DOCSLIB.ORG

Annual Report 2018

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text

Load more

TOWNGAS CHINA COMPANY LIMITED COMPANY CHINA TOWNGAS ANNUAL REPORT 2018 www.towngaschina.com ANNUAL REPORT 2018 Towngas China continues to be Asia’s leading clean energy supplier and quality service provider, with a focus on innovation and environmental-friendliness. Whilst improving the environment, we are also providing our customers with reliable, efficient, safe and clean energy. CONTENTS Contents Business Overview 2 Five-Year Financial Summary 4 Financial Highlights 5 Chairman’s Statement 6 Financial Review 10 Review of Operations 14 Awards and Accolades 32 Risk Factors 34 Board of Directors 36 Report of the Directors 40 Corporate Governance Report 53 Independent Auditor’s Report 69 Consolidated Income Statement 75 Consolidated Statement of Comprehensive Income 76 Consolidated Statement of Financial Position 77 Consolidated Statement of Changes in Equity 79 Consolidated Statement of Cash Flows 80 Notes to the Consolidated Financial Statements 83 Corporate Information 189 Business Overview TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Business Overview NO. OF PROJECTS Heilongjiang Jilin Piped Gas Projects116 Distributed Energy Projects Anhui Anqing, Bowang, Chizhou, Huangshan, Huizhou, Maanshan, Sichuan Energy Investment, Shenyang Economic and Tunxi, Wuhu Fanchang, Wuhu Jiangbei, Zhengpugang Xin Qu Technological Development Zone, Modern Industrial Zone Qingdao Jimo Chuangzhi New District, Inner Mongolia Chongqing Qijiang Xuzhou Industrial Park (Jiawang district), Binzhou Yangxin Economic and Fujian Changting Technological Development Zone, Liaoning Changchun, Guangdong Fengxi, Foshan, Qingyuan, Shaoguan, Yangdong Guilin, Guangxi Guilin, Liuzhou, Zhongwei (Fusui) Tangshan Chengnan Economic Development Zone, Guizhou Xingyi Binzhou Boxing Economic Hebei Development Zone, Hebei Cangxian, Mengcun, Qinhuangdao, Shijiazhuang, Yanshan Xuzhou Biomedical Industrial Park, Heilongjiang Qiqihar Maanshan Economic and Shandong Technological Development Zone Hubei Zhongxiang South District Hunan Miluo Inner Mongolia Baotou Anhui Jiangsu Midstream Projects Jiangsu Dafeng, Nanjing Gaochun, Tongshan Shanghai Taian Taigang, Jiangxi Changjiu, Fuzhou, Jiujiang, Wuning, Xiushui, Yifeng Xuancheng-Huangshan, Hubei Inner Mongolia Guyang, Sichuan Jilin Changchun, Gongzhuling, Siping Jinan-Liaocheng Liaoning Anshan, Beipiao, Benxi, Chaoyang, Dalian Changxingdao, Dalian Economic and Technical Development Zone, Fuxin, Chongqing Zhejiang Jianping, Kazuo, Lvshun, Shenyang Coastal Economic Zone, Tieling, Wafangdian, Xinqiu, Yingkou Shandong Boxing Economic Development Zone, Chiping, Feicheng, Jimo, Vehicle Gas Refilling Stations Hunan Jinan West, Laiyang, Laoshan, Linqu, Longkou, Pingyin, Taian, Jiangxi Qiqihar (Lianfu), Weifang, Weihai, Wulian, Yangxin, Zhaoyuan, Zibo, Zibo Lubo Guizhou Qiqihar (Xingqixiang) Fujian Sichuan Cangxi, Chengdu, Dayi, Jiajiang, Jianyang, Lezhi, Mianyang, Mianzhu, Pengshan, Pengxi, Pingchang, Weiyuan, Xindu, Xinjin, Yuechi, Zhongjiang, Ziyang Yunnan Yunnan Luliang Guangxi Zhejiang Huzhou, Songyang, Tongxiang, Yuhang Others Maanshan Piping Prefabrication, Towngas Natural Gas Sales Guangdong 02 TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 HeilongjiangHeilongjiang Jilin Jilin Inner MongoliaInner Mongolia Liaoning Liaoning Hebei Hebei ShandongShandong Anhui Anhui Jiangsu Jiangsu ShanghaiShanghai Sichuan Sichuan Hubei Hubei ChongqingChongqing Zhejiang Zhejiang Hunan HunanJiangxi Jiangxi Guizhou Guizhou Fujian Fujian Yunnan Yunnan Guangxi Guangxi GuangdongGuangdong 03 Five-Year Financial Summary TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Five-Year Financial Summary For the year ended 31 December 2014 2015 2016 2017 2018 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 RESULTS Revenue 7,881,833 7,718,293 7,181,150 8,759,783 11,787,002 Profit before taxation 1,531,059 1,268,043 1,455,403 1,917,654 1,892,130 Taxation (350,085) (343,511) (362,133) (405,373) (478,981) Profit for the year 1,180,974 924,532 1,093,270 1,512,281 1,413,149 Profit for the year attributable to: Shareholders of the Company* 1,054,189 807,042 973,997 1,365,385 1,224,274 Non-controlling interests 126,785 117,490 119,273 146,896 188,875 Profit for the year 1,180,974 924,532 1,093,270 1,512,281 1,413,149 HK cents HK cents HK cents HK cents HK cents Earnings per share Basic 40.19 30.45 36.26 49.87 43.89 Diluted 40.08 30.43 N/A N/A N/A As at 31 December 2014 2015 2016 2017 2018 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 ASSETS AND LIABILITIES Total assets 27,350,239 28,870,524 28,027,110 32,774,810 34,014,606 Total liabilities (12,905,761) (14,170,668) (13,362,927) (15,576,994) (16,245,290) 14,444,478 14,699,856 14,664,183 17,197,816 17,769,316 Equity attributable to shareholders of the Company 13,253,951 13,478,084 