1. China Aviation Oil (Singapore) Corporation Ltd 1 Fuelling The Rapidly Growing China Aviation Industry

2. China Aviation Oil (Singapore) Corporation Ltd 2 Presentation Outline Section 1 Who We are Section 3 Proven Track Record Section 4 Growth Strategy Section 2 Our Unique Business Section 5 Summary Section 6 Issue Statistics

3. China Aviation Oil (Singapore) Corporation Ltd 3 Who We Are Section 1

4. China Aviation Oil (Singapore) Corporation Ltd 4 Who We Are The Sole Jet Fuel Procurement Arm Of China’s Civil Aviation Industry Who We Are

5. China Aviation Oil (Singapore) Corporation Ltd 5 Business International Trading Jet Fuel Procurement Pudong & HK  Jet fuel procurement is low risk and provides steady earning growth  International trading is built up on the jet fuel procurement business  Planned investments will strengthen and grow our business Who We Are

6. China Aviation Oil (Singapore) Corporation Ltd 6 Milestones 1993 Established as a joint venture in Singapore 1995 Became the wholly- owned subsidiary of CAOSC 1998 Turned loss into profit 1999 Expanded regionally and increased product portfolio 2000 Implemented risk manage- ment Who We Are

7. China Aviation Oil (Singapore) Corporation Ltd 7 Our Unique Business Section 2

8. China Aviation Oil (Singapore) Corporation Ltd 8 CAO’s Uniqueness Leveraging On the Growing Chinese Aviation Industry Sole Jet Fuel Importer Our Unique Business Proposed Acquisition of a Stake in Shanghai Pudong International Airport Aviation Fuel Supply Corporation Ltd. --- the most profitable jet fuel operations in China

9. China Aviation Oil (Singapore) Corporation Ltd 9 Leveraging On the Growing Chinese Aviation Industry Our Unique Business  GDP will grow at 7% and above, probably exceeds 10% in some years - Far East Economic Summit  Foreign Reserve will exceed USD 200 bn, Chinese people’s deposit will exceed USD 400 bn in the year of 2002 - Lianhe Zaobao  China will overtake Japan and Germany as the second largest trading country by 2012 and will be the largest trading country by 2016 - Lianhe Zaobao  China is expected to be the same economic entity as the USA by 2020 - World Bank The Macro Picture of China’s Growth

10. China Aviation Oil (Singapore) Corporation Ltd 10 Leveraging On the Growing Chinese Aviation Industry Our Unique Business China has been a net oil importing country since 1993 Petroleum Demand Outstrips Supply In The Long-Term 0 2,000 4,000 6,000 8,000 10,000 12,000 ProductionConsumption Source: Energy Information Administration, US (EIA)

11. China Aviation Oil (Singapore) Corporation Ltd 11 Leveraging On the Growing Chinese Aviation Industry Our Unique Business Source: Civil Aviation Administration of China Million MT Growing Jet Fuel Import Projected 16% Annual Growth Rate From 2000 & Beyond

12. China Aviation Oil (Singapore) Corporation Ltd 12 Our Unique Business  Short haul consumes more jet fuel per km  Independent of world trends  New order for 30 Boeing a/c Oct 2001  Expected 500 a/c in the next 5-7years Demand Is Driven By Domestic Air Travel Leveraging On the Growing Chinese Aviation Industry Source: 1. Boeing Company 2. Lianhe Zaobao Domestic Air Travel Growth

13. China Aviation Oil (Singapore) Corporation Ltd 13 Leveraging On the Growing Chinese Aviation Industry Our Unique Business Solid Growth Potential Population (billion) Jet Fuel Consumption Airport Aircraft 18,443 0.28 (billion) USA China 219,646 72.9 (Mil MT) 949 149 4.6 (Mil MT) 1.25 (billion) Source: Dept. of Transportation of USA, Energy Information Administration of USD and Civil Aviation Administration of China Note: All the figures are as at the end of 1999

14. China Aviation Oil (Singapore) Corporation Ltd 14 Sole Jet Fuel Importer Our Unique Business  CAO is currently the only wholly-owned overseas subsidiary of CAOSC  CAOSC committed not to set up another company to compete with CAO  Chairman and other non-executive Directors of CAO are key executives of CAOSC Strong Backup from Parent Company (CAOSC)

