CHINA MINING News

B&R Forum fuels energy deals

Source: www.chinamining.org     Citation: China Daily       Date: May 17, 2017

Workers at the Mtwara natural gas project in Tanzania. The pipeline, constructed by China National Petroleum Corp, is one of the projects in the Belt and Road countries and regions. ZHANG PING / XINHUA

CNPC reaches agreements worth $20b at landmark Beijing meeting 

China has agreed a batch of energy deals worth $20 billion with economies participating in the Belt and Road Forum for International Cooperation, which ended in Beijing on Monday, according to the head of China National Petroleum Corp, the country`s biggest oil and gas company. 

Deals signed during the forum included Saudi Arabian Oil Co taking a stake in CNPC`s Yunnan refinery, a $4 billion agreement for a natural gas processing plant in Azerbaijan with State Oil Co of Azerbaijan, gas storage and gas-fired power projects with Russia`s Gazprom PJSC, and a geothermal project in Kenya, it said. 

"CNPC will deepen cooperation with economies participating in the Belt and Road Initiative in the oil and gas sector, consistently promoting energy and infrastructure cooperation," said Wang Yilin, CNPC chairman, during the Belt and Road Roundtable for oil and gas cooperation in Beijing on Tuesday. 

Oil majors from Russia, Kazakhstan, Azerbaijan, Iraq, Uzbekistan, Sudan, Myanmar and China participated in the roundtable. 

Zhao Huirong, a researcher at the Chinese Academy of Social Sciences, said energy cooperation is the highlight of the Belt and Road Initiative, and the energy sector offers promising returns in overseas cooperation. 

CNPC currently has more than 50 joint projects underway in 19 countries and regions participating in the Belt and Road Initiative, including Russia, Kazakhstan, Turkmenistan, Iraq, Iran, Indonesia and Singapore. 

It said that its equity oil and gas production exceeded 59 million metric tons in 2016. 

It is also looking forward to oil and gas cooperation with the United States, as it is seeking to import more crude oil and natural gas from the country and is considering participating in US LNG exports. 

As China, the world`s biggest energy consumer, looks to further diversify its crude supply, the US is likely to be one of these sources due to its rich oil and gas resources. 

The CNPC chairman said the company should speed up cooperation with resource countries to develop assets in order to meet China`s growing need for oil and gas. 

China overtook the US as the world`s biggest oil importer in October, and it surpassed Canada as the top buyer of US crude in February. 

Li Li, energy research director at ICIS China, a consulting company that provides analysis of China`s energy market, said US natural gas is reasonably priced, and it is mutually beneficial to carry out oil and gas cooperation.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

China to expand oil, gas cooperation with B&R countries

Source: www.chinamining.org     Citation: Xinhua          Date: May 17, 2017

China is looking to step up oil and gas cooperation with countries and regions along the Belt and Road, according to the country`s oil giant. 

At a round-table conference Tuesday, Wang Yilin, chairman of the China National Petroleum Corporation (CNPC), proposed that a mechanism be set up to facilitate regular exchanges of ideas among Belt and Road countries on oil and gas cooperation.

"An oil and gas community with shared benefits will not only be important to countries and regions along the routes, but it will also benefit the whole world in terms of economic prosperity and energy safety," Wang said at the conference.

Regional natural gas connectivity should be strengthened, the construction of the Asian oil and gas trading center should be pushed forward, and a social public welfare fund should be set up to facilitate such cooperation, Wang proposed.

So far, CNPC has participated and managed 50 oil and gas investment projects in 19 countries and regions along the Belt and Road. By the end of 2016, CNPC had invested more than 51 billion U.S. dollars in areas along the routes, and created more than 80,000 long-term jobs for local residents.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

Chinese companies called to help upgrade refining capacity along Belt and Road

Source: www.chinamining.org     Citation: chinadaily.com.cn          Date: May 15, 2017

Thomas Luedi, global partner of A. T. Kearney made a speech on the chemical industry in Beijing on May 10, 2017.[Photo provided to chinadaily.com.cn]

Global Consultancy A. T. Kearney advised Chinese chemical companies to address Belt & Road countries` aspiration to develop their own oil refining industry.

