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Business / Policy Watch

US export policy change said to 'help both sides'

By Jiang Xueqing (China Daily) Updated: 2014-06-03 07:12

While the US is set to become a major natural gas exporting nation, US energy companies have an opportunity to supply part of China's natural gas needs, which are significant as the pace of Chinese economic growth and the rate of urbanization continues to rise.

According to the IEA, during the five years starting in 2013, China will add the combined gas demand of Germany, France and Belgium.

To balance energy security with economic and environmental performance, China is investing in natural gas and LNG for power, residential heating and mass transportation. The National Development and Reform Commission is seeking to raise the share of natural gas consumption in China's primary energy mix from 5.9 percent in 2013 to 10 percent by 2020.

"From the perspective of Chinese LNG importers, sufficient LNG tanker capacity for shipping and adequate third-party gas pipeline system open-access rights form the bedrock of increasing the supply and availability of LNG to a larger Chinese population," Clifford said.

During the process of helping Chinese energy companies explore the US market, successful financial partners must have on-the-ground expertise and deep industry knowledge to support the companies moving offshore and investing in critical natural resource projects.

"Standard Chartered's understanding of the local markets it is in and its specialized focus on the LNG sector have enabled it to be successfully involved in the advising, structuring and arranging of financing for many large international LNG projects," Clifford said.

The bank has the industry knowledge and financial structuring expertise to assist Chinese companies in financing their international energy development strategies, he said.

The bank is actively seeking to support Chinese energy companies go abroad and has longstanding relationships with all the major Chinese energy players.

US export policy change said to 'help both sides'

US export policy change said to 'help both sides'

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