SMM

SMM: is -1.8% at $4.38, following the failure of the jack-up mechanism of a jack-up rig at Jurong Shipyard which caused the injuries of workers. 77 of the 89 workers who were admitted to hospital for observation or treatment have been discharged as at 7.30pm yesterday. According to newswires, the rig involved is a Friede and Goldman JU3000N for an American customer, which OCBC believes is likely to be Noble Corp. The house believes that the scheduled delivery date is around the end of next year, and chances of a delay in delivery are unlikely to be high. Investigations are ongoing. Meanwhile, the house keeps its Buy rating with TP $5.84 .