2013 Annual Results Presentation March 2014 (0956.HK) Disclaimer

The information contained herein has been prepared solely for use in this presentation. This document may contain time-sensitive information which is only current as of the date of publication. This presentation also contains statements that reflect the current beliefs, intent or expectation of the Company or its officers about the future as of the respective dates indicated therein. These forward- looking statements can be recognized by the use of words such as “expects”, “plan”, “will”, “estimates”, “projects”, “intends” or other words of similar meaning. These forward-looking statements are based on a number of assumptions about the Group’s operations and other factors, many of which are beyond the Company’s control and are subject to significant risks and uncertainties, and accordingly, actual results may differ materially from these forward-looking statements. These forward looking statements are not a guarantee of the Group’s future performance. The Company assumes no obligation and does not undertake to revise forward-looking statements to reflect future events or circumstances. No representation, warranty or undertaking, express or implied, is made as to, and no reliance may be placed on, the completeness, accuracy, correctness or fairness of the information or opinions contained herein, nor is any responsibility accepted for any errors, misstatements, or omissions or any direct or consequential loss howsoever arising from any use of, or reliance on, this document or otherwise in connection with it. This document is for information purposes only and does not constitute an offer to sell or issue or the solicitation of an offer to purchase or subscribe for any securities of the Company or any holding company or any of its subsidiaries in any jurisdiction or an inducement to enter into any investment, nor may it or any part of it form the basis of or be relied upon in connection with any contract or commitment whatsoever.

2 Agenda

1. 2013 Annual Results Overview

2. Business Overview

3. Financial Highlights

4. Outlook

3 1. Results Overview Overview of Natural Gas Industry

Environment for the Natural Gas Industry in 2013

China’s natural gas infrastructure has been further improved, which lays a solid foundation for long-term development of the natural gas industry . In China – Burma natural gas pipeline, Zhong-Gui connect pipeline and Datang coal-to-gas pipeline have successively commenced production Due to worsening air pollution, China has accelerated the process of promoting usage of clean energy, leading to significant increase in natural gas demand . China’s natural gas consumption reached 169.2 billion cubic meters, representing a 12.9% increase year on year . China becomes more dependent on imported natural gas in 2013. Total import volume reached 53.4 billion cubic meters, growing 25.6% year on year In Sep 3013, several ministries jointly released “The Action Plan for the Control of Air Pollution”, under which most cities and regions are required to replace coal-fired boilers with distributed heat supply from clean energy, such as natural gas or centralized heat supply from neighboring thermal power plants. Successive release of environmental protection and air pollution control policies at national and provincial levels will greatly promote the development of the natural gas In Jun 2013, the NDRC released “Notification Regarding Natural Gas Price Adjustment”. According to which prices of incremental natural gas supply will be adjusted to a level that maintains a reasonable difference with that of substitutable alternative energy, such as fuel oil and liquefied petroleum gas. The prices for existing volume of natural gas will also be gradually adjusted to streamline the price relation between natural gas and substitutable alternative energy. With such price adjustment the government will be able to incentivize natural gas suppliers, which should help to relieve the tight supply at the moment

5 Overview of Wind Power Industry

Environment for China’s Wind Power Industry in 2013

Aggregate approved wind power capacity was 134.25 GW nationwide in 2013, among which 27.55 GW was newly approved in the year, representing a 10.0% year-on-year increase; on-grid wind power generation volume reached 137.1 TWh, increasing 36.0% year on year; newly added grid-connected capacity was 14.92 GW, growing 0.6 percentage points year on year The State Council has delegated authority of approving investment in wind farm projects to local governments, which helps to 1) simplify approval process for large wind power projects, 2) shorten review period and 3) accelerate the development and construction of wind power projects The National Energy Administration has released a number of policies to 1) promote the connection and utilization of wind power, 2) reduce wind curtailment, 3) improve grid connection and 4) increase the percentage of wind power in overall power consumption. According to the statistics from the National Energy Administration, in 2013 utilization hours of the wind power sector exceeded 2,000 hours and average curtailment ratio stood at 10.0%, which is 7 percentage points lower than that in 2012 The NDRC released a notification to raise the surcharge standard for electricity tariff of renewable energy from RMB 0.8 cent per kWh to RMB 1.5 cent per kWh. Meanwhile, several ministries including the Ministry of Finance jointly released a new policy to simplify payment process for subsidies to solar power stations and large wind farms

