Hong Kong, July 3, 2011 - Oil and gas company Sino Oil and Gas Holdings limited (“Sino Oil and Gas Holdings”, the “Company”, HKEx: 702) is pleased to announce that on 30 June 2011 Mandolin Fund Pte Limited (“Mandolin Fund”) acquired an aggregate of 1,300,000,000 shares of the Company as an investment. Immediately after the acquisition, Mandolin Fund Pte Limited, as the largest substantial shareholder of the Company, holds approximately 14% of the total issued share capital of the Company.

Mandolin Fund is a subsidiary of the Richard Chandler Corporation. From 1986, the Richard Chandler Corporation has provided capital to companies and governments from Asia and Africa to Latin America and Eastern Europe, and invested in a wide range of industries, such as telecoms, power, steel, banking and energy.

Sino Oil and Gas Holdings Chief Executive Officer Mr. King Hap Lee said: “The board would like to express its warmest welcome to Mandolin Fund. We look forward to working with Mandolin Fund, as an investor in our Company, as we roll out our plans of pursuing oil and gas development opportunities in the Ordos Basin in China.”

Mr. Richard F. Chandler is a New Zealand-born entrepreneur who, through Singapore-based the Richard Chandler Corporation, invests in financial, social and creative enterprises. According to Forbes, Mr. Chandler had a net worth of US$3.8 billion and was ranked 288 in the magazine’s World’s Billionaires list as of March 2011.

At the heart of the Richard Chandler Corporation is an entrepreneurial studio identifying and investing in the world's best investment opportunities. There is an alchemy at the company that turns exceptional opportunities into great investments.

The Richard Chandler Corporation’s business goal is to position its investments to fit tomorrow's world. In particular, the company forecasts future earnings in relation to current stock prices and market perceptions. Its investments are forward-focused, reflecting its convictions about long term trends and their impact on corporate valuations.

“Leveraging on our subsidiary Orion’s proprietary multi-lateral horizontal well drilling technology, we are confident of the results of the commercial production of the Sanjiao coalbed methane (“CBM”) project which is expected to commence soon,” continued Mr. King.

The Sanjiao CBM field is located in the Erdos Basin of the PRC. It has proven reserve of 43.5 billion cubic meters of CBM.

About Sino Oil and Gas
Sino Oil and Gas Holdings Limited (HKEx: 702) is an energy company with a key focus on oil, coalbed methane (CBM) and conventional natural gas. The Group is committed to building a portfolio of oil and gas assets and operations with the aim of developing into one of the leading independent oil and gas companies in Greater China. The Group currently operates oil and gas fields in Shaanxi and a CBM project in Sanjiao Block in Erdos Basin of China.

Issued by :
Sino Oil and Gas Holdings Limited

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