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Transporte marítimo

PetroChina, Yantai Port to jointly build LNG, crude oil receiving terminals

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PetroChina, Yantai Port to jointly build LNG, crude oil receiving terminals

Singapore — State-run PetroChina's two subsidiaries on Wednesday signed contracts with state-owned Yantai Port Group to jointly build a new LNG receiving terminal and expand a crude oil terminal at Yantai port in eastern Shandong province, PetroChina said on its website Thursday.

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Kunlun Energy, a Hong Kong-listed subsidiary of PetroChina, and Yantai Port Group will jointly invest a total of around Yuan 7 billion ($1 billion) to build an LNG receiving terminal comprising four LNG storage tanks each 200,000 cu m in size, at the west Yantai port, and a dock capable of receiving 266,000 cu m LNG vessels, PetroChina noted.

Kunlun Energy currently runs three major LNG receiving terminals and a small LNG reserve storage, which are located at Rudong city in eastern Jiangsu province, Tangshan city in northern Hebei province, Dalian city in northeastern Liaoning province and Hainan island, with a total LNG receiving capacity of around 19.3 million mt/year.

Besides, the company has two LNG receiving terminal projects under construction. They are: the phase 3 Tangshan LNG receiving terminal and the phase 3 Rudong LNG receiving terminal, which are both expected to be completed by 2020, according to source with the company.

Kunlun Energy plans to build 11 LNG receiving terminals, with a total receiving capacity of 80 million mt/year by 2030, the source said.


At the same time, PetroChina Fuel Oil, another subsidiary of PetroChina, and Yantai Port Group will jointly invest around Yuan 5 billion to expand a crude oil terminal that is capable of berthing 300,000-dwt vessels, and crude storage tanks at the west Yantai port, and to build the phase 2 Yantai-Zibo, or Yanzi, crude oil pipeline in Shandong province, according to PetroChina.

But expansion and construction details are not available immediately.

The existing phase 1 crude oil terminal is operated by a joint venture between state-owned CNOOC and Yantai Port Group, which has been put into operation in September 2016.

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The phase 1 Yanzi crude oil pipeline, which was started up in end-2016, is also operated by CNOOC and Yantai Port Group, S&P Global Platts reported previously.

The 20 million mt/year Yanzi pipeline runs 450 kilometers, connecting the crude oil terminal at Yantai port with local refineries in Dongying, Zibo and Binzhou cities in Shandong province through pump stations along the way.


--Edited by Irene Tang,