PetroChina to develop LNG station at Yangkou Port
PetroChina, the mainland's largest oil producer, will invest 7.4 billion yuan (HK$7.49 billion) to develop its liquefied natural gas receiving station at Yangkou Port, according to a government official in Jiangsu province.
The LNG project was approved last month by the National Development and Reform Commission. Located on a man-made island at Yangkou Port off Jiangsu's coast, it will be developed in three phases. The first phase will provide annual capacity of 3.5 million tonnes of LNG, scheduled for operation by 2011, said Zhou Tiegen, secretary of the Rudong County Committee of Jiangsu province, Wednesday.
The second and third phases will have annual capacity of six million tonnes and 10 million tonnes, respectively.
Last May, Hong Kong-listed port investor PYI Corp (0498) signed a collaboration agreement with PetroChina to conduct certain preliminary engineering works related to the development of an LNG receiving station in PYI's Yangkou Port project.
PYI will be responsible for managing, building and transferring a portion of the man-made island for the LNG facilities.
PYI deputy chairman Tom Lau Ko- yuen said Wednesday the island is expected to be completed by the end of this year.
Lau said PYI will spend a total of 3billion yuan in 2007 and 2008 as capital investment for Yangkou Port, including the expenses for building the 13-kilometer Yellow Sea Crossing, which will be finished by next year.
The project's total investment could reach 6 billion yuan. PYI holds a 75 percent stake in Yangkou Port while the remaining shares are owned by the local government.
The LNG project was approved last month by the National Development and Reform Commission. Located on a man-made island at Yangkou Port off Jiangsu's coast, it will be developed in three phases. The first phase will provide annual capacity of 3.5 million tonnes of LNG, scheduled for operation by 2011, said Zhou Tiegen, secretary of the Rudong County Committee of Jiangsu province, Wednesday.
The second and third phases will have annual capacity of six million tonnes and 10 million tonnes, respectively.
Last May, Hong Kong-listed port investor PYI Corp (0498) signed a collaboration agreement with PetroChina to conduct certain preliminary engineering works related to the development of an LNG receiving station in PYI's Yangkou Port project.
PYI will be responsible for managing, building and transferring a portion of the man-made island for the LNG facilities.
PYI deputy chairman Tom Lau Ko- yuen said Wednesday the island is expected to be completed by the end of this year.
Lau said PYI will spend a total of 3billion yuan in 2007 and 2008 as capital investment for Yangkou Port, including the expenses for building the 13-kilometer Yellow Sea Crossing, which will be finished by next year.
The project's total investment could reach 6 billion yuan. PYI holds a 75 percent stake in Yangkou Port while the remaining shares are owned by the local government.