Research Report On China Natural Gas Industry，2006

　　CHAPTER 10 ANALYZING DEVELOPMENT STRATEGIES IN CHINA’S NATURAL GAS INDUSTRY

　　SECTION I DEVELOPMENT STRATEGIES IN NATURAL GAS INDUSTRY

　　I Strategic Objective

　　II Strategic Direction

　　III Strategic Principles

　　IV The Keystone of the Strategies

　　SECTION II FACTORS INFLUENCING THE DEVELOPMENT OF NATURAL GAS INDUSTRY

　　I Coordinative development of the Natural Gas Industry’s Upstream， Middle-stream and Downstream Business

　　II Natural Gas Market System Is not Perfect

　　III Unreasonable Locations of Natural Gas Fields and Its Consumption Market

　　IV Management System and Regulations in Natural Gas Industry Are not complete

　　SECTION III DEVELOPMENT TACTICS IN NATURAL GAS INDUSTRY

　　I Build New Values about Resources

　　II Construct Price Formation Mechanism

　　III Facilitate the construction and perfection of Entities in Natural Gas Industry

　　IV Enhance Co-ordination among Upstream， Middle-stream and downstream of the industry

　　V Invest More in Natural Gas Industry

　　VI Establish Complete Supervision Mechanism and Legislative System

　　CHAPTER 11 DEVELOPMENT TREND OF CHINA’S NATURAL GAS INDUSTRY

　　SECTION I DEVELOPMENT TREND OF CHINA’S NATURAL GAS INDUSTRY

　　I General Supply and Demand in China’s Energy Market in

　　II The Bright Prospect of China’s Available Natural Gas Reserves

　　III Natural Gas Takes a small proportion in China’s Energy Consumption Structure

　　IV Improving Natural Gas Consumption Structure

　　V It Is Guaranteed to Accelerate the Development of China’s Natural Gas Industry

　　SECTION II RELATIONSHIPS OF NATURAL GAS WITH OTHER ENERGY SOURCES

　　CHAPTER 12 INVESTMENT OPPORTUNITIES FOR CHINA NATURAL GAS INDUSTRY

　　SECTION I ECONOMIC CHARACTERISTICS OF NATURAL GAS INDUSTRY

　　I Scale Economy

　　II Apparent Integrative Operation

　　III Natural Monopoly and Competitive Business Intercrossed

　　IV Apparent Effects of Technology Advancement

　　V High Requirements for Safety

　　SECTION II INVESTMENT ENVIRONMENT OF THE NATURAL GAS INDUSTRY

　　I Analyzing the Investment Conditions of the Petroleum&； Petrifaction Industry

　　II Investment Prospect of the Natural Gas Industry

　　III The Application of Natural Gas is in the Introduction Stage

　　IV Lagging law Enacting Has Blocked the Industry Development

　　SECTION III ANALYZING THE INVESTMENT SCOPES OF NATURAL GAS

　　III Urban Natural Gas Pipeline Net

　　IV Electricity Generating through Natural Gas

　　SECTION IV ANALYZING THE INVESTMENT OPPORTUNITIES OF THE NATURAL GAS INDUSTRY IN CHINA

　　I Whole-Scope Opening outwards of China Natural Gas Industry

　　II Private Companies’ Craze to Invest in Natural Gas

　　III Oil Price has Boosted the Popularity of Natural Gas Investment

　　CHAPTER 13 INVESTMENT RISKS OF CHINA NATURAL GAS INDUSTRY

　　SECTION I ANALYZING THE INVESTMENT RISK FACTORS OF THE NATURAL GAS INDUSTRY

　　I Risk Factors of Price Variations

　　II Risk Factors of Seasonal Variations

　　III Risk Factors of Special Assets

　　IV Risk Factors of Competitive Substitutes

　　V Structural Risk Factors

　　SECTION II ANALYZING THE PREVENTION MEASURES OF MARKET RISKS

　　I Downstream Markets are Encouraged by Policies

　　II Harmonious Advance of the Whole Industry Chain

　　III Focusing on Developing Large Users

　　APPENDIX I ANALYZING AND COMMENTING ON THE NATURAL GAS PRICE ADJUSTMENT ON DECEMBER 26 IN 2005 BY THE NATIONAL DEVELOPMENT&； REFORM COMMITTEE

　　I Natural Gas Prices have been Increased by about 10%； the Pricing Tends to be Market Oriented

　　II The Natural Gas Price Adjustment is Beneficial to Oil Companies

　　III The Natural Gas Price Adjustment has Unclosed the Curtain of Price Reforms for the Resource Products； the Pricing System Reform of the Finished Oil is Doomed to Happen

