China Begins Construction of Power of Siberia Pipeline to Russia

China Begins Construction of Power of Siberia Pipeline to Russia

China National Petroleum Corp (CNPC) started construction of the Chinese section of the Russia-China east route gas pipeline designed to pump Russian gas into the country’s northeast territory and beyond.

The pipeline will run from the China-Russia border in Heihe of the Heilongjiang province and end at Shanghai, passing through nine provinces and cities, including Heilongjiang, Jilin, Inner Mongolia, Liaoning, Hebei, Tianjin, Shandong, Jiangsu, and Shanghai.

Along with the 3170km newly built pipeline, an existing 1800km pipeline will also be included as part of the development, following the construction of an underground gas storage facility.

Russia started building its segment of the pipeline known as the Power of Siberia, in September 2014. The gas transmission system of the pipeline will become operational late 2017.

The pipelines are designed to connect the both countries, which will be used to transport up to 38 Bcm of gas annually from Chayandin and Kovyktin gas fields in eastern Siberia to the Chinese, under a 30-year contract with Gazprom.

China’s energy demand is expected to grow exceptionally in the coming years and has long suffered from air pollution. The Chinese say this arrangement will help meet these growing demands, plus improve air quality in the country. The use of 38 Bcm of natural gas instead of coal will cut the emissions of CO2,SO2 and NOX by 163.78 million ton, 1.82 million ton and 0.46 million ton, respectively.

Previously, the Lanzhou-Zhengzhou-Changsha pipeline, with a total length of 3023km was told to be the longest pipeline in China. This will, however, change now with the Chinese hitting new grounds. In 2014, this pipeline delivered 5.5 million ton of oil, doubling total delivery of 2.54 million ton in 2013, since becoming operational in 2009. It transports oil from western China to central China markets.

Moreover, this year the Myanmar section of the Myanmar-China oil pipeline jointly invested and built by CNPC and Myanmar Oil and Gas Enterprise (MOGE) was put into trial operation.

Starting at Maday Island on the west coast of Myanmar, this pipeline runs 771km through Rakhine, Magway, Mandalay and Shan before entering the Yunnan province. It is designed to transport 22 million ton of crude per annum, as well as potentially reduce China’s reliance on shipments via the Malacca Strait.

Source: Asian Oil & Gas

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