China LNG Group on Friday signed a letter of intent with Chu Kong Shipping to cooperate in LNG business, especially in LNG stations, bunkering stations and storage facilities.
According to a stock exchange filing, the two companies intend to invest in the construction of LNG refueling docks, LNG refueling stations and LNG storages in passenger and cargo terminals of Chu Kong Shipping situated at the Pearl River Delta.
In addition, China LNG group will provide financing services to Chu Kong Shipping for purchasing LNG vessels and vehicles and transforming its existing vessels and vehicles from using oil to LNG.
Under the LOI, Chu Kong Shipping agreed to provide suitable locations in its passenger and cargo terminals situated at the Pearl River Delta for the construction of LNG refueling docks, LNG refueling stations and LNG storages for LNG passenger and cargo vessels and vehicles.
China LNG agreed to invest and provide technical support with one or more state-owned companies in relation to the transformation of passenger and cargo vessels and vehicles from using oil to LNG and the purchase of LNG cargo vehicles.
Both parties agreed to accelerate the development of the LNG businesses and inland river shipping and construction at Xijiang and Beijiang to become a prosperous shipping route along the Pearl River Delta.