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Li Keqiang visits Britain, China and UK to sign a 5 billion pound natural gas agreement
BP will sign an agreement on Tuesday to supply more than 5 billion pounds worth of liquefied natural gas to China, while Royal Dutch Shell will announce a global alliance with CNOOC, China's state-owned energy giant, according to the financial times. The
agreements constitute the highlight of a series of trade agreements reached between China the UK during Li Keqiang's three-day visit to the UK. They will be announced when British Prime Minister David Cameron receives Li Keqiang in Downing Street.
the alliance between Royal Dutch Shell CNOOC is based on the already strong relationship between the two sides. They have signed three production sharing agreements to develop the Yinggehai Basin in the South China Sea, shell is also working with PetroChina (PET / > PetroChina) to develop shale gas in China.
China has great ambition to increase natural gas imports, in part to reduce dependence on coal improve air quality in cities such as Beijing. Last month, China Russia clinched a $400 billion 30-year gas supply agreement.
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