The pipeline will supply oil to customers in Shandong, Anhui and Jiangsu provinces.

In a statement the company said, “Construction work on the pipeline is scheduled to be completed in May next year. It is expected to transport 28,080 tons of gasoline and diesel oil from Qilu annually and deliver 11,960 tons per year from Jinan, the capital city of Shandong province.”

“The pipeline can satisfy oil demand in these regions and strengthen our presence in China’s refined oil market,” added the firm.

In related news, Sinopec has been given the green light by China’s National Development and Reform Commission to issue 3.5 billion yuan (US$423 million) in corporate bonds to finance the construction of two more additional pipeline projects.

According to Sinopec, “The first pipeline will transport imported crude oil from Ningbo to Shanghai and Nanjing. The second [is] a refined oil pipeline network to deliver gasoline and diesel from Maoming in southern Guangdong province to Kunming in southwest Yunnan province.”

“The first pipeline has already been put into operation, and construction work on the second is proceeding smoothly,” added the firm.