【FOR IMMEDIATE RELEASE】

Chu Kong Petroleum and Natural Gas Steel Pipe Holdings Limited
Stock Code：1938.HK

PCK to Supply 40,000 Steel Pipes for the PETRONAS RAPID Project

(July 26, 2016 - Hong Kong) Chu Kong Petroleum and Natural Gas Steel Pipe Holdings Limited (the "Company", together with its subsidiaries hereinafter referred to as the "Group", "Chu Kong Steel Pipe" or "PCK" stock code: 1938), the largest manufacturer and exporter of longitudinal submerged arc welded steel pipes in China, is pleased to announce that the Group has been awarded a price agreement (the "Price Agreement") by an independent third party, to supply in two years approximately 40,000 tonnes of steel pipes for the PETRONAS Refinery and Petrochemical Integrated Development (RAPID) project located in the state of Johor, Malaysia. The project is owned by Petroliam Nasional Berhad (PETRONAS).

Mr. Chen Chang, Chairman of the Group, comments, "Supplying pipes to the PETRONAS Refinery and Petrochemical Integrated Development (RAPID) project represents our high product quality has been affirmed and recognized. The Group has an ability to provide a wide range of steel pipe products with the required specifications of refineries for the construction of a refinery project, providing solid support and assurance to the project."

The ambitious project, RAPID, will consist of a 300,000-barrels-per-day refinery and petrochemical complex with a combined capacity of producing 7.7 million metric tons per year of various grades of products, including differentiated and specialty chemicals products. The estimated CAPEX of the RAPID project will be USD16 billion, while related facilities will cost around USD11 billion.

Mr. Chen continues, "Malaysia is rich of resources and reserves in natural gas and oil, its natural gas reserves ranked the third place in Asia Pacific regions, which consists of huge industry potential. We will continue to expand business in Southeast Asia and oversea markets with our high quality steel pipe products. "

- End -

About Chu Kong Steel Pipe
Chu Kong Petroleum and Natural Gas Steel Pipe Holdings Limited is the largest manufacturer and Chu Kong Petroleum and Natural Gas Steel Pipe Holdings Limited is the largest manufacturer and exporter of longitudinal submerged arc welded steel pipes in China. Our steel pipes are mainly used for energy transmission including oil and gas transmission pipelines, deep sea pipelines, city gas networks, and petrochemicals, mining, infrastructure construction, offshore engineering, steel structures and water utilities industries.

The Group's production bases and offices are located in Panyu, Zhuhai, Lianyungang, Jiangyin, Ningbo of China, Indonesia, Saudi Arabia and Dubai, with 9 longitudinal submerged arc-welded ("LSAW"), 4 spiral submerged arc-welded ("SSAW") , 1 clad pipe and 1 electric resistance welded ("ERW") production lines and other lines with a combined annual production capacity of 3,380,000 tonnes

Chu Kong Steel Pipe is the industry pioneer of LSAW steel pipes, strong in research and development with 112 registered utility patents including 8 registered invention patents, and has a long standing international and nationwide track record. The Group is the first and only steel pipe manufacturer in China to produce deep sea welded steel pipes for using under 1,500m water depth. Chu Kong Steel Pipe is the only welded pipe manufacturer in China that has achieved five national honors and awards, including "Superior Quality Award for Actual Quality of Metallurgical Products", "Gold Cup Prize for Actual Quality of Metallurgical Products", "National Key New Products", "National-recognized Enterprise Technology Centre", and "High Technology Enterprise". We have an "Academician Workstation", and also the main drafter of the national standard for longitudinal welded steel pipes for transmission.

The Group is developing its Golden Dragon City Fortune Plaza, located at Shiji Town, Panyu, Guangzhou, China, which is an integrated commercial complex of offices, shops, serviced apartments and villas.

For media enquiries, please contact
Shelldy Cheung
Phone: (852) 2626 1833
Email: shelldycheung@zhujiang.com.hk