Shell, China's Guanghui Energy to Jointly Purchase LNG

Royal Dutch Shell and China’s Guanghui Energy will jointly purchase and distribute LNG, Shell said on Tuesday, reported Reuters.

Shell signed the non-binding framework agreement with Guanghui Energy which is building a gas receiving terminal in Qidong of Jiangsu province with handling capacity of around 600,000 tons in its first phase.

"Our cooperation with Guanghui has evolved and the current scope under discussion is a joint venture to purchase, import and on sell LNG through the Qidong terminal," Shell told Reuters in an emailed statement.

Guanghui Energy, an independent player in China’s LNG space, has plans to expand its Qidong terminal with phase two and three developments.