　　Table Of Contents

　　TABLE 1 NATURAL GAS OUTPUT IN MAJOR COUNTRIES FROM 2001 TO

　　TABLE 2 THE OUTPUT GROWTH CHART OF NATURAL GAS IN CHINA

　　TABLE 3 AN ANALYSIS TABLE OF NATURAL GAS OUTPUT CONCENTRATION IN CHINA FROM 2003 TO

　　TABLE 4 AN ANALYSIS TABLE OF NATURAL GAS OUTPUT CONCENTRATION IN CHINA IN

　　TABLE 5 AN ANALYSIS TABLE OF NATURAL GAS OUTPUT CONCENTRATION IN CHINA IN

　　TABLE 6 AN ANALYSIS TABLE OF NATURAL GAS OUTPUT CONCENTRATION IN CHINA IN THE PERIOD FROM JANUARY TO SEPTEMBER OF THE YEAR OF

　　TABLE 7 THE LIST OF NATURAL GAS OUTPUT IN EVERY PROVINCE OF CHINA FROM 2003 TO

　　TABLE 8 THE PROPORTION CHART OF NATURAL GAS OUTPUT IN EVERY PROVINCE OF CHINA IN

　　TABLE 9 THE PROPORTION CHART OF NATURAL GAS OUTPUT IN EVERY PROVINCE OF CHINA IN

　　TABLE 10 THE PROPORTION CHART OF NATURAL GAS OUTPUT IN EVERY PROVINCE OF CHINA DURING THE PERIOD FROM JANUARY TO SEPTEMBER OF THE YEAR OF

　　TABLE 11 THE OUTPUT OF THE TWO LARGEST NATURAL GAS CORPORATIONS FROM 2003 TO

　　TABLE 12 THE LIST OF TOP TEN ENTERPRISES WITH LARGEST NATURAL GAS OUTPUT FROM 2003 TO

　　TABLE 13 COMPARISON AMONG INVESTMENT RATIOS AND ENERGY CONSUMPTION RATIOS OF AMMONIA-SYNTHESIZING EQUIPMENTS USING DIFFERENT MATERIALS