15. China Aviation Oil (Singapore) Corporation Ltd 15  No Negative Impact  More Benefits China’s Entry Into WTO Has Positive Impact On Our Business - Indonesia is a WTO member earlier than China, its jet fuel supply is controlled by its national oil company - High entry barriers to potential jet fuel suppliers to access to infrastructure - Proven track record as a niche player will be able to withstand foreign competition - More jet fuel consumption a. Import & export cargo b. Business travel c. Switch from train to aircraft - Lift of import quota will create more demand for overseas jet fuel Sole Jet Fuel Importer Our Unique Business

16. China Aviation Oil (Singapore) Corporation Ltd 16 Sole Jet Fuel Importer Our Unique Business  The announcement of merger of CAOSC and CASC imply the emphasis placed by government on the economic scale  The small volume of current jet fuel consumption is not justified for many players, economic scale is key  Jet fuel is a national strategic resource, we believe that government will pay attention to the supply of jet fuel Parent’s Controlling Position Will Be Likely Maintained  Current jet fuel supply infrastructure is complete and systematic, breaking such a system will not create competition, but operational inefficiency

17. China Aviation Oil (Singapore) Corporation Ltd 17 Proposed Acquisition of Pudong Aviation Fuel Corporation Our Unique Business Exclusive right in supplying jet fuel in Pudong International Airport Own the sole jet fuel supplying infrastructure Low maintenance cost and repair expenses Pudong vs Chicago  Attractive Business  Great Potential

18. China Aviation Oil (Singapore) Corporation Ltd 18 Proven Track Record Section 3

19. China Aviation Oil (Singapore) Corporation Ltd 19 Financial Performance Proven Track Record 40 6.4 8.8 13.5 0 5 10 15 20 25 30 35 40 45 50 1998199920002001 Forecast S$’ Mil Increasing Profit After Tax CAGR 84%

20. China Aviation Oil (Singapore) Corporation Ltd 20 Financial Performance Proven Track Record 1998199920002001 Forecast 1,085 170.7 414.5 963.7 0 200 400 600 800 1000 1200 1400 Strong Revenue Growth (Physical Cargo) S$’ Mil CAGR 85%

21. China Aviation Oil (Singapore) Corporation Ltd 21 Financial Performance Proven Track Record Growing Procurement and Trading Volume Million MT CAGR 66%

22. China Aviation Oil (Singapore) Corporation Ltd 22 Financial Performance Proven Track Record No Gearing No bad debts Growing cash position

23. China Aviation Oil (Singapore) Corporation Ltd 23 Growth Strategy Section 4

24. China Aviation Oil (Singapore) Corporation Ltd 24 Strategies For Growth Growth Strategy Investments Fuel facilities and end users -complementary to procurement / trading business Jet Fuel Procurement Maintain and increase profit margin STRATEGY Geographical Expansion USA/Europe New market and end users

25. China Aviation Oil (Singapore) Corporation Ltd 25 Summary Section 6

26. China Aviation Oil (Singapore) Corporation Ltd 26 Summary China Sole Importer Pudong

27. China Aviation Oil (Singapore) Corporation Ltd 27 Tan Jeh Wuan, DBS Bank

28. China Aviation Oil (Singapore) Corporation Ltd 28 Issue Statistics Summary Issue size: 144 million New Shares - 10 mln public offer shares - 134 mln placement shares Issue price: S$0.56 per share Gross Proceeds: S$80.64 mln Historical PER: 18.1 Forecast PER: 6.2 Gross Dividend Yield : 5.0%

29. China Aviation Oil (Singapore) Corporation Ltd 29 Use of Proceeds Summary Net Proceeds of approximately S$76.6 million: S$57.0 million for future expansion through joint ventures and/or strategic investments in China and Hong Kong; S$15.5 million to acquire companies and/or set up subsidiaries in USA and Europe within the next two years; and S$4.1 million for working capital

30. China Aviation Oil (Singapore) Corporation Ltd 30 Important Dates Summary Open:26th Nov 2001, Monday, 12 noon Close:4th Dec 2001, Tuesday, 12 noon Trading:6th Dec 2001, Thursday, 9.00 a.m.

31. China Aviation Oil (Singapore) Corporation Ltd 31 Q&A

32. China Aviation Oil (Singapore) Corporation Ltd 32 China Aviation Oil (Singapore) Corporation Ltd Fuelling The Rapidly Growing China Aviation Industry