profits ahead of last years.the company has 80% interest in a joint venture with china national petroleum corp(cnpc).market makers bought a lot of stock on friday followed by big buys on monday.profit taking on tues am then buyers back in pm.any views?

emailpat
I was thinking the same but it looks like basharat was spot on.Just read on another site a statement regarding fortune avaition updating details about the approval of the deal and minor changes.As basharat said "after hours Tuesday"

with regards to news on fortune oil,strange there is no rns.

Well,after reading the statement posted on the other sides bb it certainly slightly changes things and although they have agreed in principal it appears it has not been passed yet.Looks like it could have an impact on the shares but which way.

Acquisition Of The Entire Issued And Paid-Up Capital Of Fortune Aviation Holding Limited




Singapore, 27 July 2004 - Further to the Company's announcements dated 5 and 9 February 2004 on the above matter, the Directors of the Company wish to announce the following. Capitalized terms that are not otherwise defined in this announcement shall bear the meanings given to them in the earlier announcements.

(A) ADJUSTMENTS TO CONSIDERATION

Under the sale and purchase agreement (the "Sale and Purchase Agreement") dated 20 January 2004 and entered into between the Company and Fortune Aviation Holding Limited (the "Vendor"), the aggregate value of the consideration was RMB 441 million or S$ 91.88 million (based on an exchange rate of RMB 4.80 = S$ 1.00), to be satisfied by:-

(i) a cash payment by the Company to the Vendor of the sum of US$ 21.7 million (being the equivalent of approximately RMB 180 million based on an exchange rate of RMB 8.28 = US$ 1.00);

(ii) the issue and allotment by the Company to the Vendor of 37,760,000 new Shares in the Company at an issue price of S$ 1.33 per Consideration Share; and

(iii) the grant by the Company to the Vendor of an option (the "Option") to subscribe up to 26,000,000 new shares in the Company at a subscription price of S$ 1.60 per Option Share, pursuant to an option agreement to be agreed between the parties.

An option agreement (the "Option Agreement") was entered into between the Company and the Vendor on 26 March 2004 formalising the terms of the Option.

Under a letter agreement (the "Supplemental Agreement") dated 28 April 2004 between the Company and the Vendor, the Company and the Vendor agreed to adjust the Consideration to place the Vendor in the same economic position as if completion of the Acquisition took place on or before the record date for the dividends declared by the Company and the bonus issue (the "Bonus Issue") of 276,479,993 new Shares on the basis of 2 Shares for every 5 Shares held in the capital of the Company, both of which were announced on 29 February 2004.

As a result of the Supplemental Agreement, the aggregate value of the consideration was adjusted to RMB 447.34 million (or S$ 93.20 million, based on an exchange rate of RMB 4.80 = S$ 1.00), comprising:-

(i) a cash payment by the Company to the Vendor of the sum of US$ 21.7 million (being the equivalent of approximately RMB 180 million based on an exchange rate of RMB 8.28 = US$ 1.00) and an additional cash payment of S$ 1,321,600, based on the dividend of S$ 0.035 per Share declared and approved by Shareholders and the original number of 37,760,000 new Shares to be issued as Consideration Shares;

(ii) the issue and allotment of 52,864,000 new Shares as Consideration Shares (comprising the original 37,760,000 new Shares and an additional 15,104,000 new Shares) at the issue price of S$ 0.95 per Consideration Share, on the basis that an additional 276,479,999 new Shares were issued pursuant to the Bonus Issue; and

(iii) the adjustment of the Option to allow for the subscription of up to 36,400,000 new Shares at a revised subscription price of S$ 1.143 per Option Share.

The Consideration Shares, when allotted and issued, will rank pari passu in all respects with the existing Shares of the Company, except that they shall not rank for any rights, dividends, entitlements or other distributions the record date for which falls on or before the completion date pursuant to the Sale and Purchase Agreement.

The Option Shares, when allotted and issued, will rank pari passu in all respects with the existing Shares of the Company, except that they shall not rank for any rights, dividends, entitlements or other distributions the record date for which falls on or before the date of issue of such Option Shares.


(B) UPDATEs to the ILLUSTRATIVE FINANCIAL EFFECTS



The Company wishes to advise that the illustrative financial effects of the Acquisition as announced on 5 February 2004 were based on the audited financial statements of the Company and the Vendor for the financial year ended 31 December 2002. Subsequent to the earlier announcements, the Company undertook the Bonus Issue and released its audited accounts for the financial year ended 31 December 2003.

