Monday, December 21, 2009

Myanmar: China gets exclusive operating rights of China-Myanmar oil pipeline

Xinhua - China National Petroleum Corp (CNPC), the country's biggest oil and gas producer, announced on Monday it has signed an agreement with Myanmar's Energy Ministry to receive exclusive rights to build and operate the China-Myanmar crude oil pipeline.

The deal has granted operating concession of the pipeline to the CNPC controlled South-East Asia Crude Oil Pipeline Ltd., said CNPC.

The pipeline company will also enjoy tax concessions and customs clearance rights, said a report on the CNPC website.

The agreement stipulates the Myanmar government should guarantee the company's ownership and exclusive operating rights, as well as the safety of the pipeline.

The 771-kilometer pipeline, extending from Maday island, in western Myanmar, to Ruili, in the southwestern Chinese province of Yunnan, is expected to carry 12 million tonnes of oil a year initially.

Published by i On Global Trends - Mike Hitchen Online - news, opinion, analysis
See also Sydney Irresistible and Mike Hitchen Unleashed
Putting principles before profits
Blog will be on holiday Dec 23 - Jan 04 (Sydney time)