6 2013 Annual Results Overview

In Sep 2013, the State Council released “The Action Plan for the Control of Air Pollution”. Benefiting from the substitution for coal by natural gas plan of Hebei Province, our natural gas business is growing rapidly. Annual gas sales in 2013 reaching 1.484 billion cubic meters, increasing 19.0% year on year We added172.5 km of city gas pipelines in 2013. As at the end of 2013, total length of natural Natural Gas gas pipelines in operation reached 1,123.5 km, including 550 km of long-distance pipelines and 573.5km of city gas pipelines. Our city gas business has presence in 24 regional markets Our city gas project in Chengde has successfully connected to Datang’s coal-to-gas pipeline. We actively seeks opportunities to diversify gas supply. Tangshan Caofeidian LNG receiving terminal project officially commenced production in Dec 2013

Newly installed capacity was 99 MW and consolidated installed capacity of the wind farms was 1,445.3 MW in 2013; 4 projects are under construction, with a total capacity of 251 MW Total power generation reached 2.927 TWh in 2013, growing 15.8% year on year; average utilization hours reached 2,312, increasing 22 hours over the previous year; average Wind Power utilization rate reached 97.5% Obtained 884 MW of newly approved capacity, 1,381 MW of new project reserve capacity and 3,158 MW of new added wind resource reserve in 2013; Approved accumulated reserve capacity of 1,220 MW, the total project reserve capacity of 3,161 megawatts, accumulative total wind reserves of 21,273 MW

Other Xinjiang Hejing 20 MW solar power station was successfully connected to the grid Renewable Newly added 120 MW of resource reserve capacity, and aggregate contracted solar power Energy resource reserve capacity reached 1,381 MW

7 2. Business Overview Natural Gas Business Grew Steadily

Steady Growth of Sales Volume

Natural Gas Sales Volume Wholesale

(million m³) (million m³) +63 million m³ +238 million m³ 1,600 800 +9.0% 757 +19.1% 1,484 694 4.2% 600 1,400 1,246 400 1,200 4.8% 2012 2013 44.8% Retail 1,000 39.5% (million m³) 800 +173 million m³ +35.2% 665 800 600 492 600 400 55.7% 51.0% 2012 2013 400 CNG (million m³) 200 +2 million m³ 80 60 +3.3% 62 60 0 2012 2013 40 20 Wholesale Retail CNG 2012 2013

9 Overview of Natural Gas Business (cont'd)

Speeding-up Investment in the Natural Gas Business

CAPEX of Natural Gas Business (RMB MM) 450 + RMB126.6 MM +44.6% 410.5 400 350 300 282.1 283.9 250 231.9 200 150 100 50 0 2010 2011 2012 2013

10 Overview of Natural Gas Business (cont'd)

Actively Promote the Construction of Locations of Suntien’s Natural Gas Assets Natural Gas Projects

Ximeng Datang Keqi Newly added 172.5km of city gas pipelines. As at the end of 2013, the Group’s total length of pipelines in Chifeng operation reached 1,123.5km, including 550 km of long-distance pipelines (including the Zhuozhou – Handan long-distance pipeline which stretches across Chengde Shuangluan district Pingquan the south of Hebei Province) and 573.5 km of city gas Luanping Chengde pipelines Chengde Miyun Chengde gas utilization project completed connection

Lulong with Datang Keqi coal-to-gas pipeline Beijing Changli Completed 90% of main pipeline construction of the Laiyuan pipework for ten counties in middle Hebei Province Tianjin Laoting Shaanxi-Beijing Baoding Zhuozhou (Phase I) Gas Pipeline No. 1 Development Zone Baoding Jinzhou Shenzhou Completed the bidding process for the survey, design, Dingzhou Shaanxi-Beijing Anping Xinji supervision, equipment and construction for the Shanxi Gas Pipeline No. 2 Shijiazhuang Gaocheng Luquan Shijiazhuang Economy Development Zone Licheng – Hebei Shahe CBM Pipeline project, and will Southern Shijiazhuang Shanqian Industrial Zone Gaoyi Hebei Province Xinhe commence construction in the first half of 2014 Zhuozhou- Handan long- Nangong distance transmission Xingtai Ningjin pipeline Dacaozhuang Qinghe Shahe Management CBM Pipeline Zone Gaoyi-Qinghe long-distance transmission pipeline Feixiang Licheng Handan Development Zone

