PetroChina to select investors for gas pipeline construction in June
PetroChina Co. Ltd. will select seven international partners to help it build a natural gas pipeline from Xinjiang to Shanghai. PetroChina reported 19 companies indicated an interest in investing in the line. They are expected to submit proposals in late April and PetroChina will select the final in June.
By an OGJ Online Correspondent
BEIJING, Mar. 7�PetroChina Co. Ltd. will select seven international partners to help it build a natural gas pipeline from Xinjiang in the northwest to Shanghai in the east.
PetroChina reported 19 companies indicated an interest in investing in the line. They are expected to submit proposals in late April to PetroChina, which will select the final seven in June.
Foreign investors will be allowed to hold interests in the pipeline's construction and operation (OGJ Online, Jan. 22, 2001).
Construction of the 2,610-mile pipeline is slated to start in the second half of 2001. Completion is expected in the second half of 2003.
The line will transport 12 billion cu m/year from Tarim basin in Xinjiang and Ordos basin in Shaanxi by 2005.
In late February, PetroChina signed letters of intent to supply Chinese companies with gas from the pipeline. These companies agreed to use up to 9 billion cu m in 2005 and 13 billion cu m in 2007.
The users include 20 gas utilities, nine gas power generation projects, two industrial fuel projects, and four chemical projects.
PetroChina said the 19 foreign companies that qualified to purchase data packages and submit investment proposals were: BP Global Investments Ltd.; CLP Enterprises Ltd.; Consortium Energomachesport Russia; ExxonMobil China Tarim Basin Gas Ltd.; Gaz de France SA; Houston Inspection International Inc.; Itochu Corp.; Marubeni Corp.; Mitsubishi Corp.; Mitsui & Co. Ltd.; Nissho Iwai Corp.; Gazprom; Petronas; Shell International Gas Ltd.; Sumitomo Corp.; Hong Kong & China Gas Co. Ltd.; TotalFinaElf SA; Transgas, s.p. Czech Republic; and United Technologies Corp.