Corporate Governance and Management - As of June 30, 2023, the interests and short positions of the Directors and chief executive in the shares and debentures of the Company were recorded as per the Securities and Futures Ordinance[1] - The board of directors is responsible for ensuring the accuracy and completeness of the financial report, reflecting a commitment to transparency and accountability[13] - The independent non-executive Directors confirmed that the terms of the Possible Acquisition are fair and reasonable, aligning with the interests of the Company and its shareholders[3] - The Company has complied with the Corporate Governance Code provisions during the Interim Period, with no non-compliance reported[171] - The independent non-executive Directors have confirmed their independence, and the Company considers all of them to be independent[173] - The Company is considering the feasibility of appointing a separate chief executive to comply with HKSE Code provision A.2.1[171] Financial Performance - For the half year ended June 30, 2023, the company reported a loss of RMB 7,799,000, compared to a loss of RMB 11,729,000 in the same period of 2022, indicating an improvement in financial performance[20] - The total comprehensive income for the period attributable to equity shareholders was RMB 4,247,000, a recovery from a loss of RMB 4,493,000 in the previous year[20] - The company’s loss for the quarter ended June 30, 2023, was RMB 6,687,000, compared to a loss of RMB 4,664,000 in the same quarter of 2022[20] - The Group recorded a loss attributable to equity shareholders of approximately RMB 7,643,000 for the Interim Period[38] - The loss attributable to shareholders in the Interim Period was approximately RMB 7,643,000, with a decrease in losses primarily due to the disposal of Guangxi Beiliu business, which contributed RMB 7,812,000 of losses in the previous financial year[88] - The company reported a total comprehensive loss of RMB 10,527,000 for the period, compared to a loss of RMB 8,943,000 in the previous year[134] Revenue and Expenses - Revenue from gas supply connection services for the first half of 2023 was RMB 24,060,000, a decrease from RMB 92,377,000 in the same period of 2022[30] - The Group recorded a consolidated turnover of approximately RMB 101,486,000 for the Interim Period, representing a decrease of approximately 36% compared to the corresponding period of last year[88] - The gross profit for the half year ended June 30, 2023, was RMB 15,398,000, down from RMB 15,610,000 in the previous year[122] - The loss before taxation for the half year ended June 30, 2023, was RMB 7,733,000, compared to RMB 12,286,000 in 2022[122] - Finance costs decreased from RMB 1,590,000 to RMB 388,000 in the Interim Period, attributed to the absence of finance costs related to lease liabilities[88] Assets and Liabilities - As of June 30, 2023, the net current liabilities amounted to RMB (91,744) thousand, a significant increase from RMB (23,278) thousand as of December 31, 2022[44] - Total assets less current liabilities decreased to RMB 164,946 thousand from RMB 247,726 thousand, indicating a decline in the company's asset base[44] - The net assets of the company were reported at RMB 158,476 thousand, down from RMB 244,011 thousand, reflecting a substantial reduction in equity[44] - Current liabilities increased to RMB 268,493,000 as of June 30, 2023, compared to RMB 216,443,000 at the end of 2022[131] - Cash and bank balances at June 30, 2023, were RMB 142,873,000, down from RMB 150,434,000 at the beginning of the year[123] Share Capital and Dividends - The Board does not recommend the payment of any dividend for the Interim Period[38] - The balance at 30 June 2023 for share capital was RMB 26,124,000, with total equity amounting to RMB 158,476,000[25] - The company’s share capital increased to RMB 26,124 thousand from RMB 17,133 thousand, indicating a potential capital raise or restructuring[44] - A special dividend of HK$0.2576 per share was declared on June 19, 2023, payable on July 26, 2023[107] Acquisitions and Investments - The Company is in the process of acquiring an additional 20% equity interest in Huiyang New Energy for a bidding price of RMB 6,723,800, which will result in the Company owning 100% of Huiyang New Energy[8] - The completion of the acquisition of Huiyang New Energy took place on April 19, 2023[3] - The Possible Acquisition of Huiyang New Energy constitutes a discloseable transaction under GEM Listing Rules, requiring only reporting and announcement without independent shareholders' approval[3] - The Company conditionally agreed to purchase the entire issued share capital of Global Billion Holdings Limited for HK$42,523,400 (approximately RMB 38,500,000), completed on January 16, 2023[107] Operational Developments - The Group's raw gas supply consolidation is expected to enhance vertical integration, reducing exposure to external risks and providing new profit growth