Investor Update Q1 2007

Macau Property Opportunities Fund
11 April 2007


11 April 2007

                   Macau Property Opportunities Fund Limited
                           ('MPOF' or the 'Company')

                                Investor Update

                               First Quarter 2007


Highlights


   •Maiden interim results announced

   •13.8% uplift in first-half Adjusted NAV

   •Eight sites under negotiation worth US$280 million

   •Strong performance and increased turnover in Company's shares


Fund Overview


In February, the Company announced its maiden interim results for the period to
31 December 2006. The valuations of the portfolio properties, undertaken by
Savills, increased by 21%, translating into a 13.8% uplift in the Fund's
Adjusted NAV. The properties were acquired towards the end of the first half,
therefore giving less time for the valuations to benefit from the ongoing growth
in land prices. This rapid uplift reflects the attractive prices paid for the
properties and the redevelopment potential of Properties 1 & 3.


Portfolio Valuation Summary

Property   Sector        Type           Acquisition   Open Market   Increase
                                        Cost          Valuation*

1          Residential   Redevelopment  US$8.60m      US$13.21m     US$53.6%

2          Residential   Development    US$86.58m     US$101.28m    US$17.0%

3          Residential   Redevelopment  US$20.57m     US$25.64m     US$25.0%

*Interim valuations are unaudited and were conducted by Savills Macau


The current status of the three portfolio properties is as follows: Property 1
remains in the early stages of the planning and design process. It is the
Investment Manager's intention to redevelop this site into an eight storey
apartment block aimed towards upper-middle class local residents. Property 2 is
a 32-storey residential tower in a premium luxury mixed-use development. The
project is well underway, with foundation work almost complete and
superstructure construction expected to commence soon for the parking and retail
podium areas. Property 3 is to be redeveloped into affordable apartments for
local residents. The Investment Manager is currently seeking to consolidate its
holdings in the surrounding area before proceeding to the planning approval
stage. The completion dates for all three properties are currently targeted for
the end of 2009.


The Investment Manager continues to adhere to its stringent and disciplined
investment process of acquiring well-positioned assets within clearly defined
niche market segments. Despite seeing an ongoing and well-diversified stream of
potential sites, the vast majority of these continue to be rejected due to
unattractive prices, poor location, inappropriate market segments or failed
legal due diligence. No further acquisitions were announced during the quarter,
but the current pipeline remains strong with 36 sites worth a combined US$900
million spread across a mix of market segments. Of these, eight sites with a
combined acquisition value of US$280 million, or twice the Fund's available
equity, are at various stages of negotiation.


The Company's profile has grown significantly following the recent launch of its
public and investor relations strategy coupled with increasing international
coverage of Macau as a gaming centre to rival Las Vegas. In the UK in
particular, Macau coverage has escalated since Sir Richard Branson's Virgin
Group said it was looking to invest in a casino resort in the territory.
Consequently, MPOF was one of the best performing Overseas Property Funds
('OPFs') during the first quarter, with its shares rising by 24% in absolute
terms and outperforming the OPF sector by 17%. This was accompanied by a healthy
turnover in the stock, with average volume reaching almost 400,000 shares per
day during the period. The number of individual transactions also rose sharply,
reflecting the continued diversification in the Company's shareholder base.


Market Overview


The residential property market remained the centre of attention in the first
quarter. Buying momentum continued following the successful launch of One
Central in Q4 2006, with market analysts predicting a 15-20% growth in
residential prices for 2007. Price performance of newer stock is likely to
continue to outstrip older properties. Recent strong sales performance at the
Shun Tak/Hopewell Nova City project on Taipa (Phase II currently being 95% sold)
plus the launch of Shun Tak's Harbour Mile on Macau Peninsula and Chinese
Estate's 24 block project close to the Cotai strip later this year, should
ensure that transaction volumes continue to increase. Foreign investors remain
key participants, particularly at the top end of the market, accounting for 35%
of all residential transactions in 2006 (58% by value). Sustained investor
appetite, however, will only be achieved through the development of strong
growth in rental demand going forward to ensure adequate investment yields. The
early signs of this are already starting to appear, with JLL stating that
stronger occupier demand is becoming evident and expected to grow throughout the
rest of the year. Macau's growing international profile as a destination city
will continue to drive demand for residential properties from occupiers,
investors and increasingly wealthy locals.


