THE WALL STREET JOURNAL: Shell Forms $91M JV To Build Gas Pipeline In East China (ShellNews.net) Posted 12 May 05
DOW JONES NEWSWIRES
BEIJING -- Royal Dutch/Shell Group (RD) said Wednesday it has agreed to form a joint venture with Hangzhou Gas (Group) Co. to build a gas pipeline in Hangzhou, in coastal Zhejiang province, marking Shell 's first move into China's gas-distribution market.
The joint venture will have a total investment of US$91 million and will build, operate and manage a 117-kilometer pipeline and two city gate stations, Shell said.
Hangzhou Gas will hold 51% of the joint venture, Shell 39% and Hong Kong & China Gas Co. (0003.HK) the remaining 10%.
The project is expected to be completed in 2008 and will reach full operating capacity of 600 million cubic meters of gas per year in 2010, the company said.
Shell has been actively involved in building gasoline stations with Chinese companies.
-By China Bureau, Dow Jones Newswires; 8610 6588-5848; firstname.lastname@example.org
(Jane Yu contributed to the story.)
-Edited by Andrew Bullard
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