13,499,351 15,845,033 16,229,197 Non-controlling interests 1,190,527 1,221,772 1,164,832 1,352,783 1,540,119 Total equity 14,444,478 14,699,856 14,664,183 17,197,816 17,769,316 * the Company: Towngas China Company Limited 04 Financial Highlights TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Financial Highlights Revenue Prot Attributable to Number of Customers (HK$ Millions) Shareholders of the Company (All Entities) (HK$ Millions) (Millions) 11,787 12,000 1,500 14 1,365 12.6 11.8 1,224 12 10,000 10.9 1,200 8,760 1,054 10.0 7,882 10 9.2 7,718 974 8,000 7,181 900 807 8 6,000 6 600 4,000 4 300 2,000 2 0 0 0 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Analysis of Revenue 20%Gas Connection 17%Gas Connection 2017 2018 80% Piped Gas and Piped83% Gas and Related Products Related Products Percentage of Gas Volume by Customer Mix (All Entities) 25% Residential 24%Residential 2017 2018 vvb 58%Industrial 60%Industrial 17%Commercial 16%Commercial 05 Chairman’s Statement TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Chairman’s Statement Economic Landscape In 2018, the global economy saw sustained and moderate growth, though with less momentum. The economy of the United States (the “US”) delivered a better-than-expected performance. As the US Federal Reserve continued to raise interest rates, emerging market currencies experienced varying degrees of exchange rate volatility while the depreciation of the Renminbi faced greater pressures during the second half of the year. At the same time, the Sino-US trade dispute has given rise to continuing uncertainty over China’s economic growth prospects in 2018. To stabilise economic growth, a number of government policies were implemented. This included lowering the value-added tax (VAT) rate on major commodities and services by 1%, amending the Individual Income Tax Law, cutting the reserve requirement ratio four times, as well as promulgating certain targeted policies to facilitate the economic development of non-public sectors and relieve operating pressures faced by private enterprises. The Central Government is also placing significant emphasis on the importance of providing greater support with strong fiscal policies, together with substantial tax cuts and fee deductions. These macro-policies have played a significant role in improving business sentiment in mainland China, helping to restore corporate investment confidence while also increasing national disposable income and spurring growth in domestic consumption. In 2018, the economy maintained a growth of 6.6%. 06 TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Market Prospects for Natural Gas Business 2018 marked a critical year for China as the country worked towards its goal to “build a prosperous society in all respects”. Introducing and implementing anti-pollution measures is also seen as a key strategy to achieve this goal. The Chinese government released a “Three-Year Action Plan to Win the Battle for a Blue Sky”. Under this initiative, the aim is to ensure that by 2020, the percentage of days with good air quality in prefecture-level cities or above must reach 80% annually. At the same time, the number of pilot cities under the central-funded “Plan for Clean Heating in Winter in Northern Areas (2017-2021)” increased from “2+26” to “2+38”. To improve gas storage capacities, the National Development and Reform Commission (“NDRC”) also issued policies stipulating that the gas storage capacity of upstream gas suppliers and urban gas companies must reach 10% and 5% of the annual contract gas volume respectively. Gas storage capacities of local governments must also reach the three-day gas consumption level of their administrative divisions. Additionally, policies on the construction of local gas storage facilities were successively issued in provincial regions such as Jiangsu, Shandong, Sichuan and Henan. 07 TOWNGAS CHINA COMPANY LIMITED ANNUAL REPORT 2018 Chairman’s Statement In August 2018, the State Council issued “Several Opinions on Promoting the Coordinated and Stable Development of Natural Gas”, stating that the output of domestic natural gas is expected to rise to 200 billion cubic metres or more by 2020. Further policies are being launched, seeking to strengthen interconnect systems between the nation’s various natural gas trunk pipelines; open up facilities to third-party markets in a fair manner; introduce differential seasonal prices and suspend gas supply contracts with variable pricing; These initiatives will enhance the stability of natural gas supplies, strike a reasonable balance between supply and demand and encourage the greater use of natural gas, a clean source of energy, among end uses. With the help of these measures, the natural gas industry in mainland China is set to enter a new stage of both sustainable
Recommended publications
  • Wafangdian Bearing Company Limited

