China Aviation Oil to acquire subsidiaries of parent company

Singapore-listed China Aviation Oil announced that it will buy the wholly owned subsidiaries of its parent company, China National Aviation Fuel Group Corp. The subsidiaries, China Aviation Oil, (Hong Kong) Co. Limited (CAOHK) and North American Fuel Corp (NAFCO) will cost around US$16 million. “CAOHK and NAFCO are highly synergistic to CAO’s core business of jet fuel supply and trading and will expand the geographical footprint of CAO’s business to new markets, including term contracts to supply jet fuel to airlines at airports at Shenzhen and other domestic airports, Hong Kong, Taiwan, Los Angeles and Anchorage in the U.S.,” CAO CEO Meng Fanqiu said. CAOHK is involved mainly in trading and supplying jet fuel to airline companies at several airports. NAFCO is an agent and wholesaler of jet fuel based in the U.S. (January 16, 2012)