China Natural Gas Adds Two New Natural Gas Filling Stations; Company Now Owns a Total of 9 Stations; Continues to Meet Growing Demand for Natural Gas as an Alternative to Gasoline.

NEW YORK -- China Natural Gas, Inc., (OTCBB: CHNG, website: www.naturalgaschina.com) the first China-based natural gas public company traded in the U.S. capital market, today announced that the Company has acquired two compressed natural gas filling stations from individual owners. The Company expects to further ramp up production to a level of 20,000 cubic meters of gas sold daily to Taxis and buses.

China Natural Gas now has a total of 9 compressed natural gas filling stations. On average, each station sells approximately 20,000 cubic meters of natural gas per day and generates approximately $0.085 in net income for each cubic meter of gas sold.

Chairman and CEO Qinan Ji stated, "The addition of these two filling stations will boost our revenues in the third quarter of 2006. We continue to demonstrate strong execution capability and steadfast focus on aggressively growing our network of natural gas stations in order to meet the ever increasing demand for compressed natural gas as an alternative fuel to gasoline in China. Our continued expansion of filling stations throughout the second half of 2006 to reach our targeted goal of 21 stations by year-end will further drive our revenues going forward."

The Company expects to report record second quarter financial results in the beginning of August.

The management team is currently in the U.S. hosting a series of institutional investor meetings. The investor presentation can be viewed on the Company website.

About China Natural Gas, Inc.

China Natural Gas, Inc., ("CHNG"), a Delaware company, is the first China based US public natural gas services provider that owns and operates a 120 kilometer long compressed natural gas pipeline in China's Xi'An area, a fast growing Chinese city supported by a population of 7 million and is the "gateway" to the broad Western regions of China. CHNG has three profitable business segments: end user delivery of natural gas services to residential, commercial and industrial customers; wholesale natural gas to retail natural gas filling stations; and retail natural gas at company-owned natural gas filling stations. The city of Xi'An has approximately 20,000 Taxis, 3,000 buses and 2,000 special purpose vehicles that are powered by compressed natural gas. Approximately 8.6% of the company's shares are owned by Bodisen Biotech, Inc. (AMEX: BBC)

Safe Harbor Statement

This press release may contain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations or beliefs of China Natural Gas, Inc. management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.