opportunities through collaboration with city gas pipeline networks[6] - The successful development of technology for synthesizing natural gas from self-produced well gas and C-H is expected to stabilize supply and reduce operational risks[6] - The daily gas output from the upstream business is insufficient to fully utilize the liquefaction plant's capacity of 500,000 cubic meters[115] - The Group plans to build 10 new pieces of equipment in 2024, each capable of producing 50,000 cubic meters of natural gas per day[115] - The Group's production capacity of the LNG plants remained at approximately 500,000 cubic meters per day, with an average daily production of around 120,000 cubic meters during the interim period[104] Staff and Human Resources - As of June 30, 2023, the Group employed 237 staff, with a total staff cost of approximately RMB 12,162,000, up from RMB 9,632,000 in the same period of 2022[109] - The company’s share option scheme was conditionally adopted on March 28, 2022, to attract and retain talent, with no material differences from the previous scheme[81] Share Options and Securities - The company had granted a total of 32,119,074 options under the Previous Share Option Scheme, all of which have lapsed, resulting in no options remaining outstanding[156] - As of June 30, 2023, there are 13,327,503 options outstanding with a weighted average exercise price of HK$0.456[162] - During the period, 12,647,500 options were exercised at a weighted average exercise price of HK$0.456[162] - The New Share Option Scheme adopted on March 28, 2022, will remain in force for 10 years, expiring on March 27, 2032[156] Future Outlook - The company is committed to enhancing its market presence and exploring new strategies for growth, although specific details on new products or technologies were not disclosed in the interim report[20] - The Group plans to obtain financing to improve cash position for its capital-intensive natural gas drilling program, with no current plans for acquisitions or scaling down of any business[105] - The Group intends to conduct an advanced demonstration of the experimental equipment overseas in 2023[115]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 China CBM Group Company Limited 中 國 煤 層 氣 集 團 有 限 公 司 （於開曼群島註冊成立並於百慕達存續之有限公司） （股份代號：8270） 截至二零二三年六月三十日止六個月 中期業績公佈 中國煤層氣集團有限公司（「本公司」，連同其附屬公司統稱「本集團」）董事（「董 事」）會（「董事會」）謹此宣佈本集團截至二零二三年六月三十日止六個月的未經 審核中期業績。本公告列載本公司二零二三年中期報告全文，乃符合香港聯合交 易所有限公司GEM證券上市規則（「GEM上市規則」）中有關全年業績初步公告附 載之相關資料要求。 承董事會命 中國煤層氣集團有限公司 主席 王忠勝 中國，二零二三年八月十一日 於本公佈日期，執行董事為王忠勝先生及常建先生，非執行董事為段士川先 生、王琛先生及梁峰先生，以及獨立非執行董事為劉振邦先生、王之和先生及徐願 ...

Financial Performance - The Group's turnover for the three months ended March 31, 2023, was approximately RMB 64,182,000, representing an increase of 5.32% compared to the same period in the previous financial year[11]. - The Group recorded a loss of approximately RMB 992,000 for the three months ended March 31, 2023[11]. - Basic loss per share attributable to equity shareholders of the Company was approximately RMB 0.29 cents for the three months ended March 31, 2023[11]. - The gross profit for the Group was RMB 10,333,000, compared to RMB 5,295,000 in the same period of 2022, indicating a significant improvement[14]. - The loss before income tax improved to RMB 1,095,000 from RMB 7,065,000 in the same period of 2022[14]. - Total comprehensive loss for the period was RMB 2,064,000, compared to RMB 5,737,000 in the previous year, showing a reduction of approximately 64.1%[15]. - The Group recorded a consolidated turnover of approximately RMB 64,182,000 for the Quarter, representing an increase of approximately 5.32% compared to the corresponding period last year[35]. - The loss attributable to shareholders in the Quarter was approximately RMB 992,000, a decrease from a loss of approximately RMB 5,778,000 in the corresponding period of 2022[29]. - The Group achieved a gross profit of RMB 10,333,000 in the Quarter, significantly up from approximately RMB 5,295,000 in the corresponding period of 2022[36]. Expenses and Costs - Distribution costs decreased to RMB 835,000 from RMB 1,266,000 year-on-year, reflecting a reduction of approximately 34.1%[14]. - Administrative expenses were RMB 10,395,000, slightly down from RMB 10,574,000 in the previous year[14]. - The Group's finance costs decreased significantly to RMB 251,000 from RMB 830,000 year-on-year, a reduction of approximately 69.8%[14]. - The staff cost for the quarter was approximately RMB 5,238,000, slightly up from RMB 5,139,000 for the same period in 2022[57]. Equity and Shareholding - As of March 31, 2023, the total equity attributable to equity shareholders of the company was RMB 233,780,000, compared to RMB 244,011,000 at the beginning of the year[16]. - As of March 31, 2023, Mr. Wang Zhong Sheng holds a total of 295,153,739 shares, representing approximately 83.58% of the company's shareholdings[84]. - Mr. Wang Zhong Sheng is also a beneficial owner of 262,570,801 shares and holds