    Wafangdian Bearing Company Limited

    Short title:*STWaZhou B Code：200706 No.: 2016-50 Associated business progress announcement of selling Shenyang agencies plant to WBGC with adjusted evaluation of Wafangdian Bearing Company Limited Our company, the whole members of the board of directors and top managements ensured the truth, accuracy, completeness, no false record, misleading statement and fatal omit of the announcement. I. Overview Wafangdian City bearing Limited by Share Ltd (hereinafter referred to as the "company") on October 26, 2016 held the seventh session of the second meeting of the board of directors approved " selling Shenyang agencies plant to WBGC ", and in November 14, 2016 held in Wafangdian City bearing Limited by Share Ltd in 2016 the first provisional shareholders meeting examined and approved the proposal. The company entrusted with the qualification of securities and futures related business in Beijing China enterprise appraisals limited liability company of these houses were assessed, and on October 25, 2016 issued by the China enterprise Ping Bao Zi (2016) No. 3988th "Wafangdian City bearing part of Limited by Share Ltd intends to transfer of assets report to Wafangdian City bearing Refco Group Ltd project evaluation" (hereinafter referred to as the "assessment report"). The transaction details of the company in October 28, 2016 in the securities times, Hongkong business Daily and the http://wltp.cninfo.com.cn. " Wafangdian Bearing Company Announcement Limited Related Transaction " (Bulletin No. 2016-39). Before the general meeting of shareholders holding on November 14, 2016,WBGC didn’t received reply from Dalian SASAC. The effective conditions of the transaction subject to two constraints: one is WBGC get the agreement from Dalian SASAC on the assessment; The second is the proposal should be approved by the general meeting of shareholders of the company.
  • Company Report Hong Kong Equity Research

    Company Report Hong Kong Equity Research

    Monday, May 30, 2016 China Merchants Securities (HK) Co., Ltd. Company Report Hong Kong Equity Research Anna YU Sinopec Kantons (934 HK) +852 6226 8956 Oil & gas logistics platform to thrive on volume growth [email protected] ■ Key beneficiary of robust China crude oil imports given its more than 50% market share in domestic crude oil jetty services market Initiation ■ Newly acquired natural gas pipeline to leverage on robust China natural gas consumption in the long run BUY ■ Valuation attractive. Initiate with BUY and TP of HK$5.14 Leverage on robust China crude oil imports Price HK$3.72 12-month Target Price We expect China crude oil imports to grow at solid 7% CAGR in 2015- HK$5.14 (+38%) 20E underpinned by lower domestic production, inventory build-up and (Potential up/downside) higher non-state crude oil import quota. Thanks to robust China crude oil imports, we expect the throughput volume in Sinopec Kantons’ 7 Price Performance domestic crude oil terminals to increase from 187mt in 2015 to 244mt in (%) 2018E, representing a CAGR of 9% during the period with overall 10 934 HSI Index utilization up from 69% in 2015 to 83% in 2018E. 0 Gas transmission volume to recover from low base -10 -20 The newly acquired Yu-Ji Pipeline reported a 7.8% YoY decline in -30 transmission volume to 3.0bcm in 2015, mainly due to 37% YoY plunge in -40 volume to Shandong given increased LNG imports in the area upon the -50 operation of Qingdao LNG terminal as at the end of 2014.
  • Regional Energy Industry Insights

