Thai Oil stands to benefit from a tightened refinery market resulting from the Middle East and Russia-Ukraine conflicts, ttb wealth securities’ Yupapan Polpornprasert says in a research report. The brokerage lifts its gross refining margin assumptions for the oil refinery by US$7.20 for 2026, US$1.30 for 2027, and US$1.10 for 2028. Also, the company's heavy capital-expenditure cycle from its clean fuel project is coming to an end, says the brokerage, which expects Thai Oil's free cash flow to turn positive from 2027. The brokerage raises the stock's target price to 75.00 baht from 60.00 baht with unchanged buy rating. Shares are 1.6% higher at 65.00 baht.

China Resources Power is likely to face headwinds from tight coal supply, say DBS Group Research analysts in a note. Coal supply in 1H tightened with prices trending higher amid geopolitical uncertainty, they note. Domestic mine incidents also triggered stricter inspections and constrained local coal output, they add. The analysts expect coal-fired assets to transition toward flexible-adjustment resources, as capacity payments and ancillary services diversify revenue streams and enhance CR Power's long-term operational resilience. However, they flag that near-term earnings would remain weak due to coal cost pressure and lower power prices. DBS maintains its hold rating and target price of 19.20 Hong Kong dollars. Shares are down 1.5% at HK$18.48.

Petroliam Nasional's capital-expenditure downcycle is likely to have bottomed, with spending expected to accelerate in 2027 on elevated energy prices and the need to strengthen long-term energy security, Maybank IB analyst Jeremie Yap says in a note. A dispute resolution between Petronas and Petroleum Sarawak over control of Sarawak's gas assets could also serve as a key rerating catalyst for Malaysia's oil-and-gas services sector, he adds. Yap maintains his 2026 Brent crude oil price forecast at $85 a barrel. Maybank maintains a positive rating on Malaysia's oil-and-gas sector. Perdana Petroleum and Keyfield International are its preferred picks.