　　TABLE14 THE UTILIZATION CONDITION OF FUEL GAS IN URBAN AREAS FROM 1998 TO

　　TABLE 15 DIFFUSION RATE OF FUEL APPLICATION IN URBAN AREA OF CHINA FROM 2002 TO

　　TABLE 16 COMPARING WASTES PRODUCED BY NATURAL GAS GENERATION PLANT AND COAL GENERATION PLANT

　　TABLE 17 COMPARISONS BETWEEN COST OF ELECTRICITY GENERATED WITH NATURAL GAS AND COST OF ELECTRICITY GENERATED WITH COAL

　　TABLE 18 OPERATION COST COMPARISON BETWEEN A PETROL AUTOMOBILE AND A NATURAL GAS ONE

　　TABLE 19 PREDICTION OF DEMAND FOR OIL AND NATURAL GAS IN CHINA IN

　　TABLE 20 PREDICTION OF DEMAND FOR NATURAL GAS IN

　　TABLE 21 COST ALLOCATIONS IN NATURAL GAS INDUSTRY CHAIN

　　TABLE 22 THE DISTRIBUTION AND QUANTITY OF COMPRESSED NATURAL GAS （CNG） AUTOMOBILES AND GAS FILLING STATION IN THE WORLD

　　TABLE 23 PREDICTION TO THE LNG DEMAND OF DIFFERENT COUNTRIES AND REGIONS

　　TABLE 24 CHANGES OF NATURAL GAS RESERVES AND OUTPUT IN ASIA-PACIFIC REGION FROM 2000 TO

　　TABLE 25 THE REAL PRODUCTION CAPACITY AND ITS PREDICTION IN MAJOR LNG PRODUCING COUNTRIES IN ASIA-PACIFIC REGION

　　TABLE 26 MAJOR LNG EXPORTING COUNTRIES IN ASIA-PACIFIC AREA IN

　　TABLE 27 MAJOR LNG IMPORTING COUNTRIES OR REGIONS IN ASIA-PACIFIC AREA IN

　　TABLE 28 COMPARISONS ABOUT LNG IMPORT PRICE IN JAPAN AND EUROPEAN UNION FROM 1985 TO

　　TABLE 29 FUTURE DEVELOPMENT OF CHINA’S LNG PROJECTS IN A FEW YEARS

　　TABLE 30 OUTPUT GROWTH CHART OF NATURAL GAS IN SICHUAN PROVINCE FROM 2003 TO

　　TABLE 31 NATURAL GAS OUTPUT OF ENTERPRISES IN SICHUAN IN THE PERIOD FROM JANUARY TO SEPTEMBER，

　　TABLE 32 GROWTH CHART OF NATURAL GAS OUTPUT IN SINKIANG FROM 2003 TO

　　TABLE 33 A LIST OF SINKIANG NATURAL GAS ENTERPRISES’ OUTPUT FROM JANUARY TO SEPTEMBER

　　TABLE 34 GROWTH CHART OF NATURAL GAS OUTPUT IN SHANXI PROVINCE FROM 2003 TO

　　TABLE 35 A LIST OF SHANXI NATURAL GAS ENTERPRISES’ OUTPUT FROM JANUARY TO SEPTEMBER

　　TABLE 36 NATURAL GAS SALES IN BEIJING FROM 1997 TO

　　TABLE 37 GROWTH CHART OF NATURAL GAS OUTPUT IN TIANJIN FROM 2003 TO

　　TABLE 38 A LIST OF TIANJIN NATURAL GAS ENTERPRISES’ OUTPUT IN

　　TABLE 39 CONSUMPTION OF GAS DELIVERED BY PIPELINE IN NORTHEAST OF CHINA IN

　　TABLE 40 NATURAL GAS OUTPUT GROWTH IN HEILONGJIANG PROVINCE FROM 2003 TO

　　TABLE 41 NATURAL GAS OUTPUT OF DAQING OIL FIELD IN HEILONGJIANG PROVINCE IN

　　TABLE 42 NATURAL GAS OUTPUT GROWTH IN LIAONING PROVINCE FROM 2003 TO

　　TABLE 43 NATURAL GAS OUTPUTS OF ENTERPRISES IN LIAONING PROVINCE IN

　　TABLE 44 NATURAL GAS OUTPUT GROWTH IN JILIN PROVINCE FROM 2003 TO

　　TABLE 45 NATURAL GAS OUTPUTS OF ENTERPRISES IN JILIN PROVINCE IN

　　TABLE 46 NATURAL GAS PIPELINES IN PROVINCES OR MAJOR CITIES IN NORTHEAST OF CHINA

　　TABLE 47 EACH INDUSTRY’S DEMAND FOR NATURAL GAS IN IN NORTHEAST OF CHINA

　　TABLE 48 OUTPUT GROWTH CHART OF NATURAL GAS IN SHANGHAI FROM 2003 TO

　　TABLE 49 OUTPUT CHART OF SHANGHAI PETROLEUM CORP.， LTD FROM 2003 TO

　　TABLE 50 BUSINESS PROGRESSES OF INTERNATIONAL PETROLEUM AND CHEMICAL CORPORATIONS IN CHINA

　　TABLE 51 DOMESTIC EXPLORATIONS AND OUTPUT OF CHINA NATIONAL PETROLEUM CORPORATION FROM 2001 TO

　　TABLE 52 GROWTH CHART FOR SOUTHWEST OIL &； GAS FIELD SUBSIDIARY NATURAL GAS OUTPUT FROM 2003 TO

　　TABLE 53 INCOME STATEMENT OF SOUTHWEST OIL &； GAS FIELD SUBSIDIARY NATURAL GAS OUTPUT FROM 2003 TO

　　TABLE 54 PROFIT MARGIN GROWTH CHART OF SOUTHWEST OIL &； GAS FIELD SUBSIDIARY NATURAL GAS OUTPUT FROM 2003 TO

　　TABLE 55 THE NATURAL GAS OUTPUT INCREASING CHART OF CHANGQING OIL FIELD COMPANY 2003—

