$Rex Intl (5WH.SG)$ Yumna Field continues to underperform. M...

UOB Kay Hian analysts are maintaining their "sell" call on Rex with an unchanged tp of 0.10, after the company released its latest operation data for the month of Oct.

On Nov 14, Rex announced that its 91.81%-owned Yumna Field in offshore Block 50 in Oman only managed an "anaemic" 1,304 bpd of oil production, showing a 20% m-o-m and 65% y-o-y decline.

The latest problem at the field was a shutdown in production on Oct 25 due to "damage to the internal pressure containing liner of the newly installed larger flowline", Rex explained in its statement.

The analysts, in their Nov 27 report, note that no guidance was given as to when the field, which produced an average of nearly 11,000 bpd in 2021, would be re-started.

"With Yumna continuing to underperform, Rex's average production year-to-date (ytd) stands at just over 9,000 bpd and is far from its 20,000 bpd target," they write.