Natural gas production in China jumped by 6% in the first half of this year, thanks to state companies pushing up domestic output as several new fields start production.
Production in the country stood at 123.6 billion cubic metres (bcm) in January to June, an annual 6% rise, according to data supplied by China’s National Bureau of Statistics (NBS) on Monday.
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The state body, established in August 1952, revealed that in June alone, gas production jumped by 9.6% annually. The data appeared on the local Xinhua news agency.
Earlier this year, Sinopec started production at the West Sichuan Gas Field in China’s Sichuan province, with the new field expected to contribute an annual output of 2bcm.
The field is estimated to contain total reserves of 100bcm of natural gas, and is anticipated to yield 130,000 tonnes of sulphur each year, according to US media reports.
According to data from Offshore Technology’s parent company, GlobalData, China looks set to lead upcoming oil and gas projects starts in Asia-Pacific by 2028.
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By GlobalDataChina is also trying to increase gas imports this year to meet rising demand, capitalising on liquefied natural gas (LNG) being at a relatively low price.
The country’s imports of natural gas rose by 14.3% in the first half of 2024 compared with the same period in 2023.
China may even beat its 2021 all-time high of LNG imports in 2024, as industrial and commercial sectors demand more of the it, according to a PetroChina representative in May.
Just prior to this, in April 2024, Offshore Technology reported that CL Holdings, a private Chinese power company, is refocusing its business strategy towards natural gas, setting up import facilities and a trading operation.
This pivot came after the company divested its solar assets, selling 220 solar stations and raising approximately 23.5bn yuan ($3.25bn).
At around the same time, QatarEnergy signed an agreement with China State Shipbuilding Corporation to construct 18 ultra-modern QC-Max-size LNG vessels.
The new vessels will be constructed at China’s Hudong-Zhonghua Shipyard, and the ships will feature “state-of-the-art technological innovation and environmental performance”, according to QatarEnergy.
