A PYMNTS Company

China: Gov sets up national oil, gas pipe firm in drive to “boost competition”

By  |  December 9, 2019

China announced on Monday, December 9, the establishment of a national oil and gas pipeline company in a move intended to boost competition, the Xinhua state news agency reported.

The long-awaited state pipeline company aims to provide other investors fair market access to infrastructure that is mainly controlled by China’s three national oil companies, Xinhua stated.

“The new company will separate [oil and gas] transportation, production and sales, and open [transportation] to third-party entities, which will benefit market competition,” stated Xinhua, citing an unidentified official at the newly launched pipeline company.

The new entity is expected to manage most of the country’s pipeline infrastructure, controlled by energy giants China National Petroleum Corporation (CNPC), Sinopec, and CNOOC, and some underground natural gas storage, as well as a few liquefied natural gas terminals.

Full Content: South China Morning Post

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