The parties will jointly construct two interprovincial gas pipelines, namely, Shanxi Heshun – Hebei Xingtai Pipeline and Shanxi Licheng – Hebei Handan Pipeline, for the supply of coal-bed methane (natural gas) to Hebei Province.
The cooperation will help China Suntien explore alternative natural gas supply source, which is said to be an important measure to enhance the company’s natural gas supply diversification.
Shanxi International Energy Gas is a wholly-owned subsidiary of state-owned enterprise Shanxi International Energy Group Co, which is mainly engaged in the exploration, utilization and market operation of coal-bed methane (natural gas).