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Sinopec Puts Largest Gas Storage Cluster in North China into Operation, Providing 10 Billion Cubic Meters of Gas Storage

BEIJING, Oct. 18, 2021 – The Wei 11 gas storage facility built by China Petroleum & Chemical Corporation's (HKG: 0386, "Sinopec", “the Comany”) in its Zhongyuan Oilfield region successfully completed its first gas injection on October 18, marking the beginning of official operation of the largest underground natural gas storage cluster in north China.

Sinopec Puts Largest Gas Storage Cluster in North China into Operation, Providing 10 Billion Cubic Meters of Gas Storage.

The gas storage facility has a capacity of 10.03 billion cubic meters and will become a strong resource guarantee for gas storage and peak shaving from winter through spring in north China and the Yellow River Basin as well as ensuring a stable gas supply.

Sinopec’s Zhongyuan gas storage cluster now has three blocks, the Wen 23, Wen 96 and Wei 11. The Wei 11 gas storage facility that’s now up and running is a key component of establishing the natural gas storage cluster reaching 10 billion cubic meters. The block is located at the junction of Henan and Shandong provinces and has a designed capacity of 1.009 billion cubic meters. The largest daily peak shaving capacity of the Wei 11 gas storage facility is 5 million cubic meters, which can meet the gas demands of 10 million households every day.

In addition, Sinopec will have its Wen 13 West and Bai 9 gas storage facilities in the Zhongyuan Oilfield region up and running by the end of this year after completing construction and gas injection, adding an estimated 1.116 billion cubic meters of gas storage capacity further enhancing the company’s gas storage and peak shaving capacities.

Gas storage is underground “natural gas banks,” an energy infrastructure integrating seasonal peak shaving, emergency accident gas supply and national strategic energy reserves. As the proportion of natural gas continues to expand in China’s energy consumption structure, the peaks and valleys of natural gas supply as well as seasonal differences is becoming increasingly prominent. The gas storage can “deposit” the surplus of natural gas in the market and “draw” in time of supply shortage during the winter heating season to achieve natural gas peak shaving.

Sinopec continues to accelerate the construction of gas storage facilities and improve gas storage and peak shaving capabilities in China. The Company is stepping up to complete key projects including the Zhongyuan gas storage cluster and Huangchang gas storage facility in Hubei Province and more after completing the gas storage facilities including Yong 21 in Shandong Province, Wei 11 in Zhongyuan Oilfield region, Guxi in Jilin Province and Qingxi in Sichuan Province, steadily expanding the scale of natural gas storage and effectively improving the storage capacity and gas peak shaving capability to guarantee the supply of natural gas.

Information source:SINOPEC
2021-10-18
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