Long-Distance Transmission Pipeline City Gas Project

11 Overview of Natural Gas Business (cont'd)

Develop New Upstream Gas Sources Downstream Sales Grew Rapidly Added 19 Industrial at 21% growth yoy, industrial users The Chengde natural gas utilization project has completed reached 307; newly-added 16,188 residential users, a 33% infrastructure construction and is expected to supply Chengde growth yoy, accumulative users 65,014 City with gas from the Datang Keqi Coal-to-gas Project Obtained approval for constructions of 4 CNG primary filling The Shanxi Licheng – Hebei Shahe coalbed gas pipeline station, 10 CNG refilling stations and 4 LNG refilling stations project is expected to complete construction and begin to supply gas as soon as possible To expand business in local city gas markets, we have established a number of new subsidiaries including those in The Tangshan Caofeidian LNG receiving terminal, in which we new markets like Xingtai, Gaoyi, Lulong, Anping,,, and new have a 20% stake, was put into service in Dec 2013. The regions in existing markets like Shijiazhuang and Chengde maximum daily gasification capacity reached 24 million cubic meters and the annual gasification capacity reached 8.7 billion cubic meters Natural Gas Price Adjustment Went Smoothly In June 2013, the NDRC released “Notification Regarding In order to relieve tight gas supply in winter in Hebei Province, Natural Gas Price Adjustment”, under which the Group’s we secured additional 15.95 million cubic meters of LNG as natural gas purchasing cost increased by RMB0.43 per cubic supplementary gas source for the province meter

In July 2013, the Group received cost pass-through approval from Hebei Province’s Bureau of Commodity Prices, reconfirming transmission tariff of RMB0.25 for our wholesale business. Cost pass-through for wholesale business thus had finished As of Nov 2013, the Group has confirmed with all downstream retail customers for cost pass-through

12 Overview of Wind Power Business

Installed Capacity Continue to Increase; Power Generation Maintain Stable Growth

Consolidated Installed Capacity Consolidated Power Generation (MW) (GWh) +99 MW 1,600 3,200 +399 GWh +7.4% 1,445.3 +15.8% 2,927 1,400 1,346.3 2,800 2,528 1,200 2,400

1,000 2,000

800 1,600

600 1,200

400 800

200 400

0 0 2012 2013 2012 2013

13 Overview of Wind Power Business (cont'd)

All Wind Farms Maintain Healthy Operation; Regional Tariff Remains Stable

Average On-grid Tariff Availability Factor (1) Average Utilization Hours (Including VAT) (%) (Hour) (RMB /kWh)

100 2,400 0.6 RMB +0.003 +22 hours 2,312 0.546 2,290 0.543 -0.1 Percentage point 0.5 98 97.6 97.5 2,200

0.4 96 2,000

0.3

94 1,800 0.2

92 1,600 0.1

90 1,400 0.0 2012 2013 2012 2013 2012 2013

Note 1. Calculated as (total hours – downtime due to any equipment failure in the wind farm) / total hours *100%

