#2 Rex International
Rex International Holding Limitedis an oil exploration and production company listed on Singapore Exchange Securities Trading Limited’s Catalist Board. Since the Company’s listing in July 2013, the Group has achieved two offshore discoveries, one each in Oman and Norway.
As of the 2019 third-quarter report, revenue decreased by 57% to $135,000. However, a noteworthy point is that net profit increased to $25.9 million from a negative position in 2018. This was due to the sales of interest in licenses and gain in the fair value of quoted investment.
The increase in oil prices is a direct boon for Rex International as it is now proceeding to drill the Oman wells for oil. Either that or it can sell its licenses at a much higher price to lock in fat capital gains.
Rex International last closed at $0.205, which values it at a P/B ratio of 1.3x. It does not pay out any dividends.
Next up, lets zoom into 2 gold plays below…
#3 CNMC Goldmine
CNMC together with its subsidiaries are principally engaged in the business of exploration, mining of gold and the processing of mined ore into gold dores. The Group is currently focusing on the development of its flagship project – the Sokor Gold Field Project which is located in the State of Kelantan, Malaysia.
As of the 2019 third-quarter report, the company’s revenue increased by 16.9% to $31.5 million. Net profit improved by an astounding 384% to $5.2 million. The increase in net profit is due to costs staying relatively unchanged, while revenue increased greatly.
With gold prices rallying to new heights, the company can price its gold at higher prices while keeping the costs the same as mining operations stay the same. This will increase the profits further as gold prices are elevated.
CNMC Goldmine last closed at $0.2850 and is valued at P/E ratio of 21.92 with a dividend yield of 1.51%.