The CNOOC parent is to build two LNG projects in Jiangsu and Liaoning
China National Offshore Oil Corp, parent of offshore oil producer CNOOC, has clinched two preliminary agreements to invest 20 billion yuan to build two liquefied natural gas (LNG) projects in Jiangsu and Liaoning provinces.
The deals enhance the company's dominant position in China's nascent LNG market, after it bagged three projects in Shenzhen, Fujian and Zhejiang, and signed letters of intent on projects in Tianjin, Shantou and Shanghai.
It has beaten rival PetroChina on development rights of LNG projects in Shanghai and Jiangsu - markets of PetroChina's west-to-east gas pipeline.
China National's latest deals, signed with provincial governments, call for the building of LNG terminals with annual re-gasification capacity of three million tonnes in each of Jiangsu and Liaoning province.
The Jiangsu project, which costs 15 billion yuan, comes with 328km of gas distribution pipelines and gas-fired power plants with eight 300 megawatt units.