14 Overview of Wind Power Business (cont'd)

Locations of Suntien’s Wind Farms

Guyuan Langweibasha Newly-added 99 MW installed capacity in 2013. As at the end Wind Farm and Guyuan of 2013, our consolidated wind power capacity increased to Wuhuaping Wind Farm Weichang Yudaokou Muchang Wind Farm and Chengde Ruyihe Wind Farm 1,445.3 MW; 4 wind farm projects with a total capacity of 251 Kangbao Wolongshan Zhangbei Wind Farm and Kangbao Daxishan MW are under construction Sanxiatian Wind Farm Wind Farm Wind farm operated Power generation volume in 2013 was 2,927 TWh, increasing through joint equity 15.8% year on year; average utilization hours was 2,312 Chongli Qingsanying Wind Farm Phase Dongxinying hours; average availability factor stood at 97.5% Wing Farm ⅠandⅡ Newly obtained 884 MW of approved capacity and 1,381 MW of project capacity; Accumulated approved and project reserve Shanxi Lingqiu Chongli Baicaowan Wind Jiaocheshan capacity reached 1,220 MW and 3,161.40 MW, respectively Farm and Hanfengling Wind Farm Wind Farm Newly added 3,158 MW of reserved capacity in 2013, Zhangbei Caoniangou including 350 MW in Hebei Province and 2,808 Mw in other Yuxian Wind Farm Baiyantuo Wind provinces and cities; total reserved capacity reached 21,273 Farm MW over 20 cities and provinces in China

Haixing Wind The 300 MW offshore wind power demonstration project in Yuxian Kongzhong Farm Caoyuan Wind Farm Laiyuan Puti Island, Laoting, Tanshang was approved by the Phase ⅠandⅡ Dontuanbao Wind Farm Hebei Province Development and Reform Commission of Hebei Province in New: Huang Hua Dec 2013, which was the first offshore wind power project Liang Wind Farm obtaining approval in the Bohai Sea of China

Wind farm with controlling stake Yuxian Dongdianziliang Wind Farm, Chashan Wind Farm, Yongshengzhuang Wind Farm and Lihuajian Wind Farm Wind farm with minority stake New: Dong Xing He Wind Farm

15 3. Financial Highlights Revenue and Profit Continued to See Stable Growth

Revenue Gross Profit (RMB MM) (RMB MM) (Margin %)

5,000 4,661 2,000 60 3,702 1,458 28.6% 1,238 30.6% 31.3% 2,500 1,000 33.5% 30 683 799 71.4% 69.4% 555 659 0 0 0 2012 2013 2012 2013 Natural Gas Wind Power Natural Gas Wind Power EBITDA Margin Operating Profit (2) EBITDA (1) (2) (RMB MM) (Margin %) (RMB MM) (Margin %)

2,000 1,767 60 1,400 1,216 40 1,535 1,067 37.9% 28.8% 41.5% 26.1% 700 617 705 20 1,000 1,026 1,181 30

551 470 528 622 0 0 0 0 2012 2013 2012 2013 Natural Gas Wind Power Operating Margin Natural Gas Wind Power EBITDA Margin

Notes 1. Including other revenue such as CER revenue, VAT refund, and bank interest income, excluding share of profit from associates 2. Sum of two segments is after inter-company elimination and excluding share of profits of associates

17 Steady Growth in Natural Gas Business

Revenue Gross Profit (RMB MM) (RMB MM) (Margin %)

4,000 3,327.5 800 659.8 30 2,569.0 555.4

2,000 400 21.6% 19.8% 15

0 0 0 2012 2013 2012 2013

Operating Profit EBITDA (1) (RMB MM) (Margin %) (RMB MM) (Margin %) 600 547.6 20 800 30 469.5 619.2 528.8 18.3% 16.5% 300 10 400 18.6% 15 20.6% 0 0 0 0 2012 2013 2012 2013

Note 1. Including other revenue, but excluding share of profit from associates

18 Rapid Growth in Wind Power Business

Revenue Gross Profit (RMB MM) (RMB MM) (Margin %)

1,600 1,332 800 682.9 798.7 80 1,133

800 400 60.0% 40 60.3%

0 0 0 2012 2013 2012 2013

Operating Profit EBITDA (1) (RMB MM) (Margin %) (RMB MM) (Margin %) 800 704.8 80 1,300 1,181 120 617.1 1,026

400 40 650 90.6% 88.7% 60 54.5% 52.9%

0 0 0 0 2012 2013 2012 2013

Note 1. Including other revenue such as CER revenue, VAT refund, and bank interest income, excluding share of profit from associates

