Towngas and rivals bag projects worth 815 million yuan across the mainland
Three Hong Kong-based gas suppliers are taking advantage of China's liberalisation of its fledgling gas sector, snapping up projects worth a total 815 million yuan.
Making the strongest push is blue-chip utility Hong Kong and China Gas (Towngas), which will expand into both upstream and downstream gas supplies in Anhui province through three projects involving a total investment of 455 million yuan.
Smaller players Panva Gas Holdings and China Gas Holdings are targeting downstream gas supplies in the north. Panva will venture into Liaoning province through a 300 million yuan project in Benxi, while China Gas has Beijing in its sights with a 60 million yuan joint venture.
In recent years, China has been seeking to promote the use of environmentally friendly fuel and boost consumption of natural gas sourced from its landmark project - the 3,800km east-west gas pipeline between Xinjiang and Shanghai.
Towngas yesterday signed a 245 million yuan joint-venture agreement with state-owned firms Anhui Energy Corp and Anhui Guofeng Corp, which would sell natural gas wholesale to 11 cities in Anhui province, executive director Ronald Chan Tat-hung said.
