Yantai Port to Launch LNG Storage Plants

By Muyu Xu and Shivani Singh
Wednesday, October 16, 2019

China's Yantai Port Group aims to launch two jointly-owned liquefied natural gas (LNG) storage facilities by 2022 and expects government approval for them this month, two sources familiar with the matter said.

Shandong province, where the Yantai port is located, is an industrial and petrochemical hub in China. It has one quarter of the country's steel capacity and is also a big coal consuming region, though it is yet to house a gas-powered plant.

Yantai Port, which holds a 19% stake in the project, is building the two facilities, one with a 5 million tonne capacity and another able to store 6.5 million tonnes, with Yantai LNG Group.

Yantai LNG Group is jointly owned by Poly-GCL Petroleum Holding Group Ltd, Pan-Asia International Energy Distribution Center Co and Yantai Port.

Land reclamation for the project has started, one of the sources, who declined to be identified, told Reuters.

Phase 1 will cost $1.1 billion and will comprise an LNG-dedicated port area, an LNG berth able to receive up to 266,000-cubic metre LNG carriers, a 50,000 cubic-meter trans-shipment berth, and five 200,000 cubic meter storage tanks, a second official said.

It will receive 5 million metric tonnes of LNG per year and regasify 40 million cubic meters per day, he added.

A second phase, expected to launch by 2025, will comprise of two LNG berths receiving up to 266,000 cubic meter carriers, and five more 200,000 cubic meters storage tanks, expanding Yantai LNG's receiving capacity to 10 million tonnes per year.

Yantai Port Group is also investing in a separate 5 million tonne storage project at Yantai port which CNPC aims to build by 2022. Yantai will take 49% stake in that project with CNPC holding the majority share of 51%, he said.

Separately, Yantai Port will build a 300,000-tonne crude oil berth for a new petrochemical project in Yantai, the official said.


(Reporting by Muyu Xu and Shivani Singh; Editing by Alexander Smith)

Categories: Ports LNG

Related Stories

Yinson Production Secures $1.17B Refinancing for FPSO Maria Quitéria

Yinson Production, “K” LINE Target Europe's CCS with FSIU and LCO2 Solutions

Woodside Agrees Long-Term LNG Supply with Petronas Unit

Yinson Production Closes $1B Investment to Drive Further Growth

Chuditch Gas Field Drilling Ops Get Delayed to Next Year

UK Firm Secures Exploration Extension for Two Blocks off Vietnam

ABL Lands Work on BP’s Indonesian Gas and CCUS Project

CNOOC Starts Production at Offshore Field in South China Sea

Fugro Lands Deepwater Gas Field Job in Southeast Asia

OMV Exits Ghasha Gas Project off UAE with Lukoil Stake Sale

Current News

One Shelf Drilling Rig Up for New Job in India, Other for Disposal

Four Jack-Up Drilling Rig Deals Set to Bring In $129M for Borr Drilling

PTTEP Hires Velesto’s Jack-Up Rig for Drilling Campaign off Malaysia

Yinson Production Secures $1.17B Refinancing for FPSO Maria Quitéria

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

CNOOC Signs Hydrocarbons Exploration and Production Deal with Kazakhstan

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com