Sinopec Gas signs SPA for company's coal-to-gas output

Jun 19, 2015 12:00 AM

Sinopec Gas, a unit of China’s second-biggest NOC, signed a sales and purchase agreement to buy the entire annual output of coal-to-gas company Xinjiang Longyu Energy Zhundong Coal Chemical, according to media reports.

The agreement will see Sinopec Gas buy the 4 billion cubic metres produced annually by the company – which is a subsidiary of Henan Energy and Chemical Xinjiang Group – starting in 2019.

Sinopec Gas will transport the gas to eastern markets through a 30 bcm/y pipeline including a trunk and six branch lines spanning 8,372 km.

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