Under this agreement, China Natural Gas will conduct the installation and construction of the natural gas delivery systems for the sites, and will also construct natural gas filling stations in the planned areas.
The committee is expected to grant China Natural Gas favorable pricing on any land to be purchased for the project and will provide necessary assistance to ensure smooth progress of the company’s projects.
The multi-year project is estimated to involve the development of 35sqkm and will begin operations by the end of 2008. The company plans to invest approximately $30 million over the next several years based on the committee’s planning schedule.
Qinan Ji, CEO and chairman of the board of China Natural Gas, said: We believe the project will further solidify our position in the Xi’an City. With a growing awareness of the benefits of natural gas among provincial and local governments, we believe we are well positioned to pursue similar opportunities in the future.