    Regional Energy Industry Insights

    Regional Energy Industry Insights Volume II Refer to important disclosures at the end of this report DBS Group Research . Equity 5 Jul 2019 The Regional Energy space in Asia-Pacific is evolving rapidly, and we are keeping tabs to share with you. This is the next in a series of short features for the sector in a new and refreshed format, where we will, on a regular basis, present emerging trends and updates that will be of long-term interest for readers. Happy reading! ed: TH/ sa: JC, PY, CS Regional Energy Industry Insights: Issues in regional renewables markets Analyst Issues in regional renewables markets Patricia YEUNG +852 36684189 [email protected] • Investments in renewable energy capacity is on the Suvro Sarkar +65 81893144 rise in most Asia-Pacific markets, but is it all smooth [email protected] sailing? Pei Hwa HO +65 6682 3714 [email protected] • We identify some current issues in renewables sector in select countries in the region and expected progress on these issues in future • In the following pages, we will focus on China, Australia, Vietnam and Bangladesh respectively Page 2 Regional Energy Industry Insights: Issues in regional renewables markets Contents 1. Focus on China – towards grid parity Page 4 2. Focus on Australia – coping with MLFs Page 9 3. Focus on Vietnam – risking agreements Page 13 4. Focus on Bangladesh – land ahoy Page 19 Page 3 Regional Energy Industry Insights: Issues in regional renewables markets SECTION 1: FOCUS ON CHINA Widening shortfall in renewable energy fund. The delay in subsidy payments has been a major overhang for the renewable sector in China.
  • Study on the Economic Competitiveness

    Study on the Economic Competitiveness

    6th International Conference on Management, Education, Information and Control (MEICI 2016) Study on the Economic Competitiveness Evaluation of Coastal Counties: Example as Liaoning Province Qiang Mao School of Management, Bohai University, Jinzhou 121013, China. [email protected] Keywords: Economic competitiveness; Competitiveness evaluation; Coastal counties Abstract. The competitiveness of coastal county is an important area of study on regional competitiveness, and evaluation study on county economy is important basis and foundation to improve the competitiveness of coastal county economy. Based on a brief description of literature review, a method based on stakeholders’ perspective is proposed to solve the competitiveness evaluation problem. In addition, the effectiveness of the proposed method is illustrated by the example as Liaoning province. Finally, some countermeasures are proposed to promote coastal county economy according the evaluation result and characteristics. Introduction Due to convenient transportation conditions for international trade, coastal counties get prosperity for trading with the world and will be easy to form manufacturing bases for processing trade. Many scholars are attracted to the research of economic competitiveness evaluation for its widely application background. Liu(2013) established evaluation index system of county economy for Tangshan, and proposed a method for county economy evaluation based on factor analysis [1]. He(2014) designed evaluation index system based on the perspective of economy development demand in county level, and analyzed the supporting ability of science and technology in Anhui by means of analytic hierarchy process(AHP) [2].Above mentioned methods have each superiority, but evaluation results rely too much on experts’ preference. Evaluation objects are considered as passive objects in the above evaluation problems, while evaluation objects always have more complete evaluation information.
  • Credit Trend Monitor: Earnings Rising with GDP; Leverage Trends Driven by Investment

    Credit Trend Monitor: Earnings Rising with GDP; Leverage Trends Driven by Investment

    CORPORATES SECTOR IN-DEPTH Nonfinancial Companies – China 24 June 2021 Credit Trend Monitor: Earnings rising with GDP; leverage trends driven by investment TABLE OF CONTENTS » Economic recovery drives revenue and earnings growth; leverage varies. Rising Summary 1 demand for goods and services in China (A1 stable), driven by the country's GDP growth, Auto and auto services 6 will benefit most rated companies this year and next. Leverage trends will vary by sector. Chemicals 8 Strong demand growth in certain sectors has increased investment requirements, which in Construction and engineering 10 turn could slow some companies’ deleveraging efforts. Food and beverage 12 Internet and technology 14 » EBITDA growth will outpace debt growth for auto and auto services, food and Metals and mining 16 beverages, and technology hardware. As a result, leverage will improve for rated Oil and gas 18 companies in these sectors. A resumption of travel, outdoor activities and business Oilfield services 20 operations, with work-from-home options, as the coronavirus pandemic remains under Property 22 control in China will continue to drive demand. Steel, aluminum and cement 24 Technology hardware 26 » Strong demand and higher pricing will support earnings growth for commodity- Transportation 28 related sectors. These sectors include chemicals, metals and mining, oil and gas, oilfield Utilities 30 services, steel, aluminum and cement. Leverage will improve as earnings increase. Carbon Moody's related publications 32 transition may increase investments for steel, aluminum and cement companies. But List of rated Chinese companies 34 rated companies, which are mostly industry leaders, will benefit in the long term because of market consolidation.
  • Towngas China Co Ltd

