HK stocks to track weak overseas, red chips in focus

HONG KONG, April 14 (Reuters) - Hong Kong stocks are expected
to fall on Monday, tracking a slide in overseas markets, with
mainland stock markets in focus after a report said China had
halted A-share listings of China-backed red chips in Shanghai.

"It (the report) will have a negative impact on (the stock
price of) the red chips," said Francis Lun, a general manager of
Fullbright Securities.

Beijing has stopped red chips, or China-backed firms
incorporated and listed in Hong Kong, from listing in Shanghai
amid weak sentiment in the domestic markets, the South China
Morning Post quoted sources familiar with the plan as saying.

The newspaper said no red chips, including China Mobile
(0941.HK: Quote, Profile, Research, Stock Buzz), CNOOC (0883.HK: Quote, Profile, Research, Stock Buzz), Lenovo (0992.HK: Quote, Profile, Research, Stock Buzz) and China Netcom
(0906.HK: Quote, Profile, Research, Stock Buzz), were likely to be allowed to list A shares in Shanghai
this year.

"The sentiment today is seen weak on renewed worries over the
U.S. economy with investors likely to stay away ahead of earnings
from some major U.S. firms," Lun said, adding that the benchmark
index may gain support at the 24,000 mark unless China markets
fall far more than expected.

The benchmark Hang Seng index .HSI rose 1.99 percent to
24,667.79 on Friday. The China Enterprises Index of Hong
Kong-listed mainland companies .HSCE, or H shares, gained 2.76
percent to 13,357.12.

STOCKS TO WATCH:

* Datang International (0991.HK: Quote, Profile, Research, Stock Buzz) said it would contribute
9.58 billion yuan for a 51 percent interest in a Keqi Coal-based
gas company for constructing and operating a gas joint venture in
Inner Mongolia with total investment amonting to 18.78 billion
yuan. For details please see
here

* Aluminum Corp of China Ltd (2600.HK: Quote, Profile, Research, Stock Buzz) said late on Sunday
that Shandong Aluminum, which merged with the company at the end
of 2007, had been in compliance with laws and regulations in
terms of use of proceeds, financial independency and connected
transactions arrangement, denying mainland reports of suspected
of financial forgery. For detail please see
here

* CNPC (Hong Kong) Ltd (0135.HK: Quote, Profile, Research, Stock Buzz) said its 2007 profit fell

* CNPC (Hong Kong) Ltd (0135.HK: Quote, Profile, Research, Stock Buzz) said its 2007 profit fell
20.25 percent to HK$1.367 billion from HK$1.714 billion a year
ago, as several comprehensive exploration oilfields which
commenced work during the year had no profit contribution yet.
For details please see
here

* Lai Sun Development (0488.HK: Quote, Profile, Research, Stock Buzz) said its profit for the six
months ended in January rose to HK$882.77 million from HK$600.1
million, thanks to rental reversion of investment properties and
an increase in average daily room rate in hotel operations. For
details please see
here

* Chinese mobile phone battery maker BYD Co (1211.HK: Quote, Profile, Research, Stock Buzz) said
late on Friday its overall business, operations or financial
conditions would not be materially and adversely affected amid
the latest salvo of a bitter legal dispute between BYD and Hon
Hai 2137.TW -- the parent of Foxconn. (For details please see
here

* Sino Union Petroleum $ Chemical International (0346.HK: Quote, Profile, Research, Stock Buzz)
said it planned to form an equally owned joint venture with
Yanchang Petroleum for oil and gas exploration and exploitation
of an onshore oilfield, Oilfield Block 3113, with total capital
investment of up to US$300 million. For details please see
here

* Jinhui Holdings (0137.HK: Quote, Profile, Research, Stock Buzz) said it would sell a deadweight
55,557 metric tons vessel to a privately owned ship owning firm
in India for US$74.25 million. For details please read
here

* China Construction Bank (0939.HK: Quote, Profile, Research, Stock Buzz), the country's No.2
lender by assets, met forecasts with a 51 percent jump in
second-half earnings, boosted by higher fee income and margins,
despite losses on its U.S. subprime-related holdings.

FACTORS TO WATCH:
* Nikkei tumbles as Tokyo Elec, exporters down [.T]
* Stocks face wild ride with banks, inflation [.N]
* STOCKS NEWS ASIA-Market factors, main events [STXNEWS/ASIA]
* Oil slides below $110 as dollar gains on G7 talk [O/R]
* Dollar rises on G7's concern over currency swings [USD/]
* For upcoming Hong Kong events, click on [HK/DIARY]
* For Hong Kong press digest, click on [PRESS/HK]

KEY HK ADR MOVERS (by % change)

Aluminum Corp (ACH.N: Quote, Profile, Research, Stock Buzz)(2600.HK: Quote, Profile, Research, Stock Buzz) -4.81

China Southern Air (ZNH.N: Quote, Profile, Research, Stock Buzz)(1055.HK: Quote, Profile, Research, Stock Buzz) -3.9

China Telecom (CHA.N: Quote, Profile, Research, Stock Buzz)(0728.HK: Quote, Profile, Research, Stock Buzz) -3.77

China Unicom (CHU.N: Quote, Profile, Research, Stock Buzz)(0762.HK: Quote, Profile, Research, Stock Buzz) -3.16

Hutchison Tel (HTX.N: Quote, Profile, Research, Stock Buzz)(2332.HK: Quote, Profile, Research, Stock Buzz) -2.93

China Eastern Air (CEA.N: Quote, Profile, Research, Stock Buzz)(0670.HK: Quote, Profile, Research, Stock Buzz) -2.3
(US$1=HK$7.8)
(Reporting by Donny Kwok; Editing by Anne Marie Roantree)