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.

Have traded this over the last 8 years and its all talk about how big is going to get. Was tipped to be a FTSE100 company by certain tipsters years ago. Look at the 10 years chart - traded between 5p-10p for the last 6 six years.

Great trading stock though - buy 7p sell 9p.

Then buy at 10p

Good news.I hear that a few shorters are getting a kicking on thisI have a hunch that there is more forward momentum to come

A good day for FTO sp.

CWMAM...Look at the volume over the last couple of daysthe recent PR through ReutersTee Kiam Poon very bullish predictions with the big oil namesprice holding really wellfor a change?
Then you have someone on another bb pointing out Dart volume was 22ml yesterdaywith normal volumes are circa 2Mil.I would say too much good news to be a coincidenceand I dont believe in coincidencesthis could be a nice little earner very soonimo

Tabasco I think you are absolutely right,we should have a very merry xmas,i feel a song comming on!!

Here we go then...

I play all night, I play all day, to pay the bills I have to pay
Ain't I glad
And still there never seems to be, a million s left for me
It makes me mad
Fortune Oil, then came along
All my stocks were bang on song
I wouldn't have to work at all, I'd fool around and have a ball...

Money, money, money
really funny
Its a rich man's world.

Altogether now

We all know those crooked gang members that sell short are responsible for an unnatural price declinethey are a destructive force in the markets"Naked" short-selling is still rife and finally short-sellers spread lies about companies
Luckily there are ways shorts get burnt

In the most typical short squeeze.. market forces or favorable news drive up share prices If prices move up sharply.. shorts must immediately put up more collateral or return the shares.

Institutional shareholders mutual funds and pension funds who loan out shares to short-sellers can demand their return at any time When that happens the shorts must hand them over.

If shareholders move shares from margin to cash accounts.. shorts must return any shares borrowed from the margin account.

We have seen this with ftothe shorts must now return borrowed stock the shares must be bought on the open marketshort-sellers can sustain huge losses if prices have risenand they have!!and since their purchases drive up prices still furtherthey boost the pain of fellow short-sellerswhich is extremely pleasingthis is now happening!!...let the BBQ continue

Hi tabasco
Withought bears,bulls,short positions,long positions,etc,etc,there wouldnt be markets.
the shorters gives us the oppurtunities to buy the dips in my humble opinion,its been a good day,i am in southern Portugal having a little bit of sun,i feel a song comming on THATS LIFE,but i prefer yours.

CWMAM.you cant beat a bit of sunand as youre in Portugala round of Golf as well
Listen you can have markets without gangs getting together forcing prices downI was a Bookmaker for many yearsnever had much trouble until they permitted everyman and his dog to start laying runners on the exchangesthere have now been many Police cases and suspensions because of this practicejust look at the decision Germany took with short sellingthe problems with Bankseven Goldman Sachs The Holy Grailgot into serious troubleNo my friendbeing able to back losers has fcuked the World I could lose to a 30 stone one legged blind runner over 100 metres if the money was rightbut I couldnt beat Usain Bolt if offered 1 billion
And the trouble iswe are not all honestlol

Liulin Gas Update

TIDMFTO

RNS Number : 1624Y

Fortune Oil PLC

17 December 2010

17 December 2010

FORTUNE OIL PLC

("Fortune Oil" or the "Company")

Liulin Gas Update

Fortune Oil is pleased to provide the following update in respect of the CBM Liulin Block in China operated by Fortune Liulin Gas Co Ltd ("FLG"). The Liulin CBM project is one of the most advanced CBM projects in China and is a designated State Special Pilot Project.

Drilling of 4 horizontal in-seam wells on Liulin has been completed. 2 of the wells within 3/4/5 seam have been successfully dewatered and are collectively producing gas at the rate of 18,689 cubic meters per day (660,000 cubic feet per day). Both of these wells are commercially viable at this production rate with the expectation that flow levels can materially increase as the wells are further optimised.

In addition there is an additional well in the 3/4/5 seam and a single well in the 8/9 seam that remain in the dewatering phase.

As previously announced, an initial Gas Sales Agreement ("GSA") in relation to Liulin gas was recently signed. FLG, which has a 50% equity stake in the project, and its partner China United Coal Bed Methane ("CUCBM") who hold the remaining 50%, are in the process of securing additional GSAs.

As a result of the encouraging technical and commercial progress on Liulin, Dart Energy Limited ("Dart") has exercised its option to increase its equity stake in FLG to 45% for US$8.7m payable in two equal tranches - upon exercise and the 2nd tranche is payable on or before 30 March 2011. Fortune Oil will hold the remaining 55% in FLG. In addition, FLG will receive a reserve bonus payment from Dart referencing FLG's 2P reserve position on 30 June 2011.

FLG will apply the proceeds paid by Dart Energy to finance additional reserve certification, development planning and submitting the Overall Development Plan ("ODP") for the Liulin Block in 2011.

Mr. Qian Benyuan, Chairman of Fortune Oil, commented:

"We are extremely pleased with the progress of the Liulin block which is a key part of our overall CBM strategy in China - end-to-end gas from production to consumption. We look forward to applying for ODP in 2011 and if successful Fortune Oil will be the 1st foreign company to be granted ODP in China."

So both of these wells are commercially viable at this production rate they expect flow levels to increase ...Dart has exercised its option to increase its equity stake in FLG to 45%the shorters that have controlled the price are bailing by the daycould be a couple of pence rise today?

Make no mistakewith what Tee Kiam Poon has recently gone on record as sayingand this great news todaythe price will rocket!!!

Hi tabasco point taken,very good news again,sp moving up nicely.

More good press....
http://www.abnnewswire.net/press/en/64842/

Might be on the way to double figures today!

virtually every oily and his slick are heading north today ..... i know i'm boring, but don't forget to bank prudent profits, especially with chinese companies and those with no obvious assets to support (like BPC!)

Just did thanks for reminder cynic!

Nothing wrong with taking some profit CWwe all have our own rules/system I personally trade a lot less than most on herestocks that is!but when I bank..its normally good!
I dont intend to bank a penny of this until 40pthats my level of consideration on FTO

you know my opinion of our wily oriental cousins!