    Towngas China Co Ltd

    China / Hong Kong Company Guide Towngas China Co Ltd Version 1 | Bloomberg: 1083 HK Equity | Reuters: 1083.HK Refer to important disclosures at the end of this report DBS Group Research . Equity 21 May 2018 BUY (Initiate coverage) Storing up for growth Last Traded Price ( 18 May 2018):HK$7.90 (HSI : 31,048) First mover advantage in large scale storage facilities Price Target 12-mth: HK$9.00 (14% upside) Dollar margin to remain stable despite winter gas A nalyst shortage Tony WU CFA +852 2971 1708 [email protected] Sales volume to reach CAGR of 14% in FY17-20 Patricia YEUNG +852 28638908 [email protected] Initiate with BUY rating, TP is set at HK$9.00 Price Relative More re-rating to go. Towngas China differs from other gas distributors in its determination to invest in midstream assets. By leveraging on the vast experience and resources of the parent company such as underground storage facility and LNG receiving terminal, it will allow the company to mitigate the dollar margin pressure and we believe the dollar margin will remain stable in FY18. Also, its gas sales volume growth is expected to reach a CAGR of 14% in FY17-20, which will help to drive up the adjusted earnings growth to 14% in FY17-20. This is expected to help the stock re-rate Forecasts and Valuation back to the 15-23x PE range before the oil price collapsed in FY Dec (HK$ m) 2017A 2018F 2019F 2020F 2014 and when volume growth was at double digit. Turnover 8,760 10,120 11,223 12,260 EBITDA 2,619 3,034 3,361 3,663 Where w e differ.
  • River Ecosystem Assessment and Application in Ecological Restorations: a Mathematical

    River Ecosystem Assessment and Application in Ecological Restorations: a Mathematical

    G Model ECOENG-2995; No. of Pages 7 ARTICLE IN PRESS Ecological Engineering xxx (2014) xxx–xxx Contents lists available at ScienceDirect Ecological Engineering jou rnal homepage: www.elsevier.com/locate/ecoleng River ecosystem assessment and application in ecological restorations: A mathematical approach based on evaluating its structure and function a a a,∗ b Xin Jiang , Shiguo Xu , Yuyu Liu , Xuedong Wang a Institute of Water and Environmental Research, Faculty of Infrastructure Engineering, Dalian University of Technology, Dalian 116024, China b Beipiao Ling River Reserve Administration, Beipiao 122100, China a r t i c l e i n f o a b s t r a c t Article history: The river is an essential part of water resources, which has unique ecological structure and function. With Received 30 December 2013 the rapid socio-economic development, the improper use of water resources has led to a series of struc- Received in revised form 3 April 2014 tural and functional decline of the river system, such as water pollution, environmental degradation and Accepted 26 April 2014 river shrinkage. How to restore damaged river ecosystems to an ecologically healthy status has become Available online xxx one of the important environmental issues, which is the key to achieve the goal of productivity improve- ment, ecosystem balance and sustainable development. And also, the structure and function of the river Keywords: ecosystem should be pre-assessed before the restoration. In this paper, the Liangshui River, a tributary of River ecosystem Structure Daling River in the arid region of western Liaoning Province, is selected as a study site.
  • Hang Seng Indexes Announces Index Review Results

