Sinosky Energy starts natural gas project in Macau

29 June 2007

Macau, China, 29 June – Sinosky Energy has begun the first stage of an infrastructure project to supply natural gas to Macau involving investment of US$ 25 million.

Sinosky Energy is a joint venture between China Petroleum and Chemical Corporation, and Macau Natural Gas, which has been awarded a 15-year concession to import gas to Macau.

The future gas supply plant, situated on landfill between Taipa and Coloane islands, will be operational in October this year. It is expected that gas supply to the Companhia de Electricidade (CEM) power station will begin by the close of 2007.

Sinosky Energy’s CEO, Xie Dan, has said his company will supply around 30 million cubic meters of gas to Macau this year. This will increase to 180 million cubic meters by 2008 and 2009, rising gradually to 520 million cubic meters in 2015.

The second stage of the project will start this year, valued at US$ 1 billion, and involves the building of a gas plant and terminal in Zhuhai that will be concluded in 2010.

Macau energy officials say that from October between 1 and 20 percent of the territory’s energy will come from gas. CEM currently uses diesel generators to produce electricity in the Chinese enclave city.

It is forecast that CEM will import 30 percent of Macau’s 2007 energy needs from China. (macauhub)