China gives go ahead for its first floating LNG facility

Will be located at the eastern port city of Tianjin.

The China National Offshore Oil Corporation noted the facility will be a first for China, representing a US$539 million investment. It said the government gave final approval for the LNG import terminal only a day ago.

A national development commission approved the plan last month. The floating LNG terminal will be in place by October an is designed to process 100 billion cubic feet of natural gas per year.

The floating LNG vessel will be contracted from French energy company GDF Suez to CNOOC. China is taking on more natural gas as its economy is expected to expand by 7.7% next year. CNOOC in April formalized a deal with GDF Suez for the floating liquefied natural gas vessel.