Sino-Myanmar pipelines

Talks between China and Myanmar on the feasibility of the project began in 2004. In December 2005, PetroChina signed a deal with Myanmar's Government to purchase natural gas over a 30-year period.

{{cite journal

| url = http://www.jamestown.org/programs/chinabrief/single/?tx_ttnews%5Btt_news%5D=3943&tx_ttnews%5BbackPid%5D=196&no_cache=1

| title = China's "Malacca Dilemma"

| first = Ian

| last = Storey

| publisher=Jamestown Foundation

| journal = China Brief

| issue = 8

| volume = 6

| date = 2006-04-12

| accessdate = 2008-11-21}}

Based on this agreement, the parent company of PetroChina, China National Petroleum Corporation (CNPC), signed on 25 December 2008 a contract with the Daewoo International-led consortium to purchase natural gas from the Shwe gas field in A-1 offshore block.

{{cite news

| url = http://uk.reuters.com/article/idUKPEK30435020081225?sp=true

| archive-url = https://archive.today/20130202033711/http://uk.reuters.com/article/idUKPEK30435020081225?sp=true

| url-status = dead

| archive-date = February 2, 2013

| title = Daewoo seals Myanmar-China gas export deal - Xinhua

| publisher = Reuters

| date = 2008-12-25

| accessdate = 2009-11-07}}

The pipeline is viewed as a strategic measure to reduce China's dependence on maritime routes through the Strait of Malacca, a vulnerability known as the "Malacca dilemma," by providing a direct overland route for energy imports from the Indian Ocean.{{cite journal |last1=Chen |first1=Shaofeng |title=China's Self-Extrication from the “Malacca Dilemma” and Implications |journal=International Journal of China Studies |date=February 2010 |volume=1 |page=10}}

The plan to build the oil and gas pipelines was approved by China's National Development and Reform Commission in April 2007.

{{cite news

| url = http://www.downstreamtoday.com//News/Articles/200803/China_Burma_Still_Discussing_Proposed_P_9249.aspx

| title = China, Burma Still Discussing Proposed Pipeline

| publisher = Downstream Today

| date = 2008-03-10

| accessdate = 2008-03-11}}

In November 2008, China and Myanmar agreed to build a US$1.5 billion oil pipeline and US$1.04 billion natural gas pipeline. In March 2009, China and Myanmar signed an agreement to build a natural gas pipeline, and in June 2009 an agreement to build a crude oil pipeline.

{{cite news

| url = http://www.downstreamtoday.com/news/article.aspx?a_id=16796

| title = Sino-Myanmar Crude Pipeline Memo Signed

| publisher = Downstream Today

| date = 2009-06-19

| accessdate = 2009-07-18}}

The inauguration ceremony marking the start of construction was held on 31 October 2009 on Maday Island.

{{cite news

| url = http://www.upstreamonline.com/live/article197618.ece

| title = China starts building Burma pipeline

| newspaper = Upstream Online

| publisher = NHST Media Group

| date = 2009-11-03

| accessdate = 2009-11-07}}

{{cite news

| url = http://downstreamtoday.com/news/article.aspx?a_id=19041

| title = China starts building Myanmar pipeline

| publisher = Downstream Today

| work = Xinhua

| date = 2009-11-03

| accessdate = 2009-11-07}}

The Myanmar section of the gas pipeline was completed on 12 June 2013 and gas started to flow to China on 21 October 2013.

{{cite news

| url = http://www.irrawaddy.org/archives/37266

| title = Burma Gas Pipeline Complete but Cites China Delays

| publisher = the irrawaddy

| date = 2013-06-12

| accessdate = 2013-06-14}}

{{cite news

| url = http://www.ibtimes.com/china-myanmar-gas-pipeline-myanmar-once-again-getting-bad-bargain-chinese-investment-1434716

| title = BChina-Myanmar Gas Pipeline: Myanmar Once Again Getting A Bad Bargain In Chinese Investment

| work = international business times

| date = 2013-10-22

| accessdate = 2014-05-14}}

{{cite news

|first=Aung

|last=Shin

|title=Controversial pipeline now fully operational

|url=http://www.mmtimes.com/index.php/business/8583-controversial-pipeline-now-fully-operational.html

|accessdate=31 October 2013

|newspaper=The Myanmar Times

|date=27 October 2013}}

The oil pipeline was completed in August 2014.

