(16 November 2023) The Hong Kong and China Gas Company Limited (Towngas) recently visited Jintan District, Changzhou, Jiangsu, to participate in the signing ceremony of the project agreements on natural gas trade and the Danjin Expressway high-pressure pipeline. During the visit, representatives from Towngas and the Jintan District Government engaged in discussions regarding the utilisation of salt cavern resources, natural gas trade, interconnection of natural gas pipelines among cities in the Yangtze River Delta, as well as the exploration of salt cavern storage for hydrogen and energy storage.
Compared to the traditional method of storing natural gas in tanks at conventional liquefied natural gas (LNG) receiving terminals, storing natural gas underground at a depth of below 1,000 metres is both safe and land-saving. Towngas’ Jintan salt cavern gas storage facility achieves a significant cost saving of approximately 70% in terms of unit volume investment, leading to notable economic benefits. This project is the first of its kind in the country, where a city-gas enterprise took the lead in planning, investing, constructing, and operating a large-scale underground gas storage facility. It is also the first city gas storage facility in China to establish interconnectivity with the two major gas transmission arteries of PipeChina, namely the West-East Gas Pipeline and the Sichuan-East Gas Pipeline. The Jintan salt cavern gas storage facility not only fulfils the demand for seasonal peak shaving and ensures a stable gas supply for urban areas but also plays a crucial role in maintaining the overall gas balance of PipeChina.
Prior to the signing ceremony, Mr Martin Kee Wai-ngai, Chief Operating Officer – Mainland Utilities of Towngas and Executive Director & Chief Operating Officer of Towngas Smart Energy and Mr Zhou Hengxiang, Chief Operating Officer – Gas Resources of Towngas, held a working meeting with Mr Xu Yawei, Deputy Secretary of the Jintan District Committee and District Mayor.
Mr Kee stated that Towngas’ operations on the Chinese mainland encompass various sectors, including city gas, gas sourcing, water and environmental services, renewable energy, and extended businesses. In particular, the Company has made significant investments in Jintan, including the first large-scale underground salt cavern gas storage project for city gas in the country, as well as commercial gas storage projects. These initiatives have played a crucial role in ensuring a stable gas supply and supporting the national energy security strategy. The gas supplied by Towngas in Hong Kong contains 49% hydrogen, and the Company has extensive experience in hydrogen transmission, storage, and utilisation. Towngas hopes to strengthen cooperation with Jintan District in the areas of salt cavern hydrogen storage and energy storage, and work together for mutual development.
Mr Zhou provided an overview of the development of Towngas’ gas sourcing business segment and proposed the creation of the Jintan Index on natural gas trade, based on the storage capacity of the salt cavern gas storage facility and the transportation capacity of the gas pipelines.
Mr Xu expressed his desire for increased collaboration between both parties in high-quality development projects, including the comprehensive utilisation of salt cavern resources, safety management of natural gas pipelines, and the hydrogen energy industry.
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Press photos: Please
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Photo 1:
Mr Martin Kee Wai-ngai (left), Chief Operating Officer – Mainland Utilities of Towngas and Executive Director & Chief Operating Officer of Towngas Smart Energy, in a working meeting with Mr Xu Yawei, Deputy Secretary of the Jintan District Committee and District Mayor.
Photos 2 & 3:
Under the joint witness of representatives from both sides, the agreements of two collaborative projects on natural gas trade and the Danjin Expressway high-pressure pipeline project are signed.
Photo 4:
The
Towngas delegation engages in extensive exchanges with the leaders of Jintan District, Changzhou, Jiangsu, regarding the development and utilisation of salt cavern resources, natural gas trade, and energy storage.
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