In today’s talking points: Tibet hydropower to not have major impact on streams; China, Japan and South Korea pledge cooperation in energy sector; ChemChina, Sinochem in talks on possible $100 billion merger; China is LNG’s microcosm, and Australia is the biggest beneficiary
Tibet hydropower to not have major impact on streams
China has plans to build large hydropower stations in Tibet to help fuel its growing domestic demand for electricity. These plans come among fears that the stations will have a negative impact on streams utilised by the stations. A senior government official has said that the stations, which are due to go into full operation in 2019, will not have a major impact on downstream water supplies. The large hydropower stations could set Tibet as China’s largest hydropower generator, with rivers capable of carrying a total capacity of 140 gigawatts.
Read more at: Reuters
China, Japan and South Korea pledge cooperation in energy sector
Chiefs of trade from China, Japan and South Korea have come together at a trilateral meeting in Tokyo to promote cooperation within the energy sector, among others. In a bid to ensure stable procurement of liquefied natural gas, the three countries have agreed to strengthen cooperation in importing the gas. Concerns of rising protectionism in the energy sector, among others arose during the talks.
Read more at: South China Morning Post
ChemChina, Sinochem in talks on possible $100 billion merger
China could create a global oil and chemicals giant worth $100 billion in annual revenues if talks on merging chemical groups Sinochem and ChemChina come to pass. The possible merger exists as part of China’s central government’s efforts to reduce the number of smaller state-owned companies and create more competitive global industry players. The merger is said to be beneficial to both ChemChina and Sinochem. An official Sinochem spokesman commented on the possible merger saying he was not aware of it, however both companies’ shares have since increased since news of the merger broke.
Read more at: Oil price
China is LNG’s microcosm, and Australia is the biggest beneficiary
China is the bright spot of oversupplied liquefied natural gas (LNG) markets, with its imports of the super-chilled fuel almost doubling to 2.53 million tonnes in September compared to the same month last year. Currently China’s biggest LNG supplier is Australia, with import of the fuel skyrocketing to 101.3 percent in the first nine months of this year to 8.13 million tonnes. Australia’s share of China’s imports is now at 45 percent, which is far ahead of Qatar, the next largest supplier. The trend of Australia grabbing increasing larger share of Asia’s LNG markets is just getting started, and Australia will overtake Qatar as the world’s largest LNG producer.
Read more at: Reuters