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China picks sites for 2nd oil reserve phase

By Yan Pei
0 Comment(s)Print E-mail China.org.cn, July 26, 2011
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A strategic crude oil reserve base in Ningbo, Zhejiang province. [China Daily]

A strategic crude oil reserve base in Ningbo, Zhejiang province. [China Daily]

The second phase of China's national strategic oil reserve project is under construction, with eight reserve sites, the 21st Century Business Herald reported Tuesday.

The sites are located in Zhanjiang and Huizhou, Guangdong Province; Lanzhou, Gansu Province; Jintan, Jiangsu Province; Jinzhou, Liaoning Province; Dushanzi and Shanshan, Xinjiang Uygur Autonomous Region; and Tianjin.

Earlier this year, the National Energy Administration announced the completion of the first phase of the country's strategic oil reserves. Four sites were built, with a total capacity of 16.4 million cubic meters.

The total oil reserve capacity of the second phase will be 26.5 million cubic meters.

Tianjin's oil reserve will hold 3.2 million cubic meters of oil from Phase 1. China Petrochemical Corporation (Sinopec Group), which will operate the site, is also investing 10 billion yuan in building its own commercial crude oil and oil products reserves, with capacities of 3.2 million and 2 million cubic meters.

The strategic oil reserve is crucial to China's energy security. China pledged in its 12th Five-Year Plan to "reasonably plan energy reserve infrastructure and improve oil reserve system."

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