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Event Recap - Energy & Resources Roundtable with Mr Glenn Corrie, CEO and Managing Director, Sino Gas & Energy Holdings Limited

03 February 2017

China-based, Mr Glenn Corrie, CEO and Managing Director of Sino Gas & Energy Holdings Limited, visited the ACBC offices on 3 February to speak at a roundtable for our Energy & Resources Working Group. Glenn is also on the Board of AustCham Beijing and has a wealth of experience in the international energy industry and private equity sector. Accompanying Glenn was Mr Ian Weatherdon, CFO for Sino Gas & Energy.

Glenn provided detailed insight into the company’s commercial success story as an Australian energy company investing into China’s growing gas market.

Sino Gas & Energy is one of the largest energy investors in China, boasting a world scale resource base, strong Chinese partner relationships and supportive government policy. The company prides itself on selling gas at a relatively low cost and at a very high margin into the world’s largest and fastest growing energy market.

Key accomplishments for the company in 2016 came in the technical, operational, regulatory, commercial and financial areas, notably a 23 per cent increase to their reserves base and emerging as the fourth best performing ENP stock on the ASX, outperforming the ASX energy index over the past 12 months.

Glenn emphasised the company’s low cost advantage arising from the fact that Sino Gas & Energy is based in China and produces directly for China. This allows the company to enjoy minimal production costs given their proximity and access to pipelines and infrastructure. Their advantage is further consolidated as demand for gas in China is currently outstripping domestic supply. Other low cost drivers include shallow wells, efficiencies of scale and a well-developed service sector.

Another advantage for the company is its ready access to key demand centres along the east cost of China. The Ordos Basin is also the highest producing basin in China, with gas output equivalent to that of Australia’s total output on any given day.

Glenn concluded by speaking about China’s 13th Five Year Energy Plan, which includes energy market reform around pricing and opening up access for third parties to use government owned infrastructure and pipelines. He also spoke about the company’s overall development plan process and priorities for 2017.

ACBC Victoria kindly thanks Glenn for giving us his time and expertise, and thank all from our Energy & Resources Working Group for attending.