BP has signed two agreements with Chinese companies China Huadian and China National Petroleum Corporation (CNPC) during the visit of the Chinese president to the United Kingdom.
BP and China Huadian have signed a sale and purchase agreement under the terms of which BP will sell Huadian up to 1 Mt/year of LNG over the next 20 years; the contract is estimated at up to US$10bn. China Huadian is one of the five largest state-owned power generation companies in China and the country’s largest gas-fired power generator.
In addition, BP and China National Petroleum Corporation (CNPC) have entered into a framework agreement on strategic cooperation covering potential shale gas exploration and production in the Sichuan Basin and future fuel retailing ventures in China and other international partnerships. The companies have agreed to explore oil and LNG trading opportunities globally, work together on carbon emissions trading, and share knowledge around technology and management practices.