CNOOC's Shanghai LNG Terminal Storage Tank Capacity Set for Expansion

Shanghai Development & Reform Commission and the Zhejiang Development & Reform Commission have jointly approved CNOOC’s plan to expand storage tank capacity at Shanghai LNG terminal.

With this approval, the storage tank expansion project has entered implementation phase, CNOOC Gas & Power, a unit of CNOOC which operates the terminal, said on June 13.  

After the completion of the project total LNG storage capacity will increase from current 495,000 cubic meters (3 x 165,000 m3) to 895,000 cubic meters.

CNOOC believes the project will improve the security of supply of natural gas in Shanghai. According to the company, the project holds great significance for energy development in Shanghai and Zhejiang provinces.

In January 2005, CNOOC Gas & Power of China signed an agreement with Shenergy Group for the development of the Shanghai LNG terminal. Comprising an LNG dock, a receiving terminal and a subsea gas trunk line, the Shanghai LNG project will ultimately have capacity of receiving six million tonne of LNG per annum after competition of two phases. Construction of the first phase of the terminal started in January 2007 and it was commissioned in 2009. The terminal’s current capacity is about three mtpa. It received first cargo in 2009 from Malaysia. 

At present, CNOOC has LNG import terminals in Guangdong, Shanghai, Fujian, Zhejiang, Zhuhai, Hainan and Tianjin. The seven LNG terminals have total unloading capacity of 27.8 million tons per year. In 2015, CNOOC’s LNG imports amounted to 13.15 million tons, accounting for nearly 70 percent of total of China's imports