Zhongcheng Energy Holdings Co., Ltd. is a leading automotive natural gas station operator in Jilin Province, China. According to the F&S report, in terms of compressed natural gas sales in 2016, we ranked second in the compressed natural gas station market in Jilin Province, with a market share of 6.2%. The Group's business history can be traced back to 1997, when it was Changchun Yitonghe Petroleum Distribution Co., Ltd., which was engaged in natural gas and petroleum business. In 2007, we established our wholly-owned subsidiary Longjing Zhongcheng to engage in gas station business. In view of the growing maturity of the compressed natural gas filling market in Jilin Province, the Yitong River in Changchun began planning to build a mixed fuel station, sell gasoline and compressed natural gas, and seize the opportunity to acquire companies engaged in the compressed natural gas station business to further expand the compressed natural gas station network. Today, the Group's gas stations are spread all over northeast China. The main operating subsidiaries are Changchun CNPC, Jilin Jieneng, Wuchang Gas, Hengtai Energy, Jilin Dongkun Gas, Jixi Zhongcheng, Longjing Zhongcheng, Meihekou Yujia Petrochemical, Yanbian Zhongcheng, and Yanbian Xinyuan Natural Gas. Currently, the Group operates 14 self-operated gas stations, 6 joint venture gas stations, and 5 gas stations commissioned by the Yitong River. We mainly sell compressed natural gas at gas stations to end customers, such as private car owners and drivers of public transport vehicles such as buses, taxis, and long-distance transport trucks.
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