Changfeng Energy Inc.
TSX VENTURE : CFY

Changfeng Energy Inc.

June 15, 2009 16:59 ET

Changfeng Announces the Commencement of the Construction of Its First CNG Commercial Vehicle Filling Station

TORONTO, ONTARIO--(Marketwire - June 15, 2009) - Changfeng Energy Inc. ("Changfeng")(TSX VENTURE:CFY), a China based natural gas distributor, is pleased to announce that it first CNG filling station in Changsha, the capital city of Hunan Province has received final approval and construction has commenced. This CNG filling station will have a daily capacity of 15,000M3 and is scheduled for completion in the fourth quarter of 2009. The estimated cost of construction is $1.5 million (RMB 9 million), which will be funded from internally generated cash flow. The gas supply for the CNG filling station was secured by the previously disclosed contract entered into by Hunan CNPC New Energy Investment, a company controlled by Changfeng, and Hunan CNPC Pipeline Gas Co. Ltd., an arm's length corporation, to purchase up to 11 million M3 of CNG a year until September 12, 2027.

"We expect the construction of two of the seven CNG filling stations to commence later in the year," stated Mr. Huajun Lin, the Chairman and CEO of Changfeng Energy Inc., "the construction of the first CNG filing station is the gateway for our business expansion in mainland China. The Company will continue working with its strategic partners, maximize the company's resources and continue to gain market share in the gas distribution and CNG filling station industry, which ultimately will not only benefit our customers but our partners and shareholders as well."

About Changfeng Energy Inc.

Changfeng is engaged in the design and construction of natural gas distribution networks and distribution of natural gas to commercial and residential customers in the greater Sanya City region of Hainan Province, China. The Company is headquartered in Toronto, Ontario and its shares trade on the TSX Venture Exchange.

This press release contains forward looking statements based on current expectations. These forward looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected in these forward looking statements. Risks and uncertainties about Changfeng's business are more fully discussed in the Company's disclosure materials, including its information circular and MD&A, filed with the securities regulatory authorities in Canada. All amounts are stated in Canadian dollars except for noted otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Changfeng Energy Inc.
    Ann Lin
    Corporate Secretary
    416-362-5032
    or
    Changfeng Energy Inc.
    Graham Warren
    Chief Financial Officer
    416-362-5032