China’s LNG terminals under pressure from parents
CNOOC’s Hainan LNG terminal. Weak Chinese demand means the facility is largely idle. (CNOOC)
China’s state-owned LNG terminals, which are eager for new revenue streams as demand for the fuel drops, are chafing at orders from their parent groups to not allow third parties to use their spare capacity.
The clampdown reveals the tension between the terminals and their headquarters, and it highlights the central government’s disappointing progress in liberalising access to state-owned gas infrastructure.