A. T. Kearney made the suggestion in a report, Global Opportunities for the Chinese Chemical Industry, which it jointly released on Wednesday with China Petroleum and Chemical Industry Federation (CPCIF). The report also said that these countries have been deterred by the lack of funds, technology and equipment to do so. 

China`s annual refining capacity reached 720 million tons by the end of 2016 and the country has 24 large-scale refineries in operation. It owns critical intellectual property and world-class technologies and has significant experience planning and constructing large-scale refineries, the report said. 

The report also stated that nine countries, including India, Iraq, Russia, the United Arab Emirates, Malaysia, Saudi Arabia, Vietnam, Turkey and Egypt, plan to expand oil refining capacity by more than 160 million tons. 

It further pointed out that refining facilities in many countries need urgent upgrades. For example, refineries in Russia, Kazakhstan, Uzbekistan, Kyrgyzstan, Azerbaijan and Ukraine were mainly built during the era of the former Soviet Union and many refineries in the Middle East, such as those in Iraq, Oman, Kuwait and Egypt, were built in the 1950s and 1960s. It added that most refineries in Southeast Asian countries, like in Myanmar, Thailand and the Philippines, were built in the 1970s and 1980s. 

The report concludes that Chinese refiners are strongly positioned to collaborate with partners along the Belt and Road, with a primary focus on ASEAN, the Middle East, Central Asia and Russia, and to participate in greenfield, upgrading and expansion projects. 

However, although opportunities are aplenty for Chinese companies, Zeng Jian, CPCIF Party chief, warned that Chinese companies need to pay attention to different cultures and policies among different countries along the Belt and Road to lower risks.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

China-Myanmar oil, gas project benefits both 

Source: www.chinamining.org     Citation: Xinhua           Date: May 11, 2017

The China-Myanmar crude oil and gas pipeline, a pioneer project of the China-proposed Belt and Road Initiative, has brought tangible benefits to both sides, and won broad support. 

The pipeline project consists of a crude oil pipeline and a natural gas pipeline, which run from the port of Kyaukpyu on Myanmar`s west coast to Ruili in China`s Yunnan province. The crude oil pipeline was put into formal operation last month, while the gas pipeline went into full operation in 2013. 

The project is important for the connectivity and infrastructure construction among the Bangladesh, China, India and Myanmar (BCIM) economic corridor, as well as China and the Association of Southeast Asian Nations (ASEAN).

The oil pipeline has a designed annual transport capacity of 22 million tons, while the natural gas pipeline has a designed annual transport capacity of 12 billion cubic meters. 

Since the operation of the gas pipeline, the project has brought economic benefits and public interest to Myanmar, including national revenue, investment bonuses and training funds, improving the living standard of the people along the project area. 

For instance, Made Island Port in Myanmar`s western Rakhine state, where oil off-loading arms were erected, is now an important window of China-Myanmar economic and trade cooperation and a stellar example of luring foreign investment to Myanmar.

"We strongly support this project. There were only four hours of electricity supply per day previously, while we now have electricity around the clock. Before, we used rain water but now we can get purified and clean water. It`s very good, very convenient indeed! We really appreciate what they have done," U Hla Kyaw, a villager on the island, told Xinhua earlier. 

The natural gas pipeline directly benefits the inhabitants along the pipeline in Myanmar. The natural gas is carried to a gas-operated power plant in Kyaukphyu Township in Rakhine state, easing the shortage of electricity and bringing down electricity charges. Previously, electricity was generated by diesel power. 

U Thein Soe, head of Kyaukphyu County, said by having a natural gas pipeline, Kyaukphyu has become the first township to enjoy a 24-hour electricity supply thanks to the gas-operated power plant in Rakhine state. 

But there are even more tangible benefits. The island, which used to have no roads, fresh water, mobile phone signal, or even commodities, has been modernized thanks to the project. 

The China-Myanmar oil and gas pipeline has effectively driven the development of Myanmar`s petrochemical production, raised the degree of local industrialization and electrification, promoted its socio-economic development and created job opportunities. 