convertible bonds convertible to 32,582,938 shares[92]. - As of March 31, 2023, Ms. Zhao Xin holds 297,418,551 shares, representing an interest of 84.22% through her spouse[98]. Acquisitions and Investments - The company plans to acquire an additional 20% equity interest in Huiyang New Energy for RMB 6,723,800, which will make it a wholly-owned subsidiary[72][74]. - The acquisition of Huiyang New Energy is classified as a discloseable transaction under GEM Listing Rules, with applicable percentage ratios exceeding 5% but less than 25%[76][80]. - The completion of the acquisition took place on April 19, 2023, following the approval of the Board and confirmation from independent non-executive Directors regarding the fairness of the transaction[78][80]. Production and Operations - The average daily production of the Group's LNG plants increased, contributing approximately RMB 51,765,000 to revenue in the Quarter[35]. - The production capacity of the Group's LNG plants remains at approximately 500,000 cubic meters per day, but the average daily production was only around 143,000 m³ due to insufficient raw gas supply[47]. - The daily gas output from the upstream business is insufficient to fully utilize the liquefaction plant's capacity, which has been a challenge for the Group[62]. - The company has initiated the development of a C-H synthesis natural gas project, with plans to achieve small-scale production by the end of 2021 and to build 10 units by 2024, each capable of producing 50,000 cubic meters of natural gas per day[63][65]. Governance and Compliance - The audit committee reviewed the unaudited consolidated results for the quarter and confirmed sufficient staffing for accounting and internal control[130]. - The company has complied with the Corporate Governance Code, except for the lack of a specific term for independent non-executive directors[134]. - The company does not currently have a chief executive officer, which deviates from the Corporate Governance Code[136]. - All directors have confirmed their compliance with the GEM Listing Rules regarding securities trading conduct, with no known violations during the period[142].

Business Operations - The Group is engaged in the manufacture and sales of liquefied coalbed gas, with operations primarily located in the Shanxi Qinshui Basin, which is known for its rich liquefied coalbed gas resources [19][20]. - Significant investments have been made in resource exploration and exploitation at coalbed methane blocks in Yangcheng, Shanxi, since July 2011, enhancing the utilization of the liquefied natural gas (LNG) plant [21]. - The commercial production of coalbed gas has transformed the Group into a vertically integrated natural gas company, strengthening its position in China's unconventional gas market [21]. - The Group's distribution network extends to various regions, including Shanxi Province, ensuring a broad market reach for its products [20]. - The focus on liquefaction production and sales of natural gas positions the Group favorably within the energy sector in China [19]. - The Group's commitment to new energy sector development reflects its strategic direction towards sustainable energy solutions [22]. Financial Performance - The Group recorded a consolidated turnover of approximately RMB 326,509,000 for the year ended December 31, 2022, representing an increase of approximately 51.78% compared to the previous year [53]. - The profit attributable to equity shareholders for the year ended December 31, 2022, was approximately RMB 127,293,000, a significant recovery from a loss of approximately RMB 2,236,000 in 2021 [54]. - Sales of liquefied coalbed gas increased from RMB 31,462,000 in 2021 to RMB 160,016,000 in 2022, driven by rising international commodity prices and the resumption of full operations [53]. - The Group has generated revenue, profit, and cash flow from its natural gas exploitation business, with expectations for further improvement as production well capabilities increase [27]. - The Group's net 1P (Proved) reserves as of December 31, 2022, were 108.9 BCF, a significant increase from 3.5 BCF in 2012 [60]. - The net 2P (Proved + Probable) reserves increased to 154.7 BCF as of December 31, 2022, compared to 27.7 BCF in 2012 [60]. - The Group's gain on the disposal of Guangxi Beiliu Gas Co., Ltd. business was approximately RMB 100,797,000 in 2022 [55]. - Other income increased from RMB 7,981,000 to RMB 11,352,000, primarily due to unconventional subsidies granted by the Central Finance Bureau [55]. Production Capacity and Technology - As of December 31, 2022, the Group has completed the groundwork and drilling of 229 Coalbed Methane (CBM) wells, with 164 of these being operational wells contributing to stable production [26]. - The average daily production capacity of the Group's LNG plants remained at approximately 500,000 cubic meters, with an average daily production of only around 150,000 m³ for the year 2022 [32]. - The