A major gas field and pipeline network is under development in eastern China. The Xihu Trough gas field will feed the eastern coastal states of China with an estimated annual gas throughput of 17 billion cubic metres.

DNV has been awarded certification and verification of all offshore facilities and submarine pipelines in connection with the development of the Xihu Trough gas field. The project is currently in the basic design phase. DNVs new offshore submarine pipeline standard has been selected as the main reference for the development of long submarine pipelines, which as part of the project will be routed through some environmentally sensitive areas.

The new gas field forms part of China National Offshore Oil Corporations (CNOOC) ambitious strategic plan in building a mighty gas pipeline network to feed the eastern coastal states of China. The overall plan envisages a pipeline network from Guangxi province in the south across 10 provinces to Liaoning in the North East. It is expected that such a gas pipeline network will result in good synergy with other onshore gas network projects such as the high-profile, 4000km West-to-East pipeline currently under implementation by Petro China.

The existing partner of CNOOC is SINOPEC Corporation, which is one of the two major Chinese onshore oil companies. The other is Petro China. CNOOC & SINOPEC are looking for foreign participation. It has been reported that Shell & Unocal will buy a sizeable stake.