China Gezhouba : CGGC Signs RMB Ten Billion Contract for Natural Gas Processing Project in Russia

On July 4, the Contract Signing Ceremony for P1 Section of Amur Natural Gas Processing Plant Project between CGGC, a key member enterprise of CEEC, and Gazprom was held in Moscow. The Contract amount is about RMB 10 billion. Among the attendees were Mr. Chen Xiaohua- Member of the Standing Committee of the Party Committee and Deputy General Manager of CGGC, President of CGGC International, and President of CGGC Overseas Investment, Dmitry Konov- Chairman of SIBUR, and Miller- President of Gazprom, etc. The successful signing of contract for the Project is another major breakthrough made by CGGC in market development and expansion in oil & gas field, and an important achievement in implementing the requirements of leaders of China and Russia on enhancing the practical cooperation in the field of energy, which will provide new impetus for the economic and trading cooperation between China and Russia, and the construction of the 'Belt and Road'.

　　Scene of Signing Ceremony

After the ceremony, Mr. Chen Xiaohua of CGGC had a friendly communication with Markelov, the first Vice President of Gazprom. Both parties reached extensive consensus on comprehensively enhancing the cooperation. Mr. Chen Xiaohua introduced the development history, technical strength, investment and financing capacities, as well as the global business layout of CGGC to Markelov, and detailed the outstanding strength of CGGC in the filed of oil and gas, as well as the remarkable achievements made in the construction of the 'Belt and Road'. Mr. Chen Xiaohua noted that both parties are expected to take this opportunity to continuously enhance the mutual-beneficial cooperation in Russia, Middle and East Europe, and promote the integration of the 'Belt and Road' construction with the Eurasian Economic Union. Markelov highly praised the achievements made by CGGC in international operation. He noted that there are huge potentials for economic and trading cooperation between China and Russia, and that Gazprom is willing to establish long-term and practical cooperation with CGGC in construction of the 'Belt and Road', especially the energy field in Far East in Russia, so as to lead the comprehensive and strategic partnership between China and Russia to a new stage.

　　Both Parties Take Group Photos

In recent years, CGGC earnestly implements the policy of 'Going Global', continuously perfects its overseas market layout, attaches great importance to the development of markets along the 'Belt and Road', and has successfully achieved the 'leapfrog' development in international businesses. Amur Natural Gas Processing Plant Project is the first oil & gas project undertaken by CGGC in Russia. The successful signing of the Project is not only the fruit of CGGC's years of efforts in Russia, but also a model in proactively implementing the strategy of localized operation and establishing the win-win and mutual-beneficial cooperation with local partners.

It is learnt that Amur Natural Gas Processing Plant Project is located in Siwoboking District, Amurskaya Oblast, Russia, and is about 200km away from the Heihe River in China. It is the source of East Line of China-Russia Natural Gas Pipeline, the second large energy corridor, with the annual natural gas processing capacity of 42 billion cubic meters, and annual helium production capacity of 6 million cubic meters. After completion, it will become one of the largest natural gas processing plants throughout the world. The Owner Gazprom is a world-renowned comprehensive oil & gas group, which ranked 56th among the Global Fortune 500 in 2016. As an important link connecting the traditional friendship and friendly cooperation between China and Russia, the Project is of great significance for the achievement of Persified natural gas import, guarantee of energy supply safety, improvement of regional ecological environment along the pipeline, and acceleration of continuous and stable economic growth in both China and Russia.