Group plans to conduct an advanced demonstration of its new C-H to Synthesis of natural gas technology in 2023, with the intention to build 10 pieces of equipment in 2024, each capable of producing 50,000 cubic meters of natural gas per day [47]. - The Group aims to stabilize gas supply from suppliers and increase the utilization rate of LNG plants in 2023, which is expected to enhance income, profit, and cash flow contributions [32]. - The Group is committed to investing heavily in advancing CBM extraction technology and techniques to maintain its leading position in technological advancement [34]. - The upstream business is steadily improving, with daily gas output insufficient to fully utilize the liquefaction plant's capacity of 500,000 cubic meters [90]. Governance and Compliance - The Company was initially listed on the GEM of The Stock Exchange of Hong Kong Limited on August 12, 2003, and has continued to operate under the GEM Listing Rules [19]. - The Board consists of eight directors, including two executive directors and three non-executive directors, with three independent non-executive directors representing at least one-third of the Board [115]. - The Company has complied with GEM Listing Rules, ensuring that one independent non-executive director possesses appropriate professional qualifications or financial management expertise [115]. - The Company has established policies for business activities, internal controls, and administration to ensure effective governance [130]. - The Board reviews corporate governance policies and practices regularly to ensure compliance with legal and regulatory requirements [118]. - The Company recognizes the importance of high-quality corporate reporting to reinforce trust with stakeholders [190]. Environmental and Social Responsibility - The Group aims to provide high-quality clean energy while promoting the harmonious coexistence of man and nature, adhering to the principle of social responsibility [22]. - The Group emphasizes its commitment to environmental and social responsibility, ensuring compliance with relevant laws and regulations [40]. - The demand for natural gas is expected to maintain strong momentum due to increasing environmental concerns and the shift towards cleaner energy sources [94]. Future Plans - The Group plans to build 10 new gas production units by 2024, each capable of producing 50,000 cubic meters of natural gas per day [48]. - The second trial production unit is expected to be completed in 2023, with plans for advanced demonstration and expert evaluation of the new technology [48]. - The Group plans to accelerate the drilling program if adequate financing is secured in the future, focusing on upstream CBM exploration and extraction [78].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公佈全部或任何 部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 China CBM Group Company Limited 中 國 煤 層 氣 集 團 有 限 公 司 （於開曼群島註冊成立並於百慕達存續之有限公司） （股份代號：8270） 截至二零二二年十二月三十一日止年度之 全年業績公告 中國煤層氣集團有限公司（「本公司」，連同其附屬公司統稱「本集團」）董事（「董 事」）會（「董事會」）謹此宣佈本集團截至二零二二年十二月三十一日止年度的全 年業績。本公告列載本公司二零二二年年報全文，乃符合香港聯合交易所有限公 司GEM證券上市規則（「GEM上市規則」）中有關全年業績初步公告附載之相關資 料要求。 承董事會命 中國煤層氣集團有限公司 主席 王忠勝 香港，二零二三年三月三十一日 截至本公佈日期，執行董事為王忠勝先生及常建先生，非執行董事為段士川先生、 王琛先生及梁峰先生，以及獨立非執行董事為劉振邦先生、王之和先生及徐願堅 ...

Financial Performance - The Group's revenue for the nine months ended September 30, 2022, was approximately RMB 250,565,000, representing an increase of approximately 69% compared to the same period in the previous financial year[4] - The profit attributable to owners of the Company for the nine months ended September 30, 2022, was approximately RMB 101,166,000[4] - The profit per share for the Company was approximately RMB 4.87 cents for the nine months ended September 30, 2022[4] - The Group's revenue for the third quarter ended September 30, 2022, was RMB 91,989,000, compared to RMB 37,899,000 for the same quarter in 2021[8] - The gross profit for the nine months ended September 30, 2022, was RMB 32,437,000, compared to RMB 6,762,000 for the same period in 2021[8] - The profit before taxation for the nine months ended September 30, 2022, was RMB 101,917,000, compared to RMB 31,756,000 for the same period in 2021[10] - The profit for the period ended September 30, 2022, was RMB 114,203,000, a significant increase from RMB 40,004,000 in the same period of 2021, representing a growth of 185%[12] - The profit for the nine months ended September 30, 2022, was RMB 102,474,000, up from RMB 30,406,000 in the same period of 2021, reflecting a growth of 237%[12] - The total comprehensive income for the period was RMB 117,372,000, compared to RMB 38,715,000 in Q3 2021, marking an increase of 203%[12] - The total comprehensive income attributable to equity shareholders of the company for the period was RMB 114,862,000, compared to RMB 39,048,000 in the same period last year, an increase of 194%[12] Expenses and Costs - The Group's administrative and other operating expenses for the nine months ended September 