China Natural Gas, Inc. (CHNG) is an integrated natural gas operator in The Peoples鈥?Republic of China, primarily involved in the distribution of compressed natural gas (CNG) through its variable interest entity (VIE)-owned CNG fueling stations. As of December 31, 2009, it operated 24 CNG fueling stations in Shaanxi province and 12 CNG fueling stations in Henan province. Its VIE own its CNG fueling stations while it leases the land, upon which its VIE-owned CNG fueling stations operate. During the year ended December 31, 2009, the Company sold CNG of 164,343,895 cubic meters through its VIE-owned fueling stations. It also transports, distributes and sells piped natural gas to residential and commercial customers in the Xi鈥檃n area, including Lantian County, and the districts of Lintong and Baqiao, in Shaanxi province through a pipeline network of approximately 120 kilometers.