British multinational oil and gas company BP has started supplying its customers in China with gas from liquefied natural gas (LNG) that it has imported into the country.
The firm claimed that it is the first time it has created a completely integrated gas value chain into China, linking directly upstream resources, transportation and trading with downstream gas customers.
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Under BP’s new terminal usage agreement, the first cargo of gas was delivered at the Guangdong Dapeng LNG Company Limited (GDLNG) import terminal in Shenzhen, Guangdong Province, on 24 January this year.
As per the agreement, BP has an annual 600,000 tonnes of tolling regasification capacity at GDLNG, in which BP holds a 30% interest.
BP senior vice-president of integrated gas and power Federica Berra said: “Today represents an important milestone for our operations in China, growing our presence and connecting right along the gas value chain. With our world class technologies, marketing and trading capabilities, we have developed an innovative, diversified and flexible integrated business model enabling us to both provide more LNG to the region and also increase our access to downstream gas markets.”
In 2020, BP signed agreements with Guangdong-based firms ENN Group and Foran Energy to supply each with 300,000 tonnes of pipeline gas, re-gasified from LNG, for a period of two years, starting from 2021.
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By GlobalDataBP China president and BP senior vice-president, regions, cities & solutions for China Simon Yang said: “Increasing the availability of natural gas to customers across China supports and is aligned with the country’s aim to increasingly switch from coal to gas. We will continue to steadily grow our footprint here and more importantly support China in its aims for a better and cleaner energy future.”
The first LNG truck fleet from the Shenzhen Dapeng LNG Marketing Company (SZDP) also made its journey.
