Edgar Filing: Yang Xiang Dong

Ownership Submission

FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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(Print or Type Responses)

1. Name and Address of Reporting Person ^*

Â Yang Xiang Dong

2. Date of Event Requiring Statement (Month/Day/Year)
01/29/2008

3. Issuer Name and Ticker or Trading Symbol
China Natural Gas, Inc. [CHNG]

(Last)

(First)

(Middle)

C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD.,Â S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST

4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

_____ Director	__X__ 10% Owner
_____ Officer (give title below)	_____ Other (specify below)

5. If Amendment, Date Original Filed(Month/Day/Year)

(Street)

CENTRAL HONG KONG,Â K3Â SAR

6. Individual or Joint/Group Filing(Check Applicable Line)
___ Form filed by One Reporting Person
_X_ Form filed by More than One Reporting Person

(City)

(State)

(Zip)

Table I - Non-Derivative Securities Beneficially Owned

1.Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
None	0	D	Â

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.			SEC 1473 (7-02)
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Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Warrants	01/29/2008⁽¹⁾	01/29/2015⁽¹⁾	Common Stock	2,900,000	$ 7.3652 ⁽¹⁾	I ⁽²⁾	See footnote ⁽²⁾

Reporting Owners

Reporting Owner Name / Address	Relationships
Reporting Owner Name / Address	Director	10% Owner	Officer	Other
Yang Xiang Dong C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Lotus Ltd. C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Global Opportunities Fund C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Arhat Fund C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Upland Fund LLC C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Global Capital C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â SAR	Â	Â X	Â	Â
Abax Claremont Ltd. C/O ABAX GLOBAL CAPITAL (HONG KONG) LTD. S6708, 67F, 2 INTL FIN CTR, 8 FINANCE ST CENTRAL HONG KONG,Â K3Â 0000000000	Â	Â X	Â	Â

Signatures

/s/ Xiang Dong Yang		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Lotus Ltd.		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Global Opportunities Fund		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Arhat Fund		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Upland Fund LLC		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Global Capital		11/09/2009
^**Signature of Reporting Person		Date
/s/ Xiang Dong Yang, Director of Abax Claremont Ltd.		11/09/2009
^**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 5(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	Abax Lotus Ltd. owns Warrants to purchase Common Stock. The Warrants are exercisable, at any time, for the Issuer's common stock (the "Common Stock"). The initial exercise price for each share of Common Stock is $7.3652 subject to adjustment pursuant to the terms of the Warrant Agreement governing the Warrants but in no event less than $3.6826 per share of Common Stock (all dollar prices being subject to proportional adjustment for stock splits, combinations and the like). The Warrants expire on January 29, 2015.
(2)	Abax Lotus Ltd. beneficially owns the Warrants directly. Such Warrants may be deemed to be beneficially owned indirectly by: Abax Global Opportunities Fund (the "Fund"), which is the sole shareholder of Abax Lotus Ltd.; Abax Arhat Fund ("Arhat") and Abax Upland Fund LLC ("Upland"), each of which owns 50% of the Fund; Abax Global Capital (the "Arhat Shareholder"), which is the sole shareholder of Arhat; Abax Claremont Ltd. (the "Upland Managing Member"), which is the managing member of Upland; and Mr. Yang, who is the controlling member of the Arhat Shareholder and the Upland Managing Member. Each of the Reporting Persons disclaims beneficial ownership except to the extent of its or his pecuniary interest therein.
Â Remarks: Remarks:Â ExhibitÂ 99.1Â (JointÂ FilerÂ Information)Â isÂ incorporatedÂ hereinÂ byÂ reference.Â AbaxÂ LotusÂ Ltd.Â isÂ partyÂ toÂ anÂ investor Â rightsÂ agreementÂ withÂ certainÂ shareholdersÂ ofÂ theÂ Issuer,Â andÂ ifÂ theyÂ areÂ deemedÂ toÂ beÂ aÂ "group"Â byÂ virtueÂ ofÂ such Â arrangement,Â suchÂ groupÂ mayÂ beÂ deemedÂ aÂ greaterÂ thanÂ 10%Â owner.Â TheÂ ReportingÂ PersonsÂ expresslyÂ disclaimÂ beneficial Â ownershipÂ ofÂ theÂ securitiesÂ ofÂ theÂ IssuerÂ thatÂ areÂ ownedÂ byÂ suchÂ shareholders.

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