shareholdersunite.com

Opportunities in smallcaps

shareholdersunite.com header image 2

China to import more LNG

February 7th, 2010 · No Comments

Just what the doctor ordered..

China Plans to Increase LNG Imports on Gas Shortage

By Bloomberg News

Feb. 7 (Bloomberg) — China plans to increase its imports of liquefied natural gas to ease a domestic shortage of the fuel, the official Xinhua News Agency reported today, citing Zhang Guobao, head of the National Energy Administration.

China’s gas companies should sign more long-term LNG contracts in order to take advantage of a global surplus of the fuel, Zhang was quoted as saying in the Xinhua report.

Chinese oil companies including PetroChina Co. and China Petroleum & Chemical Corp., known as Sinopec, are increasing gas output and imports to ease a supply shortfall caused by a cold snap since last month. China imported about 3.5 million metric tons of LNG last year, or about 6 percent of the nation’s total demand, Xinhua quoted Zhang as saying.

China will start building more LNG terminals this year in places including Zhuhai, in southern Guangdong province, and Shandong province, the news agency cited Zhang as saying. The country plans to speed up construction of natural gas pipelines and storage facilities on the coast, according to the report.

China State Shipbuilding Co., the nation’s biggest shipyard, launched three self-developed models of LNG ships today, Xinhua reported today, citing information from the company.

The three vessels, with a capacity of 160,000 cubic meters, 175,000 cubic meters and 220,000 cubic meters respectively, are built to meet China’s increasing shipping demand, Xinhua said.

LNG is natural gas chilled to minus 260 degrees Fahrenheit (minus 162 Celsius), putting it in a liquid state for shipping by tanker.

Tags: China · Commodities · IOC · Natural Gas