Industry background: Natural gas is gradually increasing in the global energy consumption pattern, and the natural gas industry in China is in a period of rapid development, with an average annual consumption growth rate of 1 14.7% from 08 to 65438.
During the Twelfth Five-Year Plan period, the average annual growth rate of natural gas consumption in China is expected to be above 20%. Xinjiang is rich in natural gas resources. With the growth of regional economy, the improvement of urbanization rate and the construction of natural gas infrastructure, the demand for natural gas is huge and it is about to enter a period of rapid development.
Competitive advantage: the company is close to the gas source of west-to-east gas transmission, and has built a 148 km long-distance pipeline, which ensures the stability and supply of gas source and reduces operating costs. The company has 30 years of franchise rights in various regions of southern Xinjiang, and its competitive advantage in this region is outstanding. In the past three years, the company's gas sales increased by 87%, the gross profit margin remained at 40%-50%, and the return on net assets was at 30%-40%, which was much higher than that of A-share listed companies in the same industry.