China Gas' H1 Profit Doubles, Sales Soar

One of mainland China’s largest gas distributors, China Gas Holdings, has more than doubled its net income for the first six months of the year thanks to sharp rise in gas sales volumes, it said November 27.  

The company said it made HK$3.4bn ($435.8mn), up from HK$1.69bn in the same period last year.

China’s focus on combating severe air pollution has meant more gas is used. According to China Gas, during H1, apparent gas demand reached 166.7bn m³, representing a year-on-year growth of 18.4%. Its own gas sales volume rose 74.3% to 8.24bn m³ as the total number of newly connected residential users rocketed by 88.2%.

From April to September, China Gas secured 12 new city piped gas projects in Guangxi Zhuang Autonomous Region, Heilongjiang Province, Liaoning Province, Fujian Province, Anhui Province, Hainan Province and Hebei Province. China Gas by the end of September operated a total of 121,907 km of pipelines across the country.

The company said that it will also expand its LNG trading business. “Meanwhile, the Group will also accelerate its expansion of distributed energy resources business in the market and promote the development of various new businesses such as LNG trading, value-added business and thermoelectric [power plants] in order to transform China Gas into a truly outstanding market-oriented enterprise.”