Sinopec starts building China's largest gas storage site

|By:, SA News Editor

Sinopec (SNP +0.9%) says it has begun building China's largest natural gas storage and logistics center, with the capacity to store up to 10B cm of gas, in Henan province.

China is investing in infrastructure from pipelines to storage tanks as the government prepares to switch to natural gas or electricity from coal-fired boilers and heating systems across 28 of its smoggiest cities by October.

Separately, South Africa's government is in talks with SNP regarding the company's takeover of Chevron's Cape Town refinery and will look to ensure that production capacity is retained and enhanced, the country's economic development minister says.

SNP is paying ~$900M for a 75% stake in CVX's South African assets and its subsidiary in Botswana, securing its first major refinery in Africa.

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