NEW YORK, March 4 /PRNewswire-Asia/ -- China Natural Gas, Inc. (Nasdaq: CHNG), a leading provider of compressed natural gas for vehicular fuel and pipeline natural gas for industrial, commercial and residential use in Xi'an, China, announced today that the Company has signed an installation contract with China Nuclear Industry Fifth Construction Co., Ltd. for its liquefied natural gas (LNG) project to ensure the project be completed by June 30, 2010, which also signifies the commencement of the test run.
According to the contract, China Nuclear Industry Fifth Construction Company will ensure the installation of core processing equipment in the plant as well as related engineering be completed before June 30, 2010 with labor, material, quality, duration, and safety specified in the contract. This will mark the commencement of the test run of Phase I of the LNG project and the prelude of commercial production.
China Natural Gas Chairman and CEO, Qinan Ji said: "We are very pleased to announce this news to investors. The Jingbian LNG project is the first liquefied natural gas plant in Shaanxi approved by the NDRC and Shaanxi Provincial Government. We believe adding the LNG plant into our operations will greatly augment our sustained long-term growth. China Nuclear Industry Fifth Construction Company is recommended by Chemtex, our design and technology contractor. It has very strong and relevant experience as well as qualifications, and previously served customers include DuPont China, Shell China, Sinopec Shanghai Oil and Chemical Ltd., CNOOC, etc."
Upon completion, the LNG project will have production capacity of 500,000 cubic meters per day, or 150 million cubic meters on an annual basis. Liquefied natural gas is widely used in power generation, transportation, metallurgy, ceramics, glassworks and other aspects of the social economy.
About China Nuclear Industry Fifth Construction Co., Ltd.
Founded in 1964, China Nuclear Industry Fifth Construction Co., Ltd. (http://www.cnfc.net.cn ), is a wholly owned subsidiary of China Nuclear Engineering Group Co., a state-owned enterprise and one of ten core group companies in national defense and technology industries. It has various experience in engineering, construction, installation in different projects covering nuclear power, pharmaceutical, petrochemical, storage tank, electronics, etc.
About China Natural Gas, Inc.
China Natural Gas (http://www.naturalgaschina.com ) transports and sells natural gas to vehicular fueling terminals, as well as commercial, industrial and residential customers through its distribution networks in China's Shaanxi and Henan Provinces. The Company owns approximately 120 km of high-pressure pipelines and operates 24 CNG fueling stations in Shaanxi Province and 12 CNG fuelling stations in Henan Province. China Natural Gas' four primary business lines include: (1) the distribution and sale of CNG through Company-owned CNG fueling stations for hybrid (natural gas/gasoline) powered vehicles; (2) the installation, distribution and sale of piped natural gas to residential, commercial and industrial customers through Company-owned pipelines; (3) the distribution and sale of gasoline through Company-owned CNG fueling stations for hybrid (natural gas/gasoline) powered vehicles; and (4) the conversion of gasoline-fueled vehicles to hybrid (natural gas/gasoline) powered vehicles through its auto conversion division.
Safe Harbor: Forward-Looking Statements
This press release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. China Natural Gas, Inc. may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission on forms 10-K, 10-Q and 8-K, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, risks outlined in the Company's filings with the U.S. Securities and Exchange Commission, including its registration statements on Forms S-1 and S-3, in each case as amended. The Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
For more information, please contact:
At the Company:
China Natural Gas, Inc.
Jacky Shi
Investor Relations Director
Tel: +86-29-8832-3325 x922
Cell: +86-139-9287-9998
Email: yjshi@naturalgaschina.com
Investor Relations:
RedChip Companies, Inc.
Jon Cunningham
Tel: +1-800-733-2447 x107
Email: info@redchip.com
Web: http://www.RedChip.com
