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China breaks ground on new LNG terminal



China’s state-owned oil & gas pipeline network PipeChina has announced that it has broken ground on a new liquefied natural gas terminal in Yantai, Shandong Province. 

A new terminal will allow vast amounts of LNG imports to China
(Image via Wiki)

The Yantai LNG terminal was granted approval in March as the first natural gas plant in the area - which is currently a large coal consumer and home to a quarter of the country’s steel production capacity. 

The terminal will have the capacity to receive up to 20 million tonnes of imported LNG per year, and will contain 20 gas storage tanks each with a capacity of 220,000 cubic metres. It will supply around 28 billion cubic metres of gas per year to regions around the Bohai Sea. 

The project is intended to enhance the capacity of peak shaving, emergency storage and winter supply of natural gas to the surrounding area, and will help reduce carbon dioxide emissions in the region by 32million tonnes per year. 

A phased approach to construction is being taken, with phase one aiming for a production capacity of 5 million tonnes. This phase is expected to start up by 2023.

The project will be the first energy infrastructure for PipeChina, which was established in December last year. 

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