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China-Myanmar gas pipeline to come online this year and spark growth

13th May 2013

China-Myanmar USD 4bn 800 km pipeline to launch this year will bring socio-economic benefits to country and offer important connection to offshore Shew gas field

China: Shew gas pipeline to come online this year and spark growth
Set to come online this year, the pipeline crosses 21 townships and spans 800 km, will give the region strategic access to Myanmar’s offshore Shwe gas field

The Shew gas pipeline is set to come online this year. As the project nears completion, two Chinese firms with a stake in the Shwe gas pipeline development project held a press conference to highlight the socio-economic benefits of the USD 4bn Chinese mega project for Myanmar, the country’s The Irrawaddy reported.


Major stakeholders Southeast Asia Gas Pipeline Company and Southeast Asia Crude Oil Pipeline Company met with press in Rangoon to focus on the advantages of the project for the country.


“The project has a positive significance for economy and society of both countries and obtains wide support and affirmation across Myanmar,” both companies said in a document presented at the event.


The document highlighted community support projects that the firms have built near the pipeline. Some USD 20m have been set aside for the construction of local schools, health clinics and government buildings, the companies also said.


The nation's central government will earn approximately USD 29bn from the project over the next three decades, according to estimates.


The oil and gas pipeline runs from Kyaukpyu Township on the Arakan State coast to Kunming, southern China. The pipeline crosses 21 townships, spans 800 km and will give the region strategic access to Burma’s offshore Shwe gas field.

The Shwe Gas project is a joint venture between Chinese state-owned China National Petroleum Corporation and the Myanmar Oil & Gas Enterprise. China signed an agreement with Burma in 2008 to build the pipeline.


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