Feb. 28, 2007 (China Knowledge) – China Aviation Oil (Singapore) Corp. Ltd. (CAO) <G92> announced Tuesday that net profit after tax was about S$369 million for 2006.

The company said in a statement that excluding the amount of about S$312 million under the restructuring exercise, its net profit grew by about 95% to S$57.3 million compared to the previous year. The statement added that revenue for 2006 was almost S$3 billion, as compared to about S$21 million for 2005.

The huge jump in revenue is due to CAO resuming jet fuel procurement on a principal basis in June 2006 and recording the value of the underlying contracts as revenue. Prior to this, only commission income received was recorded as revenue under the agency model of procurement.

In 2006, 4.66 million tons of jet fuel was procured compared to 3.04 million tons in 2005, registering an increase of 53 %. Gross profit from jet fuel procurement also increased 31 % to S$22.4 million.

In view of the good performance, CAO’s directors planned to propose a first and final dividend of S$0.02 per share.