19 Slight Decline in Net Profit After Tax

Despite affected by 1) decrease in share of profits of associates and 2) increase in natural gas tax rate, after adjustments for one-off income and expenditures, the adjusted Net Profit After Tax for 2013 is RMB 709MM, decreasing only 4.6% year on year

2012 Adjusted Net Profit Before Tax 2013 Adjusted Net Profit Before Tax (RMB MM) (RMB MM)

850 850

CERs net CERs Natural gas income provision AR provision 750 CERs net 750 +0.4 +20.0 +13.8 860 CERs 832 803 income 810 provision -44.2 +51.0 650 650 As reported Adjusted As reported Adjusted 2012 Adjusted Net Profit After Tax 2013 Adjusted Net Profit After Tax (RMB MM) (RMB MM) 800 800

700 700 CERs net Income tax CERs 600 796 income rebate 600 provision 744 CERs CERs -44.2 -59.2 Natural gas 709 +51.0 675 net income provision 500 500 +0.4 AR provision +20.0 +13.8 400 400 As reported Adjusted As reported Adjusted

20 Stable Capital Structure

Net Debt/Total Asset 2013 Net Debt Breakdown (1) (%) (RMB MM)

60 51.6 49.6 10,000 7,500 1,670 40 5,000 7,545 20 7,234 2,500 0 0 1,359 2012 2013 ST Loans LT Loans Cash Net Debt

Interest Coverage (EBITDA/Total Interest Expense) Net Debt/EBITDA (x) (x) 6 6 4.3 4.2 4.4 4.1 4 4

2 2

0 0 2012 2013 2012 2013

Note 1. Net Debt = Interest bearing debt - Cash and cash equivalents

21 4. Outlook Prospects for 2014

Seize the opportunity derived from China’s attempts to control air pollution and to develop clean energy, continue to focus on natural gas and wind power businesses development while exploring opportunities in other clean energy projects to diversify the Group’s clean energy project portfolio

1 Making reasonable arrangements for natural gas projects Upstream projects: 1) promote the construction of Shanxi Licheng-Hebei Shahe coalbed methane pipeline project; 2) explore opportunity to utilize the Tanshang LNG project, in which the Group has non-controlling interests Midstream projects: accelerate the construction progress of the pipework for ten counties in central Hebei Province (Phase I), and actively handle the formalities for the construction progress of the pipework for ten counties in central Hebei Province (Phase II) to strive for an early commencement of construction work Downstream projects: 1) we will intensify existing long pipeline peripheral market development; 2) utilize the coal-based natural gas from Datang Keqi project to develop the natural gas utilization project in Chengde; 3) expand ten counties network area in central Hebei Province (Phase I), reserve market; 4) promote the industrial coal to gas conversion project in Shahe City, enhance the development of LNG and CNG projects in Shahe, Xingtai, Baoding, etc.

23 Prospects for 2014 (cont’d)

2 Steadily Promote the Development and Construction of Wind Power Projects

Actively promote development of wind power projects in Hebei Province. Vigorously promote the development of wind power projects in regions with advantageous resources such as Shandong, Yunnan and Henan. Advance the development of 12 projects in Weichang, Fengning areas listed within the “Chengde Million kW Base Phase II” Steadily advance wind project construction inside and outside Hebei Province. Complete the Ruyihe project and accelerate the construction progress of Changli Datan and Yuxian wind power projects. Accelerate the construction of Xinjiang Ruoqiang Luobuzhuang wind power project (Phase I) Promote offshore wind power projects and commence construction of Tangshan Laoting Putidao offshore wind power project as soon as possible

3 Other Clean Energy Business

Prudently identify quality overseas projects to support the Company’s continuous development Accelerate the construction of 10 MW Laiyuan solar power project, and strive to commence production in 2014

24 Prospects for 2014 (cont’d)

4 Enhancing the implementation of management system Implementing complete and effective management systems to further improve management efficiency, effectively control management costs and improve the competitiveness of the Group

5 Optimizing capital structure and lowering capital costs Actively make judgments on macro-economy trends and market interest rate and issue low-cost debt financing instruments from time to time Continue to enhance bank-enterprise relationship with various domestic and overseas banks for bank facilities and obtain capital with low interest rates.

25 5. Q&A