I.Company Profile:
Shinhsiung Natural Gas Inc. (hereinafter referred to as “Shinhsiung”) was established in 1986 and officially listed on the Taipei Exchange in 1997. With more than 40 years of experience in the Kaohsiung area, Shinhsiung is primarily engaged in the public utility natural gas business, including the supply of natural gas through pipelines, pipeline installation engineering, and related equipment maintenance. Its service area covers 16 administrative districts in Kaohsiung City, including Fengshan, Daliao, Renwu, Gangshan, and Ciaotou, as well as major industrial parks. The service area extends from Hunei in the north to Linyuan in the south, and the Company has established seven gas-source delivery points with CPC Corporation, Taiwan.
As of June 2026, Shinhsiung had a capital of NT$3.153 billion, with a total gas transmission pipeline length of 1,653 kilometers and more than 100,000 service users. According to statistics compiled by the Gas Association, Shinhsiung has ranked second nationwide and first in southern Taiwan in terms of revenue over the past three years, making it a sizable and representative public utility natural gas operator in Taiwan.
II. Business Operations:
Shinhsiung’s core business is the supply of natural gas through pipelines, with gas supply customers covering industrial, commercial, and general residential users. Industrial users are the primary source of gas sales, accounting for more than 90% of total gas sales volume. In response to the national energy transition and corporate ESG carbon reduction needs, Shinhsiung continues to provide a stable and relatively low-carbon energy supply.
In addition, Shinhsiung is actively promoting businesses related to green energy and development. Leveraging the stable cash flow from its core natural gas business, Shinhsiung is expanding into diversified businesses, including renewable energy and regional development. As of mid-2026, the Group’s grid-connected solar photovoltaic capacity had reached 28.4 MW, generating stable green electricity revenue. In real estate development and construction, Shinhsiung has also launched residential development projects, through its subsidiaries, further expanding its diversified sources of profit.
III. Corporate Highlights and Competitive Advantages:
The public utility natural gas business has regional monopoly and concessionary characteristics. Shinhsiung has established a comprehensive high-, medium-, and low-pressure bidirectional ring network and multiple gas-source delivery points, which can effectively enhance the stability and resilience of gas supply and create relatively high regional barriers to competition.
To strengthen gas supply safety and operational management, Shinhsiung has introduced a remote intelligent monitoring system to monitor data such as pressure, flames, and gas leaks in real time, and has established a mobile geographic information system. At the same time, Shinhsiung has actively promoted microcomputer gas meters, with the utilization rate of newly installed meters exceeding 96%. Shinhsiung has also received the Ministry of Economic Affairs’ Energy Administration’s “Outstanding Award for Microcomputer Gas Meter Promotion” for four consecutive years, demonstrating its investment in and achievements in intelligent management and gas supply safety management.
IV. Future Outlook:
With large shopping malls successively establishing operations within Shinhsiung’s service area, along with government investment promotion, social housing development, and joint development projects around metro stations, regional population and industrial activity are expected to grow, thereby increasing the number of natural gas installations, gas supply customers, and gas supply volume.
In addition, the Kaohsiung City Government continues to promote industrial upgrading and urban transformation, developing a semiconductor S-corridor industrial supply chain in southern Taiwan and planning new industrial parks to improve the industrial ecosystem. In the long term, the development of relevant industrial clusters and emerging industrial parks is expected to stimulate surrounding industries and regional activity. Shinhsiung has also actively invested in and deployed natural gas pipelines in emerging industrial parks. As companies gradually move into these parks in the future, demand for gas supply is expected to increase, further contributing to the Company’s revenue and profit growth.