China’s CNOOC to start up Datong coal-based gas project in 2014

SINGAPORE (ICIS)--China National Offshore Oil Corp (CNOOC) plans to start up a 2bn cubic metre (cbm)/year coal-based gas plant at Datong in Shanxi province, north China, in 2014, a company source said on Thursday.

The company started building the plant in April this year, according to the source.

The yuan (CNY) 24.8bn ($3.98bn) project will also consist of a second-phase project, with the same production capacity at the same site, which is expected to be completed in 2016, he said.

The project is co-funded by CNOOC, the Datong government and Datong Coal Mine Group, with CNOOC holding a controlling stake.

The project will consume coal supplied by Datong Coal Mine Group, and will be equipped with gas pipelines and a 1.5m cbm/day liquefaction plant.

State-run CNOOC is the largest offshore oil and gas producer in China. It is also the country’s biggest importer of liquefied natural gas (LNG).

($1 = CNY6.23)

By Jane Han
icisnews.asia@icis.com