For China, the project is also beneficial. Since becoming operational in 2013, the China-Myanmar natural gas pipeline has supplied gas to three Chinese provinces - Yunnan, Guizhou and Guangxi - as well as other counties and cities, effectively raising the capability of guaranteeing the supply of more gas to the region. 

The project also speeded up the pace of supplying gas to Yunnan. 

With such a project, China has realized its hope of opening up an Indian Ocean energy channel and diversify crude oil imports. 

The Belt and Road Initiative, comprising the Silk Road Economic Belt and the 21st Century Maritime Silk Road, aims to build a trade and infrastructure network connecting Asia with Europe and Africa along, and beyond, the ancient Silk Road trade routes.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

China to toughen efforts in cutting excess capacity

Source: www.chinamining.org     Citation: Xinhua          Date: May 11, 2017

China will carry on phasing out sub-standard production capacity, especially in fields of steel and iron, coal-mining and coal-fired power plants, to keep up with targets set for the year. 

The decision was made at a State Council executive meeting, which was presided over by Premier Li Keqiang on Wednesday. 

Li listened to reports on the latest progress of this year`s campaign to cut excess capacities of steel, iron, coal-mining and coal-fueled power generation, as well as the findings of inspections over the drive in concrete and glass sectors.

Li said reforms offer the way forward in cutting overcapacity, which is a vital part of the supply-side structural reform. 

"China takes the initiative to reduce production capacity based on its own national conditions. The efforts are to make the growth model and economic structure shift to new economic drivers," he added. 

The government work report Li delivered in March set targets for this year to cut steel and iron overcapacity by 50 million tonnes and coal mining by 150 million tonnes respectively, as well as to phase out coal-fired power generation capacity of more than 50 million kilowatts.

As of Wednesday, 31.7 million tonnes of steel and iron capacity and 68.97 million tonnes of coal capacity have been cut, accounting for 63.4 percent and 46 percent of their annual goals respectively. 

The meeting decided to adopt more methods based on market rules and related laws while phasing out outdated capacities. It also decided to eliminate illegal productions and prevent shutdown production from flaring up again.

By the end of June, all facilities to produce inferior-quality steel bars will be dismantled across the country. All coal mines scheduled to close this year will stop production by the end of August and will be phased out by the end of November. Close attention will be paid to prevent overcapacity of coal-fired power generation and make room for clean and better energy mix to develop.

The meeting called for support to set up platforms for startups in cities reliant on the steel and coal industries to increase employment opportunities. A new mechanism will be set up to help workers get jobs in regions with strong demand for labor. The central government will promptly allocate subsidies to guarantee welfare for relocated employees, in combination with local funds and other support. 

Further endeavors will also be made to tackle debts incurred to companies with excess capacity. 

The meeting also encouraged companies in these sectors to seek strength through mergers. Third-party assessment will be introduced to help strengthen governmental supervision.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

CGN deepens ties with Kazakhstan

Source: www.chinamining.org     Citation: China Daily       Date: May 10, 2017

The uranium subsidiary of China General Nuclear Power Corp, the country`s largest nuclear operator, is looking to expand nuclear fuel supply deals with Kazakhstan, including uranium exploration, trade, nuclear fuel pellets and component processing. 

It has also vowed to further explore the high-tech component-processing field, and take advantage of the opportunities offered by the Belt and Road Initiative. 

According to Yu Zhiping, general manager of the company`s uranium subsidiary CGN Uranium Resources Co Ltd, the nuclear fuel fabrication plant in Kazakhstan, a joint venture between KazAtomProm and CGN, is under construction and on schedule, and is expected to be operational by 2019. 

"The fuel will be supplied mostly to CGN projects at home and abroad. China and Kazakhstan will seek third party markets as well," Yu said at a news conference in Beijing on Tuesday. 

"The fuel will also be supplied to Kazakhstan`s planned nuclear plant, and in the expansion of cooperation with Kazakhstan in both uranium production and fuel assembly." 

