Kris Energy

Kris Energy: CIMB has an unrated report on the counter. Note that led by an experienced team with a proven track record, KrisEnergy is a young but promising E&P company with a multi-asset balanced portfolio across Southeast Asia. Its existing reserves appear to be priced in but share price could be catalysed by new discoveries. Being in the early stage of E&P, KrisEnergy has yet to accumulate substantial reserves. Based on its peer group’s average EV/reserves of 39.3x, KrisEnergy could be worth S$1.25 on its 2P reserves. Successful new discoveries of oil and gas is needed to move the needle. House see this most likely in Vietnam where hitting a low estimate of risked recoverable prospective resources could raise its value to $2.21 per share.