30, 2022, were RMB 32,726,000, compared to RMB 27,898,000 for the same period in 2021[8] - The finance costs for the nine months ended September 30, 2022, were RMB 1,949,000, compared to RMB 3,444,000 for the same period in 2021[8] - Employee costs during the review period were approximately RMB 16,137,000, an increase from RMB 14,192,000 in the same period of the previous year[44] Dividends and Shareholder Information - The Board does not recommend the payment of any dividend for the nine months ended September 30, 2022[4] - The company did not recommend any dividend for the review period, consistent with the corresponding period in 2021[23] - The weighted average number of shares in issue for the quarter was 2,078,000,248 shares, compared to 1,661,233,372 shares in the same quarter of 2021[23] Production and Operations - The average daily production of the group's LNG plants increased, contributing approximately RMB 113,299,000 to revenue during the review period[25] - The production capacity of the Group's LNG plants remained at approximately 500,000 cubic meters per day, with an average daily production of around 144,000 cubic meters during the period[39] - The daily gas output from the upstream business was insufficient to fully utilize the liquefaction plant's capacity[47] - The sales revenue of the liquefaction business increased substantially due to a significant rise in international energy prices[39] Assets and Liabilities - The Group's net assets were approximately RMB 222,512,000, including cash and bank balances of approximately RMB 139,004,000 as of September 30, 2022[42] - The Group's gearing ratio was approximately 7.68%, indicating a low level of financial leverage[42] - The company did not have any significant investments, acquisitions, or disposals of subsidiaries during the review period[44] Acquisitions and Transactions - A major transaction involved the disposal of 100% equity interest in Guangxi Beiliu Gas Co., Ltd. for a cash consideration of RMB 80,000,000, completed on September 28, 2022[52] - The company conditionally agreed to acquire Global Billion Holdings Limited for a total consideration of HK$42,523,400 (approximately RMB38,500,000), to be satisfied by issuing consideration shares and convertible bonds[58] - Upon completion of the acquisition, Global Billion will become a direct wholly-owned subsidiary of the company, consolidating its financial information into the group's financial statements[61] Share Option Scheme - The company has proposed a new share option scheme following the expiration of the previous scheme, which had granted 32,119,074 options that lapsed without being exercised[54] - The total number of shares available for issue under the New Share Option Scheme was 207,800,024 ordinary shares, representing approximately 10% of the issued shares of the company[88] - The weighted average exercise price of the options outstanding as of September 30, 2022, was HK$0.056[86] Governance and Compliance - The audit committee held three meetings during the review period to review the unaudited consolidated results[95] - The company complied with the Corporate Governance Code provisions during the review period[95] - All independent non-executive Directors have confirmed their independence as per Rule 5.09 of the GEM Listing Rules[99] - The Company has adopted a code of conduct regarding securities dealings by Directors, with no reported non-compliance during the Review Period[99]

Financial Performance - The Group's revenue for the quarter ended June 30, 2022, was approximately RMB 97,635,000, representing an increase of approximately 83.68% compared to the corresponding period in the previous financial year[10]. - For the six months ended June 30, 2022, the Group's revenue was approximately RMB 158,576,000, reflecting an increase of approximately 43.63% compared to the same period last year[10]. - Revenue for the quarter ended June 30, 2022, was RMB 97,635,000, an increase from RMB 53,156,000 in the same quarter of 2021, representing an increase of 83.5%[14]. - The Group recorded a loss attributable to equity shareholders of approximately RMB 10,527,000 for the Interim Period[10]. - Loss per share for the Group was approximately RMB 0.51 cents for the Interim Period[10]. - The total comprehensive loss for the period was RMB 10,527,000, compared to a loss of RMB 8,543,000 in the previous year[24]. - Loss before taxation for the Interim Period was RMB 10,527,000, compared to a loss of RMB 7,967,000 in the same period last year, indicating a deterioration of approximately 32%[44]. - The basic loss per share for the Interim Period was RMB (10,527) compared to RMB (7,967) in the same period last year, reflecting a decline in performance[44]. Assets and Liabilities - Total assets as of June 30, 2022, were RMB 462,749,000, a decrease from RMB 467,940,000 as of December 31, 2021[18]. - Net current liabilities improved to RMB (146,840,000) from RMB (151,115,000) at the