PetroChina has begun building a railway oil terminal in the Lhasa region to secure an adequate supply of refined oil products in Tibet, reduce transportation costs, relieve the pressure of oil products transportation and make use of the advantages of the Qinghai-Tibet Railway.
The 38,000m3 terminal will be used for the reception and storage of petrol, diesel and aviation kerosene.
Construction began on 8 June and the project is expected to finish construction and begin operations by the end of 2010.
The Lhasa Railway Oil Terminal Project has an investment of 180 million yuan (21,811,002)
After construction is completed, the oil terminal will have an annual oil turnover of 400,000 tonnes to meet Tibet's social and economic development demand for refined oil products.