Media Resources

16 Mar 2023

Switching from Equity Cooperation to in-depth Business Partnership Towngas Smart Energy announces exit from Shanghai Gas

(16 March 2023) Towngas Smart Energy Company Limited (“Towngas Smart Energy; stock code: 1083.HK) reached an agreement with Shenergy Group Company Limited (“Shenergy Group”) and Shanghai Gas Company Limited (“Shanghai Gas”), whereby Towngas Smart Energy will exit its 25% equity interest in Shanghai Gas.
 
In 2022, Shanghai has gone through the COVID-19 pandemic. Shanghai Gas, as an important utility service provider of Shanghai, has made significant efforts and contributions in securing the supply of natural gas during and after the pandemic. Currently, Shanghai is actively deploying comprehensive economic recovery measures to “increase confidence, expand demand, stabilise growth and spur development”, while Shanghai Gas also needs to continue actively performing its social responsibilities of, among others, securing gas supply and stabilising energy costs.
 
The Hong Kong and China Gas Company Limited and Towngas Smart Energy, as utility service operators and partners of Shanghai Gas, witnessed and recognise the importance of such task and the enormity of the responsibilities. In view of the above reasons and taking into account other factors, it is agreed that given the current environment of recovery from the pandemic, the exit of Towngas Smart Energy from the equity interest in Shanghai Gas will give Shanghai Gas more room and flexibility for its operations at this critical and important moment, and to be able to make due contributions to the economic recovery and development of Shanghai.
 
Going forward, Towngas Smart Energy will continue its in-depth strategic partnership with Shenergy Group and Shanghai Gas. The parties will establish deep and solid strategic relationships in the fields of natural gas resources and supply chain, renewable energy business, extended services, energy and low-carbon technology, among others.

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For media enquiries, please contact:        
Mr Bien Wong
Corporate Affairs, ESG and Mainland Business Strategy Manager
Tel.: 2963 3135 / 6155 2480
Fax: 2516 7368
Email: bien.wong@towngas.com