end of 2021[20]. - Total equity attributable to equity shareholders of the company was RMB 153,295,000 as of June 30, 2022, down from RMB 161,622,000 at the end of 2021[20]. - The Group's trade receivables amounted to RMB 49,157,000, a decrease from RMB 50,819,000 as of December 31, 2021, representing a decline of approximately 3.3%[52]. - The Group's total assets classified as held for sale were RMB 68,497,000 as of June 30, 2022, compared to RMB 71,220,000 as of December 31, 2021, indicating a decrease of about 3.8%[63]. - The Group's trade payables as of June 30, 2022, were RMB 215,315,000, an increase from RMB 203,797,000 as of December 31, 2021, reflecting an increase of approximately 5.4%[65]. - The Group's total liabilities associated with assets classified as held for sale were RMB 98,158,000 as of June 30, 2022, slightly decreasing from RMB 99,443,000 as of December 31, 2021[63]. Cash Flow - Cash inflow from operating activities for the six months ended June 30, 2022, was RMB 614,000, a decrease of 77.3% compared to RMB 2,703,000 in 2021[22]. - Cash inflow from investing activities was RMB 20,051,000, compared to an outflow of RMB 10,321,000 in the same period of 2021, indicating a significant turnaround[22]. - Cash outflow from financing activities was RMB 6,981,000, an increase from RMB 4,792,000 in 2021, reflecting higher financing costs[22]. - The net increase in cash and bank balances for the six months ended June 30, 2022, was RMB 13,684,000, compared to a decrease of RMB 12,410,000 in 2021[22]. - Cash and bank balances at June 30, 2022, were RMB 77,622,000, a substantial increase from RMB 13,470,000 at the same date in 2021[22]. Operational Highlights - The increase in revenue is mainly due to the rise in average daily production of the Group's LNG plants and an increase in gas prices, contributing approximately RMB 60,792,000 to revenue in the Interim Period[80]. - The average daily production increase in LNG plants was a significant factor in revenue growth during the Interim Period[80]. - The production capacity of the Group's LNG plants remained at approximately 500,000 cubic meters per day, with an average daily production of around 130,000 cubic meters during the Interim Period[88]. - The sales revenue of the liquefaction business increased substantially during the Interim Period due to a significant rise in energy prices[88]. - The daily gas output of the upstream business is insufficient to fully utilize the liquefaction plant's capacity of 500,000 cubic meters[94]. Shareholder Information - As of June 30, 2022, Mr. Wang Zhong Sheng holds a beneficial ownership of 1,353,566,412 shares, representing approximately 65.14% of the Company's total shares[108]. - Ms. Zhao Xin, spouse of Mr. Wang Zhong Sheng, is deemed to have an interest in 1,371,684,912 shares, which accounts for approximately 66.01% of the Company's shares[114]. - The Company had no other substantial shareholders or persons with discloseable interests as of June 30, 2022, apart from the disclosed Directors and chief executive[112]. Corporate Governance - The Group complied with the Corporate Governance Code during the Interim Period, except as disclosed[196]. - All independent non-executive Directors have confirmed their independence according to GEM Listing Rules[200]. - The Company does not have a chief executive officer, which deviates from HKSE Code provision A.2.1[198]. - The Board believes that the current structure will not impair the balance of power and authority between the Board and management[198]. Future Plans and Developments - The Group aims to stabilize gas supply from suppliers and increase the utilization rate of LNG plants to enhance revenue and cash flow contributions[88]. - The Group plans to build 10 pieces of equipment in the second half of 2022, each capable of producing 50,000 cubic meters of natural gas per day[94]. - The second trial equipment is expected to be completed by November 2022, with trial runs commencing in December 2022[94]. - The demand for natural gas is anticipated to grow strongly due to increasing environmental concerns and the elimination of highly-polluted energy sources[97].

Financial Performance - The Group's turnover for the three months ended March 31, 2022, was approximately RMB 60,941,000, representing an increase of 6.45% compared to the same period in the previous financial year[4]. - The Group reported a loss of approximately RMB 5,778,000 for the three months ended March 31, 2022[4]. - Basic loss per share attributable to equity shareholders of the Company was approximately RMB 0.28 cents for the three months ended March 31, 2022[4]. - The Board does not recommend the payment of any dividend for the three months ended March 31, 2022[4]. - Gross profit for the period was RMB 5,295,000, with a gross profit margin of approximately 8.69%[8]. - The Group's total comprehensive expense for the period was RMB 5,737,000, compared to RMB 5,309,000 for the same period in 