Yesterday, July 4, in Beijing, Russia's Gazprom, Royal Dutch Shell, and ЕxxonMobil signed an agreement with China's PetroChina company for the founding of a joint venture to build the first trans-Chinese West-East gas pipeline. According to Gazprom's press service, Gazprom, Royal Dutch Shell, and ЕxxonMobil will own 15% each of the jointly owned company, while PetroChina will own 55%. The agreement, which covers the development of gas fields in the Tarim gas-yielding area of China, the construction and use of the 4,000 km-long pipeline and gas sales in eastern China and includes special clauses concerning product sharing and establishing a single trading company, was signed for a term of 45 years.
Alexander Ananenkov, a deputy Chairman of the Board of Gazprom, said the project would be beneficial for the industrial development and residents of various regions of China.
According to Gazprom's press service, the first steps toward the carrying out of this project were made back in 1998. In all fuel used in China, gas accounts for just 2%. The project carried out, the figure is expected to reach 10%. Gas will be used for household and industrial heating, as fuel for the production of electricity, and as fuel and raw stock in chemical industry.