Guoyuan Hong Kong released a research report today saying that due to the support of CNPC's upstream gas sources for the company's gas sales volume, the gas sales volume and revenue of CNPC Gas (00603-HK) are expected to increase by more than 30% year-on-year in 2010 and 2011. Furthermore, with the increase in the company's gas sales volume in the eastern region and the commencement of coalbed methane sales, the overall gross margin of the company's gas business will increase significantly. For the first time, the stock was given a purchase rating, with a target price of HK$1.2. The report also pointed out that due to the company's relationship and cooperative relationship with CNPC, CNPC supplied the company with sufficient gas sources, and the company's gas sales volume was guaranteed. In addition, with the advantage of being backed by the main pipeline network opening area, the company expanded gas sales to areas not covered by the pipeline network by establishing LPG terminals, LPG receiving stations and CNG fueling stations, and specialized transport fleets to provide logistics services. CNPC closed the day at HK$0.86.