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China's Sinopec raises winter gas supply by 11% on year to 8.4 Bcm


China's state-owned giant China Petroleum and Chemical Corporation or Sinopec expects to supply 8.4 billion cubic meters of gas to the domestic market this winter, an 11% increase year on year.

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In a statement on the website of its parent Sinopec Group, or China Petrochemical Corp., Sinopec said more gas will be sent to economic centers, including Shanghai, Jiangsu, Zhejiang, Chongqing and Sichuan, from November this year to March 2015.

Sinopec said its full-year gas production is expected to rise 8% from 2013 to 20 Bcm, with increases coming from its Zhongyuan as well as Xinan and Xibei fields.

The company said internal adjustments of gas consumption, including building coal-to-hydrogen units at some of its refineries to lower their appetite for gas, has resulted in additional gas supply of roughly 2.5 million cu m/day to the market.

The state-owned company recently commissioned its inaugural 3 million mt/year LNG receiving terminal in Qingdao in eastern Shandong province, which will deliver gas to 22 million households in the area.

Natural gas in China is primarily used for heating in the residential sector. Temperatures in much of northern China this year plummeted a month earlier than usual, with the first cold front sweeping through the region at the end of November.

--Song Yen Ling,
--Edited by Wendy Wells,