For illustrative purposes only, assuming the Acquisition was completed on 31 December 2003 and based on the audited accounts of the Company and the Vendor for the financial year ended 31 December 2003, the effect of the Acquisition on the net tangible assets of the CAO Group and the net tangible assets per Share (as adjusted to take into account the Bonus Issue) would have been as follows:-

http://www.listedcompany.com/ir/cao/newsroom/newsroom.cgi?action=view_news&id=148

Morning All , this deal just gets better by the day,i am sorry guys if i was Bruce Mcgowan vice chairman Fortune Oil i woild nave a big smile on my face today after the adjustments to the deal for the sale of Bluesky Aviation stake.

no of shares given to fortune as part of sale before adjustments 37,,760,000
no of shares given to fortune as part of sale after adjustments 52,860,000
no of options given to fortune as part of salw before asjustments26,000,000
no of options given to fortune as part of sale after adjustments 37,400,000
Fortune also been given a nice dividend payment.

Everything is looking bright and beautiful at Fortune were just waiting approval off the prc .

regards bowman

The Bluesky Aviation deal must be worth around 60 million , that values the rest of the company at just 27 million . Therefore the company must be undervalued after the deal goes through with core interests doing well and new joint ventures looking good money earners. Those options look very interesting as china aviation oil (singapore corp) looks a very progressive company and has quadrupled in price since float three yaars ago.Well i think there is some intersting things lie ahead for Fortune Oil

regards bowman

yeah , all good . but when?

hi all,
has the deal got to be completed by the end of july still?,everything looks so rosy i can`t understand why the price is`nt higher.they`ve had good results,fantastic deal with bluesky and a new JV deal,surely it`s got to rocket,has`nt it?
dexter

According to bloomberg Yukos problems would stop rail shipment to China. Would this not mean that FTO would benefit ?

I believe Dexter that the deal can carry on till approval is given by the chinese goverment and i am guessing that if we do not here anything in the next two days we will get an announcement off the company next week as to how far the approval process has gone. Fortune might be on a fast track in china, yet some how i don't think the chinese goverment approval board are .

regards bowman

it`s going right to the wire,let`s hope it`s worth it
dexter

Last business day!!!!

if the deal was`nt going to be finalised by the end of july should`nt fortune have put out an rns saying why and far the deal was down the line?.after all we are the shareholders and they do have a responsibilty to us.
a disgruntled dexter

The company will probably give shareholders an update in the weeek ahead as to what is happening.


bowman

bowman: you are sad!

...with sympathy....

update released. Presumably just a matter of time as it seems to on course.

Right on the button ,still going ahead but you guys may recall i did say recently that the chinese approval commission were a bit on the slow side and i did say todays statement would come out. Seine you piece of crap stick this up your arse.

regards bowman

Fortune Oil PLC
02 August 2004


2 AUGUST 2004

FORTUNE OIL PLC ('Fortune' or 'the Company')

UPDATE ON BLUESKY DISPOSAL

Earlier this year, Fortune Oil announced the proposed disposal (the 'Bluesky
Disposal') of Fortune Aviation Holding Limited, which owns a 24.5 per cent.
interest in South China Bluesky Aviation Oil Co Limited, to China Aviation Oil
(Singapore) Corporation Ltd ('CAO').

At Fortune Oil's Annual General Meeting on 25 June 2004, it was stated that the
Company continued to monitor the approval process in relation to the Bluesky
Disposal by the State-Owned Assets Supervision and Administration Commission of
China ('the Commission') (a necessary condition of the Bluesky Disposal) but
that completion was expected by the end of July.

On 27 July 2004, CAO announced that the Singapore Stock Exchange had given its
approval in principle for the listing of and quotation for the new shares in CAO
to be issued to Fortune Oil under the terms of the Bluesky Disposal.

Fortune Oil today announces that the approval process by the Commission has
taken longer than had originally been anticipated. The Company continues to
monitor the approval process in relation to the Bluesky Disposal by the
Commission on a day-to-day basis and looks forward to announcing the completion
of the Bluesky Disposal as soon as the necessary approvals have been obtained.

Fortune Oil has agreed with CAO an extension of the date for fulfilment of this
final outstanding condition in regard to the Bluesky Disposal.

ENQUIRIES:

Fortune Oil PLC Tel: 020 7589 2233 (UK)
Bruce McGowan - Executive Vice Chairman Tel: 00 852 2583 3113 (Hong Kong)
John Pexton - Deputy Chief Executive

Oriel Securities Limited Tel: 020 7710 7600
Simon Bragg
Natalie Fortescue

ICIS Limited Tel: 020 7628 1114
Archie Berens or 07802 442 486




This information is provided by RNS
The company news service from the London Stock Exchange

Thanks for putting this info up Andy .

regards bowman


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