Work has begun on a 32-tank crude oil reserve base in China.
Oil refiner Sinopecs base will have a total capacity of 3.2 million m3, with each tank hosting 100,000m3 of oil, when finished in two years.
A 22-km pipeline will also be built, with an annual capacity of 20 million tonnes. The crude reserve is 7 km away from Sinopec's Tianjin petrochemical project, which can refine 10 million tonnes of crude and produce 1 million tonnes of ethylene a year.
The project will help stabilise supply of oil products in northern China, Sinopec president Wang Tianpu says.
Sinopec started building another commercial oil reserve in Guangdong in March, which is designed to have 15 oil tanks each with capacity of 125,000m3 and is expected to come on stream in the second half of 2011.
In April China National Petroleum Corp (CNPC) started work on an oil reserve base in Tianjin Binhai New Area. The base, spread over 250,000m2, is expected to cost about 980 million yuan and would be the company's fourth crude oil reserve base, after Shanshan in the Xinjiang Uygur autonomous region, Lanzhou in Gansu province and Tieling in Liaoning province.
China has now completed construction of the first four State strategic oil reserve bases in Zhenhai and Zhoushan in Zhejiang, Huangdao in Shandong province, and Dalian in Liaoning province.
The country plans to build eight more national oil reserve bases as the second batch of its reserve bases. Under a three-year (2009-11) blueprint outlined by the National Energy Administration (NEA), China will collect and store 44.6 million m3 of crude oil by 2011.