Economy

Huaneng to invest 100b yuan for energy development in Xinjiang

(Xinhua)
Updated: 2010-06-08 09:49

URUMQI: China's leading power company Huaneng said on Monday that it would spend more than 100 billion yuan ($15 billion) in the far west Xinjiang region for energy exploration during the next ten years.

China Huaneng Group signed an agreement with the government of Xinjiang Uygur autonomous region on Monday to speed up the construction of energy bases in the Junggar Basin, and the Turpan Basin and Hami.

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Cao Peixi, general manager of the company, said the agreement echoed the central government's support package for the region unveiled at a central work conference held in Beijing last month, and would facilitate the region's leapfrog development and long-term stability.

The company sought to achieve 10 million kilowatts of installed power generating capacity per year in Xinjiang by the end of 2020, while producing 60 million tons of coal and 6 billion cubic meters of coal-turned natural gas, Cao added.

Also, according to the agreement,the regional government would support the company to integrate coal resources and carry out hydropower and wind power projects.

Xinjiang, covering an area of one-sixth of the nation's total territory, contains 40 percent of the country's coal deposits as well as sizable oil and natural gas resources.

At the central work conference on Xinjiang's development last month, the central government stressed that the natural resources in the region should be developed in their own order while the construction of major state oil production and reserve bases, as well as other energy projects, should be accelerated.