{{cite news

| url = http://english.cntv.cn/2014/08/06/VIDE1407301800241634.shtml

| title = China-Myanmar joint pipeline starts delivering gas

| publisher = CCTV.com

| date = 2014-06-08

| accessdate = 2014-11-11}}

In 2021, the Myanmar military seized the oil and gas sector during the 2021 Myanmar coup d'état{{cite web |date=1 February 2024 |url=https://www.banktrack.org/article/international_banks_like_icbc_ubs_and_citi_are_ignoring_the_violence_of_the_myanmarchina_pipelines |title=Three years after attempted coup, international banks still ignore the junta’s violent capture of the Myanmar-China pipelines}} In the ensuing civil war, the Sino-Myanmar pipelines became a point of focus for both sides to gain support from or leverage against Chinese interests, being increasingly caught between combatants.{{cite news |last=Strangio |first=Sebastian |url=https://thediplomat.com/2022/02/chinese-pipeline-in-myanmar-damaged-in-attack-by-anti-regime-forces/ |title=Chinese Pipeline in Myanmar Damaged in Attack by Anti-Regime Forces |date=17 February 2022 |work=The Diplomat}}

The oil and natural gas pipelines run in parallel and start near Kyaukphyu on Made island port on the Bay of Bengal in Myanmar (19°21'52.39"N, 93°41'3.91"E), run under the sea for {{convert|5.3|km}} to mainland ( 19°21'26.09"N, 93°44'3.41"E) and then run through Mandalay, Pyin Oo Lwin, and Namkham in Myanmar before entering China at the border city of Ruili in Yunnan province.

{{cite news

| url = http://www.ogj.com/index/article-display/346003/s-articles/s-oil-gas-journal/s-transportation/s-myanmar-awards-china-pipeline-rights.html

| title = Myanmar awards China pipeline rights

| first = Eric

| last = Watkins

| publisher = Oil & Gas Journal (requires subscription)

| date = 2008-11-20

| accessdate = 2008-12-05}}

The oil pipeline, which eventually terminates in Kunming, capital of Yunnan province, is {{convert|771|km}} long. The natural gas pipeline will extend further from Kunming to Guizhou and Guangxi in China, running a total of {{convert|2806|km|mi|-2}}.{{Citation needed|date=October 2020}} The China-Myanmar crude oil pipeline project operation corresponds with China's "Belt and Road" Initiative, which will provide more direct way for China's imports of crude oil to bypass the crowded Malacca Strait.{{cite web |url=https://www.yicaiglobal.com/news/china-myanmar-oil-pipeline-officially-inaugurated-pumping-first-oil |title=China-Myanmar Oil Pipeline Officially Inaugurated, Pumping First Oil {{!}} Yicai Global |website=www.yicaiglobal.com |url-status=dead |archive-url=https://web.archive.org/web/20180204124138/https://www.yicaiglobal.com/news/china-myanmar-oil-pipeline-officially-inaugurated-pumping-first-oil |archive-date=2018-02-04}} China plans to construct additional pipelines in coming years.{{Cite web|url=http://www.xinhuanet.com/english/2017-07/12/c_136438633.htm|archive-url=https://web.archive.org/web/20180204182302/http://www.xinhuanet.com/english/2017-07/12/c_136438633.htm|url-status=dead|archive-date=February 4, 2018|title = China plans to expand oil, gas pipeline networks - Xinhua | English.news.cn}}

The oil pipeline will have a capacity of 12 million tonnes of crude oil per year.

{{cite news

| url = http://www.irrawaddy.org/article.php?art_id=17167

| title = Weekly Business Roundup (November 7, 2009). China Confirms its Plan to use Burma as a Mideast Oil Conduit

| publisher = The Irrawaddy

| first = William

| last = Boot

| date = 2009-11-06

| accessdate = 2009-11-07}}

It would diversify China's crude oil imports routes from the Middle East and Africa, and avoid traffic through the Strait of Malacca.

{{cite news

| url = https://www.telegraph.co.uk/news/uknews/1575571/Burmese-junta-profits-from-Chinese-pipeline.html

| title = Burmese junta profits from Chinese pipeline

| publisher = Telegraph

| date = 2008-01-16

| accessdate = 2008-07-20

| location=London

| first=Graeme

| last=Jenkins}}

Oil storage tanks will be built on an island near the port of Kyaukphyu.

{{cite news

| url = https://www.bloomberg.com/apps/news?pid=newsarchive&sid=a7TZ0v82ODSA

| title = China, Myanmar to Build $2.5 Billion Pipelines, Nikkei Says

| publisher = Bloomberg

| date = 2008-11-17

| accessdate = 2008-11-18}}

For oil processing China will build refineries in Chongqing, Sichuan, and in Yunnan.

