Huaneng unveils gas project in Xinjiang
LEADING Chinese power company Huaneng yesterday said it has launched a 26 billion yuan synthetic natural gas project in northwest China's Xinjiang Uygur Autonomous Region to boost energy exploration and production.
The project based in Qitai County of Xinjiang will turn coal from the Dajing mining area in the East Junggar coalfields into natural gas which will be transported to energy-hungry regions outside Xinjiang, Huaneng Group said.
The first stage of the project's construction will be completed by 2013 and it will have an annual natural gas output of 4 billion cubic meters, a corporate source said. The gas sales will generate 7 billion yuan in annual revenue and 2.5 billion yuan in annual profit and taxes, the company said.
Zhang Tingke, deputy president of the group, said the project, the biggest of the kind in the region, will be environmentally friendly and energy-conserving. The power giant also said on Monday that it would spend more than 100 billion yuan in Xinjiang over the next 10 years to boost energy exploration in the Junggar Basin, the Turpan Basin and Hami.
Huaneng's move echoes the central government's support package for Xinjiang region unveiled at meeting held in Beijing last month. The support package stressed the region's natural resources should be developed in their own time while the construction of energy projects should be accelerated.