acquire Petrochemical Complex in Singapore

ExxonMobil May Acquire Petrochemical Complex in Singapore

ExxonMobil Corporation XOM is reportedly holding discussions for the
acquisition of a refining and petrochemical complex in Singapore. The
company, through this buyout, aims to enhance the production of fuel and
chemical in Asia. However, no deal has been inked to date.

The U.S oil giant is in talks with the receiver for Singapore-based Jurong
Aromatics Corporation Pte Ltd. regarding the purchase of the Jurong Island
properties of the latter. Per Reuters, Jurong Aromatics Corporation placed
itself into receivership in Sep 2015, and Exxon Mobil is likely to acquire
the bankrupt company.

The accord, if successful, will increase Exxon Mobil's paraxylene capacity
to 1.8 million tons, annually.

Irving, TX-based ExxonMobil is the world's largest publicly traded oil
company, engaged in oil and natural gas exploration and production,
petroleum products refining and marketing, chemicals manufacture, and other
energy-related businesses.

ExxonMobil is the world's best run integrated oil company based on its track
record of high return on capital employed. It has long been a core holding
for investors seeking defensive as well as continued dividend growth.

Despite its strong fundamentals, ExxonMobil's shares underperformed the Oil
& Gas-International Integrated industry in the last six months. During the
aforesaid period, the stock lost 6.1% compared with 0.8% decrease for the
broader industry.

As a result, ExxonMobil carries a Zacks Rank #3 (Hold).

Some better-ranked players in the energy sector include Antero Resources
Corporation AR , Pioneer Natural Resources Company PXD and Energy Transfer
Equity, L.P. ETE . Antero Resources and Pioneer Natural sport a Zacks Rank
#1 (Strong Buy) while Energy Transfer carries a Zacks Rank #2 (Buy). You can
see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .

Antero Resources' earnings beat the Zacks Consensus Estimate in all the
prior four quarters with an average positive earnings surprise of 239.10%.

Pioneer Natural's earnings surpassed the Zacks Consensus Estimate in three
of the prior four quarters with an average positive earnings surprise of
21.86%.

Energy Transfer is expected to witness year-over-year earnings growth of
42.12% in 2017.

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Link to Original Article:
http://www.nasdaq.com/article/exxonmobil-may-acquire-petrochemical-complex-i
n-singapore-cm771285

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com