2021[10]. - The loss before income tax for the period was RMB 7,065,000, compared to RMB 4,940,000 for the same period in 2021[8]. - The Group's administrative expenses increased to RMB 10,574,000 for the period, up from RMB 7,478,000 in the previous year[8]. - For the first quarter of 2022, the total turnover was RMB 60,941,000, an increase from RMB 57,247,000 in the same period of 2021, representing a growth of approximately 4.7%[24]. - The Group recorded a consolidated turnover of approximately RMB60,941,000 for the Quarter, representing an increase of approximately 6.45% compared with the corresponding period of last year[29]. - Loss attributable to equity shareholders of the Company for the Quarter was approximately RMB5,778,000, compared with a loss of approximately RMB4,844,000 for the previous period[29]. Revenue Breakdown - Sales of liquefied coalbed gas amounted to RMB 16,970,000, up from RMB 13,830,000 in the previous year, indicating a growth of about 22.5%[24]. - Sales of piped natural gas reached RMB 43,971,000, slightly increasing from RMB 43,417,000, which is a growth of approximately 1.3%[24]. - Other revenue from interest income on bank deposits was RMB 14,000, a decrease from RMB 17,000 in the previous year[24]. - Other net income was RMB 449,000, down from RMB 1,211,000 in the same period last year, reflecting a decline of approximately 62.9%[24]. Assets and Liabilities - The Group's net assets were approximately RMB 108,932,000, including cash and bank balances of approximately RMB 68,125,000, with a gearing ratio of approximately 18.9%[40]. - There was no provision for Hong Kong profits tax as the Group did not derive any income subject to it during the Quarter[29]. - The tax rate for the PRC subsidiaries is 25% from 1 January 2008 onwards, with no significant unprovided deferred taxation for the Quarter[29]. Operational Highlights - As of March 31, 2022, the Group completed the groundwork and drilling of 229 CBM wells, with 164 wells in production, maintaining stable production since they commenced operations[38]. - The production capacity of the Group's LNG plants remained at approximately 500,000 cubic meters per day, but the average daily production was only around 80,000 m³ due to insufficient raw gas supply[38]. - The upstream business is improving steadily, with increasing well construction and gas output[48]. - The company's upstream business is steadily improving, with daily gas output not fully meeting the liquefaction plant's capacity of 500,000 cubic meters[49]. Research and Development - The Group is conducting R&D on C-H to Synthesis of natural gas production technology, with small-scale production expected to start before the end of 2021[48]. - The second experimental equipment for the C-H to Synthesis project is expected to be completed in November 2022, with a trial run anticipated in December 2022[48]. - The Group intends to build 10 pieces of equipment, each capable of producing 50,000 cubic meters of natural gas daily[48]. - The successful development of the C-H technology will allow the company to supply natural gas directly to city gas pipeline networks, creating new profit growth opportunities[51]. Corporate Governance - The audit committee held one meeting during the quarter, reviewing the unaudited consolidated results and ensuring compliance with financial reporting standards[96]. - The company has complied with the Corporate Governance Code, except for the lack of specific terms for independent non-executive directors, which allows flexibility in appointments[98]. - The roles of chairman and chief executive are not separated, as the company does not have a designated chief executive, which deviates from the governance code[98]. - The Company is considering the feasibility of appointing a separate chief executive to comply with code provision A.2.1 of the Code[100]. - The Company has adopted a code of conduct regarding securities dealings by Directors, with no reported non-compliance during the Review Period[100]. - All independent non-executive Directors have confirmed their independence as per Rule 5.09 of the GEM Listing Rules[100]. Share Options and Equity - The company proposed a new share option scheme after the previous one expired in May 2021, subject to shareholder approval[57]. - The new share option scheme approved on March 28, 2022, is valid for 10 years and will expire on March 27, 2032, with 15,000,000 options granted to financial advisors[91]. - The previous share option scheme expired on May 18, 2021, with 32,119,074 options granted, all of which have lapsed[85]. - As of January 1, 2022, there were no outstanding options, and no options were granted during the period, with the status remaining unchanged as of March 31, 2022[94]. - The company did not issue any debentures during the quarter[78]. - The company recorded no other interests or short positions in shares or debentures as required under the Securities and Futures Ordinance[78].

