It is reported that Chinese oil giant Sinopec has increased its stake in a big liquefied natural gas project in Queensland.

Sinopec will now buy 7.6 million tonnes per annum of LNG through to 2035 up from 4.3 million tonnes per annum from the Australia Pacific LNG project on Curtis Island near Gladstone. It will also increase its shareholding in Australia Pacific LNG from 15% to 25%.

Premier Ms Anna Bligh said the deal further cemented Queensland as a major international coal seam gas to LNG player. She said "You can't build a brand new industry that could create 18,000 jobs without companies putting pen to paper and signing huge deals."

Ms Bligh said "A long term deal of this magnitude means jobs and prosperity from an industry that was just a pipedream here a decade ago."

The Bligh government has promised to pump half the royalties from LNG mining into an education trust for the state's students.

(Sourced from www.heraldsun.com.au)