Stock Track | Oiltek Soars 6.25% Intraday on Major Sustainable Aviation Fuel Contract Win

Stock Track

04/09

Oiltek's stock price surged 6.25% during intraday trading on Thursday, following the announcement of a significant contract win that is expected to substantially boost the company's financial outlook.

The renewable energy solutions provider has secured a contract with Bioseaga Industries to build a sustainable aviation fuel plant in Sabah, Malaysia. Valued at approximately US$350 million, this project is projected to increase Oiltek's order book fivefold and nearly quadruple its earnings for 2027, according to analyst estimates from UOB Kay Hian.

In response to this development, UOB Kay Hian has raised its 2027 earnings forecast for the Singapore-listed company by 187% and increased its target price on the stock to S$2.78 from S$1.05, while maintaining a buy rating. The substantial contract represents a major growth opportunity for Oiltek in the sustainable energy sector.

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