{{cite news

| url = http://www.downstreamtoday.com/news/article.aspx?a_id=16879

| title = China To Build Refineries for Oil from Burma Pipeline

| publisher = Downstream Today

| date = 2009-06-25

| accessdate = 2009-07-18}}

The gas pipeline will allow delivery of natural gas from Burma's offshore fields to China with an expected annual capacity of up to 12 bcm of natural gas.

{{cite news

| url = http://www.downstreamtoday.com/news/article.aspx?a_id=16741

| title = Construction of Sino-Myanmar O&G Pipelines to Begin in Sept.

| publisher = Downstream Today

| date = 2009-06-16

| accessdate = 2009-07-18}}

The pipeline will be supplied from the A-1 and A-3 Shwe oil field.{{cite news

| url = http://www.worldpoliticsreview.com/article.aspx?id=129

| title = India and China Compete for Burma's Resources

| publisher = World Politics Review

| date = 2006-08-21

| accessdate = 2008-11-21

| archive-date = 2020-06-01

| archive-url = https://web.archive.org/web/20200601000136/https://www.worldpoliticsreview.com/articles/129/india-and-china-compete-for-burmas-resources

| url-status = dead

}} China would start receiving natural gas from Burma's Shwe project through the pipeline in April 2013.

{{cite news

| url = https://www.bloomberg.com/apps/news?pid=newsarchive&sid=amAfQGI2bCqo

| title = China May Start Receiving Myanmar Gas Through Pipeline in 2013

| publisher = Bloomberg

| date = 2009-03-10

| accessdate = 2009-03-10}}

The Shwe, Shwe-Phyu, and Mya areas in the A-1 and A-3 blocks, estimated to hold 127–218 bcm of natural gas in total, are operated by a group led by Daewoo International Corp. The operators group also includes Myanma Oil and Gas Enterprise, GAIL, and Korea Gas Corporation.

The total project of pipelines is expected to cost {{US$|2.5 billion}}.

In July 2014 CNPC celebrated the first anniversary of the launch of the Myanmar-China natural gas pipeline by announcing that nearly two billion cubic metres of gas has been piped from Indian Ocean plays onto the Asian continent.{{Cite web|url=http://www.oilandgastechnology.net/pipeline-news/myanmar-china-pipeline-ships-187bn-cubic-metres-gas|title=Myanmar-China pipeline ships 1.87bn cubic metres of gas | Oil and Gas Technology|access-date=2014-08-18|archive-date=2021-02-13|archive-url=https://web.archive.org/web/20210213203727/http://www.oilandgastechnology.net/pipeline-news/myanmar-china-pipeline-ships-187bn-cubic-metres-gas|url-status=dead}}

A railway that will connect Muse and Lashio is part of the project. The railway will be 80 miles long and will include 41 bridges, 36 tunnels and 7 stations.{{cite web |url=http://www.mizzima.com/business/5212-burma-china-sign-railway-pact-to-transport-gas.html |title=Burma-China sign railway pact to transport gas |access-date=2014-01-07 |url-status=dead |archive-url=https://web.archive.org/web/20131001123331/http://mizzima.com/business/5212-burma-china-sign-railway-pact-to-transport-gas.html |archive-date=2013-10-01 }}

A number of protests in Burma and abroad took place against the construction of the pipeline.{{cite news|last=Kyaw Min|title=China-Myanmar Gas Pipeline Becomes Fully Operational|url=http://mmbiztoday.com/articles/china-myanmar-gas-pipeline-becomes-fully-operational|accessdate=31 October 2013|newspaper=Myanmar Business Today|date=28 October 2013}} The pipelines have sparked protests over environmental and safety concerns, and inadequate compensation arrangements for local residents. Critics have also said the contract, which was signed under the military regime, should be revisited and that Burma should not be exporting gas when three-quarters of the population lack electricity.

The project will be implemented jointly by China National Petroleum Corporation (CNPC) and Myanma Oil and Gas Enterprise (MOGE). CNPC will hold a 50.9% stake and manage the project, and MOGE will own the rest.

• "The Geopolitics of the Myanmar-China Oil and Gas Pipelines," by Bo Kong, [http://www.nbr.org/publications/element.aspx?id=456 Pipeline Politics in Asia: The Intersection of Demand, Energy Markets, and Supply Routes], (National Bureau of Asian Research, 2010)

{{Reflist|2}}

{{Portal|China|Energy}}

Category:Natural gas pipelines in Myanmar

Category:Oil pipelines in Myanmar

Category:Natural gas pipelines in China

Category:Oil pipelines in China

Category:Energy infrastructure completed in 2013

Category:Proposed pipelines in Asia

Category:China–Myanmar relations

Category:Energy infrastructure completed in 2014