China’s Hubei Energy Group is eyeing an investment in the region of 2.6 yuan ($412 million) in liquefied natural gas (LNG) infrastructure on the Yangtze River.
The company signed a letter of intent with the Zhejiang city government to carry out the investment in clean energy including LNG stations on the Yangtze River as well as the ship-to-shore transfer systems.
According to the company’s statement, it could take three to five years to develop the LNG infrastructure in the Hubei province to promote the ‘gasification of the Yangtze River’.
Initially, CNPC and Chongqing Petroleum to process 500 million cubic meters of LNG at its facility in Huanggang, while selecting suitable sites for the LNG receiving and fueling stations along the river.
In the next step, Hubei Energy, in cooperation with the Three Gorges Group, both state-owned companies intend to speed up the construction of the LNG infrastructure along the river and develop an LNG fueling system from Shanghai to Chongqing as soon as possible.