China green lights $55m gas pipeline project

The pipeline will connect Shanxi and Shaanxi province.

China has given its approval for a 34.2 kilometre natural gas pipeline to be built in Northern China.

The project has a total investment of CN¥354m ($55m) and will be built by Qinjin Natural Gas Co with an annual gas transmission capacity of 3.3 billion cubic metres. The gas pipeline will connect Ji in Shanxi and Yichuan in Shaanxi.

According to a release, 70% of the cost will be covered by bank loans whilst the remaining 30% by Qinjin.