Being the first uranium mining project invested overseas, the Semizbay mine project in Kazakhstan has not only helped secure CGN`s uranium assets abroad, but also helped the company gain experience in the operation and management of uranium overseas, said Yu. 

According to Tan Jiansheng, CGN`s vice-general manager, CGN has business in 20 countries and revenue from overseas accounts for more than 20 percent of its total. 

Kazakhstan is the world`s leading uranium producer, accounting for 39 percent of output in 2015, and KazAtomProm has said it aims to supply up to one-third of the world fuel fabrication market by 2030. 

CGN has been seeking more uranium resources globally, and has secured uranium projects in countries such as Namibia, Kazakhstan and Australia. 

Last year, CGN paid $63.78 million for a nearly 20 percent stake in Canada`s Fission Uranium Corp.

A report on China`s power utilities M&A trends, by Bloomberg Intelligence by Joseph Jacobelli and Charles Shum, revealed that domestic and overseas M&As by Chinese electric power utilities are expected to accelerate in the next few quarters thanks to financial strength and policy support. 

CGN, China`s leading listed power developer by market value, has also been focusing on uranium assets in Australia, it said. 

According to Jacobelli, many businesses are keen to invest overseas, motivated in part by China`s national power glut, the result of new capacity outstripping demand.

"Being the world`s fifth-largest nuclear operator, CGN has witnessed impressive performances in nuclear power, nuclear fuel, nuclear power station digital instrument control and clean energy sectors taking advantage of the Belt and Road Initiative," Tan said. 

"The company has become the biggest investor in Ireland, the biggest independent power generator in Bangladesh and Egypt, the biggest foreign direct investor in Malaysia. It had also involved in the biggest physical investment project in Africa."

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

China questions EU ruling on Chinese hot-rolled coil

Source: www.chinamining.org     Citation: Xinhua          Date: May 09, 2017

China`s Ministry of Commerce (MOC) on Friday questioned the European Commission`s (EC) anti-subsidy ruling on Chinese hot-rolled coil, criticizing improper practices in the investigation.

The commission has ruled that Chinese producers of the steel product received subsidies ranging from 4.9 percent to 42.6 percent. 

Ignoring the fact that Chinese commercial banks operated independently in accordance with market principles, the EC asserted their loans to the producers were preferential lending, said Wang Hejun, head of the trade remedy and investigation bureau at the MOC. 

The commission also wrongly took banking loans obtained by state firms as bestowal, which inflated the subsidy range, Wang said. 

China urged the EC to strictly abide by WTO rules to correct the improper ruling as soon as possible, he stressed, pledging to take necessary measures to defend the rights of Chinese companies. 

Hot-rolled coil, a major variety of steel product, is widely used in construction and machinery building.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.

China joins UK nuclear energy development for Hinkley Point Project

Source: www.chinamining.org     Citation: CGTN          Date: May 03, 2017

In the remote countryside of southwest Britain, construction has started on the first permanent structures at the 25-billion-U.S.-dollar Hinkley Point nuclear power station. Financed jointly by the Chinese and the French, it`s a significant step towards building the UK`s first new nuclear power plant in nearly three decades. 

As CGTN`s Richard Bestic reports, three million cubic meters of earth have been moved for the project, about half of the final amount. And the first concrete has been poured, a significant moment of permanency. 

It`s taken years getting to this point, a remarkable joint venture involving the governments of the UK, China and France. For such a gargantuan project, it needs its own jetty for building materials shipped by sea. 

Running at full capacity, the reactor will provide around seven per cent of Britain`s energy needs - British consumers controversially repaying the initial cash outlay in higher energy costs.

For the governments of Britain and China, Hinkley Point could act as a possible trigger for a further eight nuclear power stations, some entirely paid for and built by China. This could prove to be not just a renaissance for the nuclear power industry here, but also for longer-term Sino-UK industrial links.

About CHINA MINING

Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.

CHINA MINING Congress and Expo 2017 will be held at Meijiang Convention and Exhibition Center in Tianjin in September 23-25, 2017. We invite you to join the event and to celebrate the 19^th anniversary of CHINA MINING with us.  For more information about CHINA MINING 2017, please visit: m.balanzskin.com.