The retail sector has also been attracting widespread attention. Focus has been
on the mega-brands rapidly filling the six million square feet of retail space
estimated to be opening over the next three years. The 1.2 million square feet
in the Venetian is believed to be over 80% committed. Once open, these outlets
are reported to be collaborating with each other and the Macau government for a
widespread campaign promoting Macau to the rapidly growing Chinese consumer
market. This is likely to continue to drive retail spending at or beyond the 21%
growth rate seen in 2006 and catalyse the long predicted growth in Macau's
non-gaming revenues.


On the gaming front, the first quarter was marked by the successful opening of
Stanley Ho's visually controversial Grand Lisboa casino, encompassing 240
tables, 484 slot machines and 30 VIP tables. The casino played host to 10,000
visitors on its first day. Chinese New Year was another record for Macau, with
tourist arrivals up approximately 20% YoY to over 500,000. Gaming revenues
reached almost US$1.5 billion in the first two months of the year, an increase
of almost 50% YoY. The continued high quality supply of new casino product
combined with announcements of yet further new resorts should continue to drive
interest and demand through 2007 and beyond.


The five year expansion plan for the Macau Airport has finally been announced,
with an estimated investment of HK$4 billion and a completion date during 2011.
With 19 additional aprons and an enlarged and improved passenger terminal, the
airport's capacity will increase to 32 flights per hour and eight million
passengers per year, up from six million currently. Construction of the new
adjacent ferry terminal is continuing and is expected to be completed and
operational in 2008.


Summary

Macau continues to transform at an increasingly rapid pace. 2007 will be the
most significant year so far culminating with the opening of the first
integrated casino-resort, the 3,000 room Venetian Macau, in the third quarter.
With less than 15% of the estimated US$30-35 billion foreign investment
committed spent to-date and property prices remaining attractively valued, the
Investment Manager continues to believe that Macau is at an early stage in its
re-rating cycle. The Company's key focus remains on acquiring attractively
valued and well-positioned assets, which exhibit clear differentiation and
sustainability of future demand. With a strong negotiation pipeline, some of
which are at advanced stages, the Fund is on track to be fully invested by
year-end.


--Ends--



About the Macau Property Opportunities Fund

MPOF, which raised £105 million in a placing and commenced trading on the
Alternative Investment Market of the London Stock Exchange on 5 June 2006, is a
closed-end investment company incorporated in Guernsey. The Company's investment
policy is to provide shareholders with an attractive total return, which is
expected to comprise primarily capital growth, but with the potential for
dividends over the medium to long term. MPOF focuses on investing in property
opportunities primarily in Macau, but also potentially in the Western Pearl
River Delta region and in exceptional circumstances, greater China.

The Investment Manager of MPOF is Sniper Capital Limited and the Investment
Adviser is Sniper Capital Management Limited.


About Sniper Capital Limited

Sniper Capital is an independent investment manager specialising in property
investment in niche, undervalued and developing markets. The Company's
investment strategy is to identify, acquire and develop properties clearly
differentiated by location, value and sustainability of demand. Sniper Capital
currently manages two funds with combined assets of US$200 million.



For further information:


Website: www.mpofund.com


Public Relations

Hogarth Partnership Limited

No. 1 London Bridge

London SE1 9BG

Andrew Jaques / James Longfield / Sarah Richardson

Tel: [phone]



Nominated Adviser and Broker

Collins Stewart Europe Limited

Hugh Field

Tel: [phone]



Company Secretary & Administrator

Heritage International Fund Managers Limited

Mark Huntley / Laurence McNairn

Tel: [phone]


Investment Manager

Sniper Capital Limited

Investor Contact

Tel: [phone]

Email: [e-mail]

www.snipercapital.com


Stock Codes:


Bloomberg: MPO LN

Reuters: MPO.L


                      This information is provided by RNS
            The company news service from the London Stock Exchange