China's first cross-provincial coalbed methane pipeline has been approved by the National Development and Reform Commission (NDRC), said China United Coalbed Methane Corp. on Thursday.
The project, with a total investment of 458 million yuan (67.4 million U.S. dollars), would channel coalbed methane from the Qinshui basin of Shanxi Province in north China to Henan Province in central China for use in homes and chemical factories.
There is no clear timetable, but the company said the construction would begin very soon and is scheduled to be completed by the end of 2009, sources with the company said.
The designed gas transport capacity of the pipeline is 1 billion cubic meters per year. China United Coalbed Methane Corp. would supply for the coalbed methane.
The 98.2-km pipeline would promote the development of coalbed methane in the Qinshui basin and help boost gas supply in areas along the channel, the NDRC said in a statement to the company.
(Xinhua News Agency October 30, 2008)