September 15, 2009 (FinancialWire) — China Natural Gas, Inc. (NASDAQ: CHNG) (Current Market Cap: $169.36 Mil.) has completed its underwritten public offering for 5.725 million shares of its common stock at $8.75 per share. Roth Capital Partners acted as the sole bookrunner.

The company saw net proceeds of around $47.5 million. China Natural Gas has granted the underwriters a 30-day option to purchase up to an additional 858,750 shares to cover over-allotments at the public offering price.

China Natural Gas plans to use the net proceeds for the construction of a liquefied natural gas facility, the acquisition of eight CNG fueling stations, the purchase of eight CNG trucks to transport CNG and the establishment of a joint venture company with China National Petroleum Corp. Kunlun Natural Gas, as well as for general working capital purposes.

China-based China Natural Gas transports and sells natural gas to vehicular fueling terminals, as well as commercial, industrial and residential customers through its distribution networks in China’s Shaanxi and Henan Provinces.

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