China Knowledge reported that Green Dragon Gas Ltd, one of the largest independent gas firms operating in China has inked an agreement with PetroChina Co Ltd to gain access to the latter firm West East 1 pipeline.

Pursuant to the agreement, Green Dragon Gas will build a 7.5 kilometer pipeline to connect the 4,000 kilometres West East 1 pipeline which starting from Lunnan oilfield of the Xinjiang Uygur Autonomous Region to Shanghai.

The 7.5 kilometres new pipeline which will cost USD 2.5 million is designed to have an annual gas delivery capacity of 6.45 billion cubic feet and will be completed at the end of this year. Upon the completion of the new pipeline, Green Dragon Gas has rights to deliver natural gas via West East 1 pipeline for 20 years.

Mr Randeep Grewal Chairman of Green Dragon said in addition, London-listed Green Dragon Gas plans to list on the Hong Kong Stock Exchange at the end of September.

(Sourced from China Knowledge)