　　TABLE 56 THE INCOME AND PROFIT TABLE OF CHANGQING OIL FIELD 2003—

　　TABLE 57 THE PROFIT MARGIN INCREASING CHART OF CHANGQING OIL FIELD 2003—

　　TABLE 58 THE OUTPUT INCREASING CHART OF NATURAL GAS IN TALIMU OIL FIELD 2003—

　　TABLE 59 THE INCOME AND PROFIT TABLE OF TALIMU OIL FIELD 2003—

　　TABLE 60 THE PROFIT MARGIN INCREASING CHART OF TARIM OIL FIELD COMPANY 2003—

　　TABLE 61 THE NATURAL GAS OUTPUT INCREASING CHART OF SINKIANG OIL FIELD COMPANY 2003—

　　TABLE 62 THE INCOME AND PROFIT TABLE OF SINKIANG OIL FIELD 2003—

　　TABLE 63 THE PROFIT MARGIN INCREASING CHART OF SINKIANG OIL FIELD 2003—

　　TABLE 64 EXPLORATIONS AND EXPLOITATION OF CHINA PETROLEUM &； CHEMICAL CORPORATION FROM 2002 TO

　　TABLE 65 NATURAL GAS OUTPUT CHART OF SINO-PEC ZHONGYUAN OIL &； GAS HIGH-TECH CORP.， LTD FROM 2003 TO

　　TABLE 66 INCOME STATEMENT OF SINO-PEC ZHONGYUAN OIL &； GAS HIGH-TECH CORP.， LTD FROM 2003 TO

　　TABLE 67 PROFIT MARGIN GROWTH CHART OF SINO-PEC ZHONGYUAN OIL &； GAS HIGH-TECH CORP.， LTD FROM 2003 TO

　　TABLE 68 THE NATURAL GAS OUTPUT INCREASING CHART OF SHENGLI OIL FIELD 2003—

　　TABLE 69 THE INCOME AND PROFIT TABLE OF SHENGLI OIL FIELD 2003—

　　TABLE 70 THE PROFIT MARGIN INCREASING CHART OF SHENGLI OIL FIELD 2003—

　　TABLE 71 THE NATURAL GAS OUTPUT INCREASING CHART OF NORTHWEST FILIALE OF SINO-PEC 2003—

　　TABLE 72 THE INCOME AND PROFIT TABLE OF NORTHWEST FILIALE OF SINO-PEC 2003—

　　TABLE 73 THE PROFIT MARGIN INCREASING CHART OF NORTHWEST FILIALE OF SINO-PEC 2003—

　　TABLE 74 THE NATURAL GAS OUTPUT INCREASING CHART OF HENAN PETROLEUM PROSPECTING BUREAU OF SINO-PEC 2003—

　　TABLE 75 THE INCOME AND PROFIT TABLE OF HENAN PETROLEUM PROSPECTING BUREAU OF SINO-PEC 2003—

　　TABLE 76 THE PROFIT MARGIN INCREASING CHART OF HENAN PETROLEUM PROSPECTING BUREAU OF SINO-PEC 2003—

　　TABLE 77 CNOOC’S PRODUCTION INFORMATION FROM 2001 TO

　　TABLE 78 REVENUE AND EXPENSES LIST OF CNOOC FROM 2001 TO

　　TABLE 79 NATURAL GAS OUTPUT CHART OF ZHANJIANG BRANCH OF CHINA NATIONAL OFFSHORE OIL CORPORATION

　　TABLE 80 INCOME STATEMENT OF ZHANJIANG BRANCH OF CHINA NATIONAL OFFSHORE OIL CORPORATION

　　TABLE 81 PROFIT MARGIN GROWTH RATE OF ZHANJIANG BRANCH OF CHINA NATIONAL OFFSHORE OIL CORPORATION

　　TABLE 82 THE NATURAL GAS OUTPUT INCREASING CHART OF TIANJIN FILIALE OF CHINA NATIONAL OFFSHORE OIL CORPORATION （CNOOC） 2003—

　　TABLE 83 THE INCOME AND PROFIT TABLE OF TIANJIN FILIALE OF CHINA NATIONAL OFFSHORE OIL CORPORATION （CNOOC） 2003—

　　TABLE 84 THE PROFIT MARGIN INCREASING CHART OF TIANJIN FILIALE OF CHINA NATIONAL OFFSHORE OIL CORPORATION （CNOOC） 2003—

　　TABLE 85 NATURAL GAS OUTPUT GROWTH CHART OF SHANGHAI PETROLEUM &； NATURAL GAS CORPORATION FROM 2003 TO

　　TABLE 86 INCOME STATEMENT OF SHANGHAI PETROLEUM &； NATURAL GAS CORPORATION FROM 2003 TO

　　TABLE 87 NATURAL GAS OUTPUT OF CHONGQING DINGFA INDUSTRIAL CORPORATION

　　TABLE 88 PROFIT GROWTH OF CHONGQING DINGFA INDUSTRIAL CORPORATION FROM 2003 TO

　　TABLE 89 PROFIT MARGIN CHART OF CHONGQING DINGFA INDUSTRIAL CORPORATION FROM 2003 TO

　　TABLE 90 NATURAL GAS CONSUMPTION STRUCTURE IN CHINA （%）

　　TABLE 91 COAL PRODUCTION GROWTH OF CHINA IN 1998-

　　TABLE 92 GROWTH DIAGRAM OF THE OIL PRODUCTION AND CONSUMPTION IN 2000-

　　TABLE93 NATURAL GAS PRODUCTION AND REAL PRICES OF THE THREE LARGE OIL COMPANIES

　　TABLE 94 EFFECTS ON THE THREE LARGE OIL COMPANIES OF THIS NATURAL GAS PRICE ADJUSTMENT IN 2006， ACCORDING TO THE SALES IN 2006 AND THE AVERAGE INCREASING OF 0.1 YUAN PER A CUBIC METER