Dec 11, 2015 - Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong ... market; Hexi Industrial
Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
(Stock Code: 603)
ANNOUNCEMENT The board (the “Board”) of directors (the “Directors”) of China Oil And Gas Group Limited (the “Company”, together with its subsidiaries, the “Group”) is pleased to announce that, on 11 December 2015, 中油中泰燃氣投資集團有限公司 (China City Natural Gas Co. Limited*), a subsidiary of the Company, was successfully granted the concession right of the natural gas project in Qichun County (蘄春縣), Hubei Province, the People’s Republic of China (the “Project”). The concession right of Qichun County, Hubei Province is located in the Hexi New District, Ceramic Industrial Park and administrative jurisdiction of Chidong Town (赤東鎮), Guanyao Town (管窯鎮), Pengsi Town (彭思 鎮), Hengche Town (橫車鎮) and Zhulin Town (株林鎮), divided into Economic Development Zone and Hexi Industrial Park. The term of concession right is 30 years. GENERAL The Group is principally engaged in investment in natural gas and energy related business and has established a total of 112 natural gas project companies in 15 provinces and autonomous regions in China with 65 concession rights. Qichun County is located in the southeast of Hubei Province which is under the administration of Huanggang City, the growth rate of average annual GDP is more than 13%. Qichun County is in the “Triangle of Central China (中三角)”, which belongs to “One-hour City Circle (一小時城市圈)” with Wuhan, Nanchang, Hefei and other sizable cities, Beijing-Kowloon Railway, Hurong Expressway, Fuzhou-Yinchuan Expressway, Yangtze Golden Waterway, Dabie Hinterland Road as main traffic trunk across the whole county. In 2015, the Positioning of Qichun County was approved by The State Council as a member of a new growth pole of the Yangtze River of China's economic zone. The Economic Development zone of Qichun County is mainly operating the business and logistics businesses, principally engaged in professional ceramics business which is reputable in the ceramics market; Hexi Industrial Park is positioned as a national pharmaceutical industry and new liveable town with a high value-added pharmaceutical industry. Natural gas has a significant effect for improvement of product quality, choice of natural gas as fuel of the pharmaceutical industry increasingly reflect the economic benefits and environmental protection.
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The Group will further expand the domestic natural gas market and it is expected that after obtaining the concession right of the natural gas project in Qichun County, the natural gas supply by the Group in Hubei Province will be doubled in 2016, which will further enhance and enlarge the market share of the Group in the domestic natural gas business. The Board is of the view that the concession right of gas in Qichun County shall help the Group to make a great step forward in the gas market in China.
By Order of the Board China Oil And Gas Group Limited Chan Yuen Ying, Stella Company Secretary
Hong Kong, 11 December 2015 As at the date of this announcement, the Board comprises four executive Directors, namely Mr. Xu Tie-liang (Chairman and Chief Executive Officer), Mr. Zhu Yuan, Ms. Guan Yijun and Mr. Cheung Shing; and three independent non-executive Directors, namely Mr. Li Yunlong, Mr. Shi Xun-zhi and Mr. Wang Guangtian. * For identification purpose only
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