Company Overview - China CBM Group Company Limited is primarily engaged in the manufacture and sales of liquefied coalbed gas, with operations located in the PRC[20] - The Group's production of liquefied coalbed gas is concentrated in the Shanxi Qinshui Basin, known for its rich resources[21] - The company was initially listed on the GEM of The Stock Exchange of Hong Kong Limited on August 12, 2003[20] - The company was incorporated in the Cayman Islands in July 2002 and continued in Bermuda[20] - The Group's headquarters is located in Beijing, China[21] - The Group's distribution network extends to various regions, including Shanxi Province[21] Business Operations - The Group's business activities include the exploitation, liquefaction production, and sales of natural gas[21] - The Group has established a complete business process covering CBM extraction, liquefaction, pipelines, transportation, distribution, and technical services[29] - The Group aims to stabilize gas supply from suppliers and increase the utilization rate of LNG plants in 2022, which is expected to enhance income, profit, and cash flow contributions[34] - The Group has developed a diversified customer base, including industrial, commercial, and residential customers, optimizing the sales mix towards a more balanced approach[35] - The average daily production of the Group's LNG plants was only around 50,000 cubic meters for the year, despite a production capacity of approximately 500,000 cubic meters per day[34] Financial Performance - The Group recorded a consolidated turnover of approximately RMB215,125,000 for the year ended 31 December 2021, representing an increase of approximately 19.96% compared to the previous year[55] - The loss attributable to equity shareholders for the year ended 31 December 2021 was approximately RMB2,236,000, a significant improvement from a loss of approximately RMB40,627,000 in 2020[55] - The gross loss recorded in 2021 was approximately RMB491,000, primarily due to increased costs in the liquefied natural gas business and a shortage in raw gas supply[55] - The gain from selling subsidiaries amounted to approximately RMB50,785,000 in 2021[55] - An impairment loss of property, plant, and equipment was recognized at approximately RMB26,376,000 during the year[55] Reserves and Production - The total original gas in place on all blocks was 193.6 BCF as of 31 December 2021, down from 272.4 BCF in March 2012[60] - The net 1P (Proved) reserves were 108.9 BCF as of 31 December 2021, significantly increased from 3.5 BCF in March 2012[60] - The net 2P (Proved + Probable) reserves were 154.7 BCF as of 31 December 2021, up from 27.7 BCF in March 2012[60] - As of December 31, 2021, the Group completed groundwork and drilling of 229 coalbed methane (CBM) wells, with 164 operating wells contributing to stable production[29] - The production capacity of the Group's LNG plants remained at approximately 500,000 cubic meters per day, but the average daily production was only around 50,000 m³ due to insufficient raw gas supply[67] Technology and Innovation - The Group is committed to investing heavily in developing and advancing CBM extraction technology and techniques to maintain its leading position in technological advancement[36] - The company has initiated R&D on C-H to Synthesis of natural gas technology, with small-scale production expected to start before the end of 2021[51] - The first experimental equipment underwent trial runs in June 2021, with improvements proposed due to supply chain disruptions caused by COVID-19[51] - The company plans to construct 10 units of new equipment, each capable of producing 50,000 cubic meters of natural gas daily[51] - The successful development of C-H to Synthesis technology will enable stable gas supply for the LNG plant, enhancing commercial value[86] Governance and Compliance - The Group operates under the GEM Listing Rules, which cater to small and mid-sized companies[5] - The Company has complied with GEM Listing Rules regarding the composition of independent non-executive Directors, with at least one-third of the Board being independent[104] - The Board comprises a total of eight Directors, including two executive Directors and three independent non-executive Directors, ensuring compliance with GEM Listing Rules[104] - The Company has implemented corporate governance functions, including monitoring compliance with legal and regulatory requirements[106] - The Board held 16 meetings in 2021, indicating active governance and oversight[117] Social Responsibility and Market Potential - The Group emphasizes social responsibility while exploring and developing in the new energy sector, aiming to provide high-quality clean energy[23] - Demand for natural gas in China is increasing, with the government likely to encourage unconventional gas production to meet this demand[45] - China's natural gas demand is continuously increasing, indicating significant market potential for clean energy development[48] - The company is positioned to benefit from government policies encouraging unconventional gas production, particularly coalbed methane[48] Risk Management - The company emphasizes the potential investment risks associated with small and mid-sized companies listed on GEM[2] - The Group aims to reduce exposure to external risks by consolidating its raw gas supply through self-produced well gas and new technology[51] - The Group's gearing ratio was approximately 19.49% as of December 31, 2021, a significant decrease from 49.65% in 2020[69] - The Company has established internal control policies to manage risks in pursuit of strategic objectives[111] Management and Personnel - The Group employs a total of 336 staff, including 30 R&D personnel and 182 project and customer service staff[77] - The total staff cost recognized in profit or loss for the year was approximately RMB22,224,000, an increase from approximately RMB18,027,000 in 2020[77] - The remuneration packages for key management (excluding Directors) fell within the range of HK$0 to HK$1,000,000, equivalent to approximately RMB830,000 in 2021, compared to RMB890,000 in 2020[138] Stakeholder Communication - The Company has maintained ongoing communication with stakeholders, publishing annual, interim, and quarterly reports to provide detailed information about the Group[183] - The Company aims to present a balanced and clear assessment of its performance, position, and prospects in all corporate communications[175] - The Company recognizes the importance of high-quality corporate reporting in reinforcing trust with stakeholders[175]

中國煤層氣集團有限公司 China CBM Group Company Limited China CBM Group Company Limited 中國煤層氣集團有限公司 (於開曼群島註冊成立並在百慕達繼續營業之有限公司) (Incorporated in the Cayman Islands and continued in Bermuda with limited liability) (於開曼群島註冊成立並在百慕達繼續營業之有限公司) 2021 Third Quarterly Report 第三季度業績報告 | --- | --- | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...