Shanghai based Baoshan Iron and Steel Co announced it will invest RMB 8bn (US$1.25bn) on the third West-East gas pipeline project initiated by China National Petroleum Corporation (CNPC).

Baosteel will hold a 12.8% stake in the joint venture with CNPC.

Also, Huabao Investment Corp, a wholly-owned subsidiary of Baosteel Group, will invest RMB 2bn ($314bn) on the gas pipeline project and take a 3.2% stake in the venture.

The pipeline is expected to transmit 30bnm3 of gas annually once in service by 2015. The network has a total length of 7378km and runs across 10 provinces and autonomous regions, including Xinjiang, Gansu, Ningxia and others. This third West-East pipe-line will be some 5000km long, starting from Horgos in Xinjiang and ending at Fuzhou, the capital city of Fujian.

Source: China Metals e-mail