BEIJING, Nov 12, 2007 (SinoCast via COMTEX) -- SNP | charts | news | PowerRating -- China plans to import about 10 million tons of liquefied natural gas (LNG) annually by 2010, said an official of China Petroleum and Chemical Corporation (Sinopec, SHSE: 600028) on November 8, 2007.

Presently, Fujian LNG Co., Ltd. and Indonesia Tangguh Gas Field have signed a 25-year contract with an annual supply of 2.6 million tons; Shanghai LNG Co., Ltd. and Petroliam Nasional Berhad (Petronas), a petroleum company in Malaysia, have reached a long-term agreement on LNG supply with an annual supply of 3 million tons.

Sinopec subscribed agreements with Shell Oil Company, the United States-based affiliate of Royal Dutch Shell, and Woodside Petroleum Ltd. of Australia respectively in September. Sinopec will purchase totally more than 4-million-ton LNG annually from the two companies in next 20 years.

The global LNG seller's market has formed now and LNG's price will keep rising with the rise of international oil price, said Zhang Weiping, the former general economist of China National Offshore Oil Corporation (CNOOC, SEHK: 0883, NYSE: CEO).

Established on February 25, 2000, Sinopec is China's second largest crude oil producer.