Beijing Gas Blue Sky has conditionally agreed to invest 1.2 billion Hong Kong dollars ($154 million) to acquire 29 percent equity interest in an LNG terminal in Caofeidian.
The deal has been agreed with Beijing Gas HK and Beijing Gas Group, according to a statement by Beijing Gas Blue Sky. The statement notes that the deal will be covered through the issuance of 2.4 billion company shares.
Upon completion of the transaction, Beijing Gas HK that currently owns 26.87 percent in the company will increase its stake to 41.24 percent.
Beijing Gas Blue Sky will acquire the stake in the terminal through the acquisition of a Beijing Gas HK unit, a company that holds a stake in PetroChina Jingtang. The company engages in the provision of port facilities for vessels, provision of cargo handling services, warehousing and loading services within the port area, and operates the LNG terminal in Caofeidian Industrial Zone, Tangshan City, Hebei Province.
The receiving terminal consists of a port project, receiving terminal project with a planned handling capacity of 10 million tons per year and out-terminal pipelines. Regasified LNG will be delivered to the Yong Tang Qin pipeline, and then to Shaanxi-Beijing second line pipe network in the west and Northeast pipe network in the east.