Just weeks after PetroChina added tankage at an oil terminal, the nation is now seeing the construction of a new terminal storing LNG.
Construction on the Ningbo LNG terminal began earlier in October, reports confirm. The terminal is south of Shanghai, in Zhejiang Province, and will be the fifth Chinese terminal, the fourth owned by China National Offshore Oil.
Chinas National Development and Reform Commission approved the project earlier this year.
When completed in 2012, Phase 1 of construction at Ningbo will have installed 3 million tonnes/year of re-gasification capacity.
Construction costs are estimated at more than $1 billion (682 million). CNOOC envisions a matching second phase but has announced no completion date.
Ownership of CNOOC Zhejiang Ningbo Liquefied Natural Gas is among CNOOC Natural Gas & Power (51%), Zhejiang Provincial Energy Group (29%), and Ningbo City Power Developing (20%).
CNOOCs 3 million tonnes a year terminal at Shanghai received its first LNG cargo earlier this month.