The board of directors of China Energy Development Holdings Limited informed the shareholders of the company and potential investors that based on a preliminary review of the unaudited consolidated management accounts of the company and its subsidiaries, the group is expected to record a significant increase in the revenue for the six months ended 30 June 2018 by over 90 times compared to the corresponding period last year, due to the revenue recognition of natural gas sales under the group's oil and gas project at North Kashi Block, Tarim Basin, China since year 2011 up to 30 June 2018; and a profit attributable to owners of the company of not less than HKD 120 million for first half of 2018 compared to the net loss of HKD 11,912,000 for first half of 2017, due to the profits contributed by the Kashi Project which was partially offset by the amortization of intangible assets and income tax credits of the Kashi Project.