The group is also key to fuel storage, distribution and refuelling at its 33%-owned Shanghai Pudong International Airport (SPIA), China’s primary international gateway and one of Asia’s busiest hubs.
UOB Kay Hian analysts Tang Kai Jie and John Cheong have initiated “buy” on China Aviation Oil (CAO) as they see the counter benefitting from the tailwinds of travel demand.
“CAO is the largest physical jet fuel trader in Asia and is expected to be a key beneficiary of the sustained recovery in global air traffic,” Tang and Cheong point out in their Jan 14 report.