    Hang Seng Indexes Announces Index Review Results

    14 August 2020 Hang Seng Indexes Announces Index Review Results Hang Seng Indexes Company Limited (“Hang Seng Indexes”) today announced the results of its review of the Hang Seng Family of Indexes for the quarter ended 30 June 2020. All changes will take effect on 7 September 2020 (Monday). 1. Hang Seng Index The following constituent changes will be made to the Hang Seng Index. The total number of constituents remains unchanged at 50. Inclusion: Code Company 1810 Xiaomi Corporation - W 2269 WuXi Biologics (Cayman) Inc. 9988 Alibaba Group Holding Ltd. - SW Removal: Code Company 83 Sino Land Co. Ltd. 151 Want Want China Holdings Ltd. 1088 China Shenhua Energy Co. Ltd. - H Shares The list of constituents is provided in Appendix 1. The Hang Seng Index Advisory Committee today reviewed the fast expanding innovation and new economy sectors in the Hong Kong capital market and agreed with the proposal from Hang Seng Indexes to conduct a comprehensive study on the composition of the Hang Seng Index. This holistic review will encompass various aspects including, but not limited to, composition and selection of constituents, number of constituents, weightings, and industry and geographical representation, etc. The underlying aim of the study is to ensure the Hang Seng Index continues to serve as the most representative and important benchmark of the Hong Kong stock market. Hang Seng Indexes will report its findings and propose recommendations to the Advisory Committee within six months. The number of constituents of the Hang Seng Index may increase during this period. Hang Seng Indexes Announces Index Review Results /2 2.
  • Table of Codes for Each Court of Each Level

    Table of Codes for Each Court of Each Level

    Table of Codes for Each Court of Each Level Corresponding Type Chinese Court Region Court Name Administrative Name Code Code Area Supreme People’s Court 最高人民法院 最高法 Higher People's Court of 北京市高级人民 Beijing 京 110000 1 Beijing Municipality 法院 Municipality No. 1 Intermediate People's 北京市第一中级 京 01 2 Court of Beijing Municipality 人民法院 Shijingshan Shijingshan District People’s 北京市石景山区 京 0107 110107 District of Beijing 1 Court of Beijing Municipality 人民法院 Municipality Haidian District of Haidian District People’s 北京市海淀区人 京 0108 110108 Beijing 1 Court of Beijing Municipality 民法院 Municipality Mentougou Mentougou District People’s 北京市门头沟区 京 0109 110109 District of Beijing 1 Court of Beijing Municipality 人民法院 Municipality Changping Changping District People’s 北京市昌平区人 京 0114 110114 District of Beijing 1 Court of Beijing Municipality 民法院 Municipality Yanqing County People’s 延庆县人民法院 京 0229 110229 Yanqing County 1 Court No. 2 Intermediate People's 北京市第二中级 京 02 2 Court of Beijing Municipality 人民法院 Dongcheng Dongcheng District People’s 北京市东城区人 京 0101 110101 District of Beijing 1 Court of Beijing Municipality 民法院 Municipality Xicheng District Xicheng District People’s 北京市西城区人 京 0102 110102 of Beijing 1 Court of Beijing Municipality 民法院 Municipality Fengtai District of Fengtai District People’s 北京市丰台区人 京 0106 110106 Beijing 1 Court of Beijing Municipality 民法院 Municipality 1 Fangshan District Fangshan District People’s 北京市房山区人 京 0111 110111 of Beijing 1 Court of Beijing Municipality 民法院 Municipality Daxing District of Daxing District People’s 北京市大兴区人 京 0115
  • Annual Report

    Annual Report

    The Hong Kong and China Gas Company Limited (Stock Code: 3) annual report EXPANDING NEW HORIZONS Building on a distinguished history as a local energy supplier in Hong Kong spanning more than a century and a half, we have in recent years consistently embraced new opportunities and challenges as the scope of our operations has progressively expanded. 2014 AWARDS AND RECOGNITIONS TOWNGAS TOWNGAS CHINA Global Chinese Business 1000 Company of the Year Award Yazhou Zhoukan Institution of Gas Engineers & Managers of the United Kingdom and the Energy and Top 100 Hong Kong Listed Companies Utilities Alliance Finet Group Limited and Tencent TOWNGAS & TOWNGAS CHINA The Outstanding Listed Company Award Constituent Companies of The Hong Kong Institute of Financial Analysts the Hang Seng Corporate and Professional Commentators Limited Sustainability Index Series Hang Seng Indexes Company Limited Innovation continued to drive CONTENTS our business in 2014 with the establishment of S-TEch, 02 Towngas’ Businesses In 2014 a new IT services venture 04 Business Highlights focused on the application of 05 Five-Year Summary We have developed a cloud computing. 06 Chairman’s Statement landmark 202 PROJEctS 14 Board of Directors IN MAINLAND CHINA, 15 Biographical Details of Directors Our NEW PLANT IN 19 Executive Committee spanning city-gas, city-water, INNER MONGOLIA was 20 The Mainland Utility Businesses wastewater treatment, natural undergoing commissioning 28 The Hong Kong Gas Business gas pipelines, new energy, to upgrade methanol 36 New Energy and telecommunications and into high-grade fuel Diversified Businesses the production of gas-related chemical products. 44 Corporate Social Responsibility materials and devices.
  • Addition of Clopidogrel to Aspirin in 45 852 Patients with Acute Myocardial Infarction: Randomised Placebo-Controlled Trial

