Gas stocks continued their recent gains. As of press release, Xinao Energy (02688) rose 4.32% to HK$66.35; China Gas (00384) rose 3.55% to HK$7.87; and China Resources Gas (01193) rose 2.66% to HK$25.05.
The Zhitong Finance App learned that gas stocks continued their recent gains. As of press release, Xinao Energy (02688) rose 4.32% to HK$66.35; China Gas (00384) rose 3.55% to HK$7.87; China Resources Gas (01193) rose 2.66% to HK$25.05; and Ganghua Smart Energy (01083) rose 0.96% to HK$3.16.
According to the news, international natural gas prices continued to fall in the first quarter due to the double impact of the still very relaxed supply and demand environment and falling energy prices. Tianfeng Securities believes that on the one hand, the reduction in natural gas import costs is expected to directly reduce the procurement costs of urban fuel companies. On the other hand, the three major oils have a large say in domestic gas supply, and the decline in marine gas prices may indirectly drive the decline in urban fuel procurement costs by reducing the procurement costs of the three major oils.
In addition, domestic pipeline gas price adjustment plans have recently been announced in many places (Shenzhen, Fuzhou, Zhenjiang, Putian, Xinghua, etc.), and sales prices of residential pipeline gas have all increased. According to Tianfeng Securities, as of March 15, 2024, price linkage mechanism documents or price adjustment notices have been issued, involving 125 administrative units at the city and county levels. In 2024, gas price linkage mechanisms in various regions will continue to advance, which will benefit urban combustion companies to fix gross margins.