(Yicai Global) March 15 -- Chinese logistics company Shenzhen Feima International Supply Chain Co. has received authorization from state-backed energy giant China National Petroleum Corp. (CNPC) to undertake engineering transport services to build Russia's mammoth Amur Gas Processing Plant.
Feima International subsidiary Beijing Huayou International Logistics & Engineering Services Co. signed a service agreement with China Petroleum Engineering Construction Co. (CPECC), per which the former will take charge of carrying cargo from a consolidated collection site in China to the construction site near Svobodny in Russia's southeastern Amur Region.
Jointly initiated by CNPC and Russian natural gas giant Public Joint Stock Company Gazprom, the Amur project is set to erect the world's biggest natural gas processing plant. It is also the largest single project in which Chinese companies are currently participating in Russia.
CNPC and Gazprom officially broke ground in August on the project whose total investment is expected to reach USD22 billion, Russia's energy ministry said. Construction will occur in two phases, which will wind up in 2021 and 2024, respectively. The plant will be able to process 42 billion cubic meters of natural gas per year. The agreement marks another great breakthrough for the company following its participation in China's West-East Gas Pipeline Project, which was of great significance for it in further exploring international logistics service markets, Feima International said.