Main Web Site : http://www.fortune-oil.com/

CBM Partner Web site : http://www.molopo.com.au

IC Write Up : 21st Apr 2006 IC Write Up

Last Major News : 18th Apr 2006 Coal Bed Methane Project

Prelims : 27th Apr 2006 Prelim Results Link

Latest Broker Forecasts : Oriel 7th April 2006 BUY

Prelim Results and Further Updates due around 25th to 27th April 06

ABOUT FORTUNE OIL

For over a decade Fortune Oil PLC has focused on investments and operations in oil & gas infrastructure projects in China and remains one of the few overseas companies operating oil terminals and supplying natural gas in China, all in partnership with the countrys largest oil & gas companies
Fortune Oil PLC is incorporated in England and Wales and is subject to UK Listing Rules and compliance regulations. The largest shareholders are First Level Holdings Limited, Vitol and major Chinese state-owned corporations.

NATURAL GAS :




China will be the world's largest growth market for natural gas as supplies of this clean and economically attractive fuel become more accessible. Fortune Oil's investments in natural gas are principally through Fu Hua, a joint venture with a PetroChina affiliate, which on-sells gas from the pipelines supplying Beijing. In north China Fortune Oil controls and operates distribution pipelines and city gas reticulation systems as well as facilities to produce and transport Compressed Natural Gas (CNG).
Fortune Oil is now one of the leading providers of CNG in Beijing, providing clean fuel for buses, households and factories. In October 2004 Fortune Oil also became the first overseas company to supply LNG (Liquefied Natural Gas) to users in China, delivering LNG by road to the ancient city of Qufu, the home of Chinese philosophy.

OIL TERMINALS :
Maoming SPM

Fortune Oil established the Maoming Single Point Mooring (SPM) in December 1994 to supply crude oil to Sinopecs Maoming refinery, the largest in southern China. The SPM now delivers 10% of Chinas crude oil imports. It allows VLCCs (Very Large Crude Carriers) of up to 280,000 tonnes to moor and deliver crude oil via a 15 km sub-sea pipeline. The SPM is owned and operated by a joint venture company, Maoming King Ming Petroleum Company Limited, and the other main shareholder is Sinopec Maoming Petrochemical Corporation.
The SPM buoy is commonly used throughout the world for loading and unloading liquids but the Maoming SPM remains the only buoy system in China used for importing crude oil. Fortune Oil believes that the SPM concept is a cost-effective solution for importing crude oil into China as many ports are shallow and will become more congested as demand increases. The only alternative to a buoy system in many ports is to dredge channels for large tankers. The SPM has provided significant cost savings to the Maoming refinery through its low operating costs and VLCC capability.

Products Terminals

The oil products market in China is in the process of deregulation and this will allow a larger role for foreign companies in the import and distribution of refined products. Fortune Oil remains one of the few foreign companies with interests in products terminals.
Fortune Oil and Vitol jointly developed the West Zhuhai Oil Products Terminal at the western entrance of the Pearl River Delta. These facilities came on stream in 1998 and comprise 240,000 cubic metres storage and jetties for receiving and distributing refined products. It is one of the few products terminals in south China able to handle 80,000 dwt ocean-going tankers. A controlling stake was sold to PetroChina which uses the terminal for supply of diesel to south China.
In addition Fortune Oil controls a LPG terminal and supply business (Fu Duo), which has 80,000 customers in Zhanjiang city, and owns storage facilities in Shantou. Prior to the restructuring of the China oil industry in the late 1990s, Fortune Oil was also a major participant in the gasoline retail market and in oil trading. We continue to operate two gasoline stations in Beijing but our trading activities are limited to low-risk domestic trading.

Blue Sky Aviation Oil

The South China Bluesky Aviation Oil Company owns and operates the refuelling infrastructure at 15 airports in south China. These include Wuhan, Guilin and the new Guangzhou Baiyun International Airport. Fortune Oil and BP each hold 24.5% of the joint venture and Beijing-based China Aviation Oil Supply Corporation (CAOSC) holds 51%. The consumption of jet fuel in China is rising significantly, particularly at Guangzhou because of pent-up demand in the Pearl River Delta.
The new Guangzhou airport was opened in August 2004. The construction cost was US$2.3 billion and it is almost four times the size of the old airport in downtown Guangzhou. The new airport is capable of handling 25 million passengers and 1 million tonnes of cargo per year and ranks number three for aviation fuel sales in mainland China.

Be careful what you wish for hightech - after surging ahead again today FTO ended the day in negative territory.

Yes ...queen1 is rightfor SEY 16p is a long way up !, if FTO drops back a bit more I might buy back in...(missed the rise from 10p to 14p), but made it up on others...all in all...the oil stocks are doing well...$126 a barrel now and counting...unbelievable....but it is an essential in the world we live in !

nice to see legal & general pensions buying in a 3%+ interest of some 57 million shares, type of investor company needs, profit taking today = good buying opportunity in my opinion.

This is scaring a few people off, I agree gr8t buying opportunity will go back above previous high soon. imo

My pension is at L&G - so hope this is a shrewd investment

FTO is falling back now

Don't miss the opportunity. It should get back up soon.... 1p rise a day IMO

Is the news on the earthquake causing the sp to fall back??

i'me thinking the same cwmam we start to get going and they have to have an earthquake any body know if it is anywere near where they are drilling?

Bought in at 10.48 and 10.73.

are we seeing the end of the profit taking from the sudden rush upwards last week? hopefully. maybe we need a little stabalisation now before going forward

Chinese A shares sharply lower on worsening quake wories.I have sold a large
slice of my FTO holdings ,may buy back in on positive news.

Yet FTO finished the day up when most around floundered in a sea of red...

FTO operations are relatively far away and unaffected by events ie. earthquake.
(news from another site).?

Anyway, I hope these aftersocks stop soon. Poor people living there.

No ahoj ,fto seems to be unaffected,i hope the aftershocks stop.

10% recovery for DGO without news!!

I think that China's move (hiking fuel prices) might help FTO, I hope that FTO will not be affected by the Earthquake...., might even benefit from the reconstruction.

Price hikes+agm coul be an interesting week for F.T.O.

Company Alert
Proposed Investment in Fortune Oil by Kerry Holdings
Fortune Oil announces that a conditional agreement was signed today with a wholly owned subsidiary of Kerry Holdings Limited ("Kerry Investco") for a subscription for 91,816,800 new ordinary shares of...

Click here for the full article! http://www.oilvoice.com/n/Proposed_Investment_in_Fortune_Oil_by_Kerry_Holdings/823a3db8.aspx

http://www.oilvoice.com/n/Proposed_Investment_in_Fortune_Oil_by_Kerry_Holdings/823a3db8.aspx