    Addition of Clopidogrel to Aspirin in 45 852 Patients with Acute Myocardial Infarction: Randomised Placebo-Controlled Trial

    Articles Addition of clopidogrel to aspirin in 45 852 patients with acute myocardial infarction: randomised placebo-controlled trial COMMIT (ClOpidogrel and Metoprolol in Myocardial Infarction Trial) collaborative group* Summary Background Despite improvements in the emergency treatment of myocardial infarction (MI), early mortality and Lancet 2005; 366: 1607–21 morbidity remain high. The antiplatelet agent clopidogrel adds to the benefit of aspirin in acute coronary See Comment page 1587 syndromes without ST-segment elevation, but its effects in patients with ST-elevation MI were unclear. *Collaborators and participating hospitals listed at end of paper Methods 45 852 patients admitted to 1250 hospitals within 24 h of suspected acute MI onset were randomly Correspondence to: allocated clopidogrel 75 mg daily (n=22 961) or matching placebo (n=22 891) in addition to aspirin 162 mg daily. Dr Zhengming Chen, Clinical Trial 93% had ST-segment elevation or bundle branch block, and 7% had ST-segment depression. Treatment was to Service Unit and Epidemiological Studies Unit (CTSU), Richard Doll continue until discharge or up to 4 weeks in hospital (mean 15 days in survivors) and 93% of patients completed Building, Old Road Campus, it. The two prespecified co-primary outcomes were: (1) the composite of death, reinfarction, or stroke; and Oxford OX3 7LF, UK (2) death from any cause during the scheduled treatment period. Comparisons were by intention to treat, and [email protected] used the log-rank method. This trial is registered with ClinicalTrials.gov, number NCT00222573. or Dr Lixin Jiang, Fuwai Hospital, Findings Allocation to clopidogrel produced a highly significant 9% (95% CI 3–14) proportional reduction in death, Beijing 100037, P R China [email protected] reinfarction, or stroke (2121 [9·2%] clopidogrel vs 2310 [10·1%] placebo; p=0·002), corresponding to nine (SE 3) fewer events per 1000 patients treated for about 2 weeks.
  • Kunlun Energy (135 HK) 23 August 2013

    Kunlun Energy (135 HK) 23 August 2013

    China/Hong Kong China Gas Kunlun Energy (135 HK) 23 August 2013 Company Rating: Outperform Buy on expected earnings miss (maintained) • 1H13 earnings miss was expected; long-term growth story intact. Kunlun’s 1H13 earnings miss should not Price: HK$12.08 obscure the fact that its revenue streams are fundamentally sound given the gradual pickup in LNG plant and pipeline Target: HK$15.50 utilization and the rollout of LNG refilling stations over the (down from HK$16.00) medium term. 1H13 net profit rose 5% YoY to HK$3.68b, 11% below consensus. Earnings were negatively impacted Trading data by a 28% YoY decline in E&P pretax profit, despite higher-than-expected LNG midstream volume growth, 52-week range HK$11.40-17.32 downstream gas sales, and lower D&A expense. Market capitalization HK$97.7b/US$12.6b Shares outstanding (m) 8,063 • We still like the LNG market. As of 1H13, Kunlun had Free float (%) 38 developed 53,000 LNG vehicles versus our estimate of 3M average daily T/O (m share) 20 70,000 vehicles by the end of 2013F. Kunlun stands to 3M average daily T/O (US$ m) 34 benefit from LNG refilling stations built by other gas players Expected return (%) - 1 year 28 over the next two years as overall adoption of LNG vehicles Closing price on 22 August 2013 and LNG demand will rise accordingly. Despite uncertainty over a potential LNG source price hike and signs of a Stock price and HSCEI slowdown in downstream development, we believe the HK$ government will be able to fuel LNG vehicle development 18 through policies implemented over the next few years.