09:55     XINAO GAS<02688> - Announcement (11)                                

    persons of the Company, a summary of which is set out                     
    in the section headed "Background" in this                                
    announcement                                                              
                                                                              
    "Existing Waiver"       the waiver granted by Stock                       
    Exchange on 27 May 2002 in relation to the Existing                       
    Continuing Connected Transactions which expired on                        
    31 December 2004                                                          
                                                                              
    "Group" the Company and its subsidiaries                                  
                                                                              
    "Hong Kong"     the Hong Kong Special Administrative                      
    Region of the PRC                                                         
                                                                              
    "Independent Board Committee"   an independent                            
    committee of the Board to be appointed to advise the                      
    Independent Shareholders                                                  
                                                                              
    "Independent Shareholders"      the Shareholders other                    
    than Easywin, Mr. Wang and Ms. Zhao Baoju and their                       
    respective associates                                                     
                                                                              
    "Independent Third Party(ies)"  person(s) or                              
    company(ies) which is/are independent of any member                       
    of the Group, the directors, the chief executives,                        
    the controlling shareholders, the substantial                             
    shareholders (as such terms are defined in the Listing                    
    Rules) of the Company or its subsidiaries, and their                      
    respective associates                                                     
                                                                              
    "Langfang Property      * (Langfang                                       
    Xinao Property                                                            
      Management"   Management Limited*), a                                   
    PRC-incorporated company which is 69.89% owned by Mr.                     
    Wang, thereby being a connected person of the Company                     
                                                                              
    "Langfang Xincheng"     *                                                 
    (Langfang Xincheng Property Development Company                           
    Limited*), a PRC-incorporated company which is 92.21%                     
    owned by Mr. Wang, thereby being a connected person                       
    of the Company                                                            
                                                                              
    "Listing Rules" the Rules Governing the Listing of                        
    Securities on the Stock Exchange                                          
                                                                              
    "LNG"   liquefied natural gas, being natural gas which                    
    is converted into liquid form through application of                      
    pressure and cooling                                                      
                                                                              
    "Mr. Wang"      Mr. Wang Yusuo (*), the chairman, an                      
    executive Director and a controlling Shareholder                          
    holding approximately 44.94% of the issued share                          
    capital of the Company as at the date of this                             
    announcement                                                              
                                                                              
    "New Agreements"        the Property Management Service                   
    Agreement, the Property Leasing Agreement, the                            
    Product Sale Agreement and the Finance Leasing                            
    Agreement                                                                 
                                                                              
    "New Continuing Connected Transactions" the new                           
    continuing connected transactions proposed to be                          
    entered into between the Group and certain connected                      
    persons of the Company, a summary of which is set out                     
    in the section headed "The New Continuing Connected                       
    Transactions" in this announcement                                        
                                                                              
    "Non-Exempt Continuing Connected Transaction"                             
            New Transaction 3 which will be subject to the                    
    reporting and announcement requirements under                             
    Chapter 14A of the Listing Rules and will also be                         
    required to be approved by way of poll by the                             
    Independent Shareholders