China National Petroleum Corp (CNPC), the country’s largest oil and gas producer, said it has set up a work group for the formation of the Central Asia Gas Pipeline Co, signalling that the company has now officially launched the Sino-Turkmenistan gas cooperation project.
CNPC, the parent of PetroChina, signed agreements on 17 July to import 30 bln cubic meters of natural gas annually over the next 30 years from Turkmenistan, via the planned Central Asia Gas Pipeline.
The pipeline linking the two countries is designed to go through Uzbekistan.
The July 17 signing was witnessed by President Hu Jintao and visiting Turkmenistan President Gurbanguly Berdymukhammedov.
The two parties also signed a production-sharing agreement for the development of the Bagtyiarlyk gas field in northwest Turkmenistan.
Turkmenistan’s estimated 2.1 trln cubic meters of gas reserves have attracted the attention of a number of countries, including the United States.