CNPC Plans To Build 23 New Gas Storage Facilities

CNPC Plans To Build 23 New Gas Storage Facilities

China National Petroleum Corp., the world's third-biggest oil company, plans to build 23 new gas storage facilities and expand 10 existing ones by 2030, with working gas capacity exceeding 15 billion cubic meters, the company said Sunday.

According to the Xinhua News Agency, the move aims to meet the increasing demand for gas in the world's second-largest economy, following a harsh winter that saw a supply squeeze, partly due to storage shortfalls.

The move also comes amid the country's efforts to tackle environmental pollution.

China has been promoting efficient, large-scale use of natural gas in the industrial fuel, gas-fired power and transport sectors.

The country aims to make natural gas consumption account for around 10 percent of the country's energy mix by 2020 and 15 percent by 2030.

China's natural gas consumption surged in 2018, rising 18.1 percent to 280.3 billion cubic meters, according to the National Development and Reform Commission.

The growth accelerated from a rise of 15.3 percent registered in 2017.

CNPC has been operating in Turkmenistan since 2002 and now has oil and gas assets and equity in the country, while also providing oilfield services.

CNPC makes exploration, development and production at Bagtiyarlyk territory in Turkmenistan, which is one of the main sources for Turkmenistan – China gas pipeline.

The volume of natural gas supplied to China via Turkmenistan – China pipeline from the fields of Bagtiyarlyk contractual territory totaled more than 82 billion cubic meters by May 2019.