About Qinhua Natural Gas

Xi'an Qinhua Natural Gas Co., Ltd. was established on November 18, 2006 by Xi'an Natural Gas Corporation and Hong Kong and China Gas Co., Ltd. * **The joint venture established with the same company is currently the first large-scale urban gas enterprise in the northwest region to introduce foreign investment and undergo restructuring and restructuring. At the end of 2010, the controlling shareholder of Xi'an Qinhua Natural Gas Co., Ltd. was changed from the original Xi'an Natural Gas Corporation to Xi'an Urban Infrastructure Construction Investment Group Co., Ltd. The company's registered capital is RMB 1 billion, with China and Hong Kong holding 51% and 49% of the shares respectively. The company has the franchise rights for the Sixth District of Xi'an City and is mainly engaged in the supply and related services of urban pipeline natural gas and liquefied petroleum gas; gas facilities Production, operation, maintenance, repair, quality control, technical services, scientific research and development, pipeline network surveying and mapping, material trade, and design of gas projects and gas meters, etc. The company currently has more than 2,000 employees, divided into 11 departments such as engineering, pipe network, and customer service, and more than 30 subordinate departments. By the end of 2010, a total of 904.14 kilometers of natural gas pipelines under the company's jurisdiction had been put into operation, with 1.0299 million natural gas residential users, 4018 industrial and commercial users, and 43 gas filling stations. The total annual natural gas supply volume had reached 864 million standard cubic meters. In the winter of 2010 The maximum daily gas supply capacity is 6.67 million standard cubic meters, which is widely used in various fields such as civil, industrial, commercial, catering, transportation, welfare and heating boilers. The gas supply range covers the streets and alleys of the ancient city and continues to expand to surrounding areas. The six districts of Lianhu, Xincheng, Beilin, Weiyang, Yanta, and Baqiao in the central urban area and the four peripheral groups of Weiqu, Textile City, Caotan, and Liucunbao, as well as Chang'an Science and Technology Industrial Park and Hu County are included. 2011 is the first year of the "Twelfth Five-Year Plan" and is also the "Corporate Governance Year" of Xi'an Qinhua Natural Gas determined by the board of directors. The company aims to rely on the management advantages and business development platform of Chengtou Group, continue to absorb the advanced management experience and mechanisms of Hong Kong and China Gas, and implement a series of important measures in accordance with the governance requirements of listed companies to standardize management to promote development and continue to carry out in-depth corporate development. Reform, improve the equity governance structure, comprehensively improve the standard and professional management level and operating strength of the company, strive to make the company bigger and stronger, base itself on Qinhua, go out of Xi'an, and strive to develop into a leader in the gas industry.