CHINA CBM released its unaudited interim report for the six months ended 30 June 2026.
• Revenue from continuing operations surged 164.8% year-on-year to RMB40.84 million, reflecting higher external sales of piped natural gas after the disposal of the Group’s LNG liquefaction business.
• Gross profit rose to RMB15.32 million, yielding a 37.5% gross margin versus 45.8% a year earlier.
• Profit attributable to equity shareholders swung to a RMB79.28 million surplus (1H 2025: RMB9.47 million loss), equivalent to basic earnings of RMB0.2030 per share.
• The turnaround was mainly driven by: – A RMB74.62 million gain on the February 2026 disposal of 100% equity in Shanxi Qinshui Shuntai Energy Development, the Group’s LNG liquefaction subsidiary. – An RMB8.95 million gain on disposal of property, plant and equipment following the transfer of Nuoxin’s land and buildings.
• Operating cash inflow reached RMB5.32 million; cash and bank balances stood at RMB45.30 million at period-end. Total assets were RMB277.54 million, net assets RMB141.31 million. The Group reported a modest bank borrowing of RMB4.27 million, giving an estimated gearing ratio of 2.9%.
• No interim dividend was declared.
Operational update
– The Group operated 170 producing CBM wells in Shanxi Province. – Net 3P reserves were estimated at 193.60 BCF, broadly unchanged from the 2012 external evaluation. – R&D continues on the “High-Quality Clean Conversion of Coal to Natural Gas” technology, with small-scale pilot equipment under construction and reaction temperatures reduced to 800-950 °C. A related thermal extraction technique aimed at boosting CBM output is in trial operation.
Other matters
– The protest filed by subsidiary Nuoxin (Xian County) Engineering Materials against a previous civil judgment has been accepted by the Hebei Provincial People’s Procuratorate; the case remains under review by the Supreme People’s Procuratorate.
– All independent non-executive directors confirmed their independence; the Board currently combines the roles of chairman and chief executive.
Outlook
Management expects strong natural-gas demand to persist and plans to accelerate well drilling and commercialisation of its proprietary coal-to-gas technologies subject to funding availability. No material post-balance-sheet events were reported.