Investor Update Q3 2007

Macau Property Opportunities Fund
18 October 2007


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

                                Investor Update
                               Third Quarter 2007

Highlights



* Maiden final results announced
* 25.2% uplift in adjusted NAV since admission
* Nine sites under negotiation worth US$500 million
* Residential property prices escalate following Venetian opening





Fund Overview



In September, the Company announced its maiden set of annual results for the
period ended 30 June 2007. These reported that the Adjusted NAV per share* had
increased by 25.2% to US$2.2534 (112.6p) since admission, driven by a 38% uplift
in the valuation of the Company's portfolio properties, following a review
undertaken by Savills. These returns clearly reflect the quality and superior
positioning of the properties acquired during the period and reinforce the
Company's investment strategy of maintaining a high degree of selectivity when
acquiring sites.



*NAV per share & Adjusted NAV per share as at 30 June 2007. Adjusted NAV per
share is calculated by taking the NAV per share calculated under IFRS and
adjusting inter alia to include the properties owned by the Company at net
realisable value rather than at the lower of cost or net realisable value.



The Company continues to negotiate on a further nine sites totalling
approximately US$500 million in aggregate acquisition value. Several of these
are now at advanced stages of review and negotiation and have progressed to the
formal due diligence stage. It is our belief that numerous projects in Macau are
being driven by speculators seeking to generate short-term profits in a rapidly
growing market.  We continue to reject a considerable number of opportunities
which do not meet our standards of positioning and location and which are
therefore unlikely to attract the strength of end-user demand necessary to
command a premium rating over the longer term.



The Company's portfolio properties continue to progress on schedule.



The architectural assessment and selection process for Property 1, to be
developed into a low-rise apartment block geared towards local residents, has
been completed and the conceptual design phase has commenced. Demolition of the
existing structure is anticipated in the first quarter of 2008 with construction
expected to commence by mid-year.  Residential prices continue to escalate in
the vicinity, aided by the neighbourhood's sought after location and several
government initiatives to renovate adjacent heritage sites.



The development of 'One Central', Hongkong Land and Shun Tak Holdings' premier
mixed-use project in which the Company has purchased a super-luxury residential
tower (Property 2), continues to advance. The retail podium and car park levels
have been completed and construction of the seven residential towers and
Mandarin Oriental hotel is now underway. Secondary market activity for units in
the project remains brisk with prices in excess of HK$7,000 (US$900) per square
foot being achieved for well-located units. We expect demand to continue to
strengthen when the adjacent 600 room MGM Grand Macau casino resort opens later
this year, further cementing One Central's status as Macau's top luxury
residential development.



Property 3 is scheduled to be redeveloped into affordable apartments for local
residents. We are continuing in our attempts to consolidate adjacent sites
before commencing with the planning process and redevelopment of the property.





Market Overview



We continue to believe that we are at a relatively early stage in the long-term
regeneration cycle of Macau. The Territory's ongoing growth and transformation
will be marked by key milestone events which will have the continuing effect of
heightening international awareness and attracting an increasing number of
visitors drawn by a broader range of product offerings. The opening of the
western-backed casino, the Sands Macao in May 2004, was the first such major
event followed by the launch of the Wynn Macau in late 2006. The instantaneous
success of these and similar operations has confirmed the demand for
western-style offerings as well as the significant growth potential of the mass
gaming market (gaming revenues in Macau have historically been dominated by high
roller VIP rooms).



In August, the most significant milestone to-date took place with the long
awaited opening of the US$2.4 billion Venetian Macao-Resort-Hotel. Public
response has been overwhelming with 2.5 million people visiting the complex in
the first six weeks. The Venetian Macao is the first destination to open on the
Cotai Strip, the five square kilometres of reclaimed land earmarked for casino
resort development, and marks the beginning of the Cotai Strip's emergence as a
'mega' resort destination.



Confidence in Macau's future was further boosted in September, with the
announcement that Harrah's Entertainment, Inc., the world's largest provider of
branded casino entertainment, had acquired a golf course situated in a prime
Cotai Strip location. Harrah's is yet to reveal its intentions for the site, but
market speculation suggests that the company may ultimately develop this into an
integrated casino/hotel resort.



Property Market

The residential property market advanced strongly during the quarter driven by
the Venetian opening and the high profile public launch of 'One Grantai', a
residential complex by a local developer overlooking the Cotai Strip. Several
prime units reportedly achieved prices of over HK$8,000 (US$1,000) per square
foot. The residential leasing market also continued to firm, driven by the
continued influx of foreign workers. This demand has been particularly evident
on Taipa Island, due to its location near to the Venetian which currently
employs 15,000 staff and is in the process of hiring many more.



Infrastructure

The Macau government has announced the first phase of the Light Rail Transit
system. Construction is scheduled to start next year and is expected to take
four years, with the system starting operation in 2011. With 23 stations and a
length of 20 kilometres, the system will be capable of carrying up to 8,000
passengers per hour. This project will be critical in helping to tackle Macau's
growing congestion problems.



Economy

Macau's economy continues to benefit from the fast-growing gaming and tourism
industries. According to government statistics, gross gaming receipts in the
second quarter surged by 48.9% in nominal terms. The number of visitor arrivals
reached 17 million in the first 8 months of 2007, up by 21.8% over the same
period last year, while total non-gaming visitor spending in the second quarter
grew by 14.2%. The Chinese 'National Day Golden Week' holiday in early October
attracted an even larger flow of tourists from China, providing both casinos/
hotels and retail shops with a significant boost to business.



Summary



The successful opening of the Venetian Macao is the most significant milestone
to-date in the transformation of Macau into a world class gaming and leisure
destination. The next three years will see the emergence of the Cotai Strip as
home to 14 casino hotels offering truly integrated tourist and business
destinations and employing tens of thousands of people. With at least US$25
billion of unspent foreign investment capital committed to long term projects,
Macau's continued economic prosperity appears assured. The Company's focus
remains on acquiring assets that are attractively valued, well-positioned and
clearly differentiated in order to ensure strong end-user demand.



                                    --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$250 million.





For further information:


Website: www.mpofund.com


Public Relations
Hogarth Partnership Limited
Andrew Jaques / James Longfield / Sarah Richardson
Tel: [phone]


Nominated Adviser and Joint Broker
Collins Stewart Europe Limited
Hugh Field
Tel: [phone]


Joint Broker
Shore Capital Stockbrokers Limited
Dru Danford
Tel: [phone]


Company Secretary & Administrator
Heritage International Fund Managers Limited
Mark Huntley / Laurence McNairn
Tel: [phone]


Manager
Sniper Capital Limited
Investor Contact
Tel: [phone]
Email: [e-mail]
www.snipercapital.com



Stock Codes:

Bloomberg:  MPO LN
Reuters:    MPO.L


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