Singapore, 17 August 2004 - Further to the announcement made on 12 August 2004, the management of China Aviation Oil (Singapore) Corporation Ltd ('CAO') would like to provide the following additional information.

(1) Aggregate amount of group's borrowings and debt securities.

Amount repayable in one year or less, or on demand

As at 30/06/2004

As at 31/12/2003

Secured	Unsecured	Secured	Unsecured
S$'000	S$'000	S$'000	S$'000
0	67,007	0	29,640

Amount repayable after one year

As at 30/06/2004

As at 31/12/2003

Secured	Unsecured	Secured	Unsecured
S$'000	S$'000	S$'000	S$'000
0	230,996	0	0

(2) A discussion on material factors which affected the Group's non-cash current assets, ie the increase in "Amounts due from Holding Company",
"Amount due from Related Company" and the decrease in "Inventory" and "Trade Debtors";

• a. The increase in "Amounts due from Holding Company" was due to the balance payment for the investment in Shanghai Pudong.
• b. The increase in "Amount due from Related Company" was due to a dividend declared by Shanghai Pudong, but not yet received as at end of June 2004.
• c. The decrease in "Inventory" was due to the sale of the balance of stock being sold before the end of the quarter.
• d. The decrease in "Trade Debtors" was due to timing, as payments were received before the end of the quarter.

(3) A discussion on material change in the figures for "Cash generated from operations" as stated in the Cash Flow Statement for the second quarter ended 30 June 2004, as compared to the corresponding period in 2003.

The "Cashflow from Operating Activities" included payments made by the Group to the holding company for its investment in Shanghai Pudong. This was reflected as an increase in "Amount due from Holding Company." The "Cashflow from Operating Activities" would be positive if the payments were excluded.

(4) The Aggregate value of the transactions conducted under the shareholders' mandate for interested person transactions ("IPT") as required under Rule 920 (1)(a)(ii) of the Listing Manual.

Name of interested person Aggregate value of all interested Aggregate value of all interested
person transactions during the person transactions conducted
financial year under review under shareholders' mandate
(excluding transactions less than pursuant to Rule 920 (excluding
S$100,000 and transactions transactions less than
conducted under shareholders' S$100,000)
Mandate pursuant to Rule 920)

Group Group
30/6/2004 30/6/2004
S$'000 S$'000

Sale of Physical Jet fuel - 799,627