Jereh Group Wins China-Myanmar Gas Storage Contract

Jereh Group has been awarded an engineering, procurement and construction contract for a gas storage project in Guizhou province, China, it said September 21. The scope includes a natural gas liquefaction plant with the production capacity of 10.59mn ft³/d and a supporting storage tank of 5,000 m³.

The project will back up supplies through the China-Myanmar gas pipeline and promote the strategic development of Guizhou, the company said, adding that the LNG peak shaving facility would also be used to store natural gas in summer which would then be taken out in winter to meet heating demand.

China's first shale gas liquefaction plant constructed by Jereh (Credit: Jereh group)

The LNG can be transported by tankers to the city for civilian use, increasing gas use in the neighbouring provinces of Guangxi, Guizhou and Yunnan, Jereh said. 

The natural gas pipeline links China to Myanmar's Shwe gas field, which is controlled by a consortium including Myanmar Oil and Gas Enterprise (MOGE), Daewoo International, ONGC Videsh, Kogas and Gail India.

Shardul Sharma