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Key Myanmar oil pipeline to China starts construction

Key Myanmar oil pipeline to China starts construction

Beijing: State-owned China National Petroleum Corporation (CNPC) has commenced construction on the China - Myanmar pipeline and a crude oil port in Myanmar.
The 771 km pipeline will have a capacity of 12 MMt/a and connect Myanmar's port at Maday Island on the Indian Ocean via Mandalay in central Myanmar to Ruili in China's southwestern province of Yunnan.
The China - Myanmar pipeline project will improve transit efficiency by eliminating the long detour that oil cargoes take through the Malacca Strait. More than 80% of China's fast increasing oil imports have to transit the potentially insecure Malacca Strait, something that has kept Beijing on edge for a number of years. The oil pipeline out of Myanmar is one of many initiatives the country is attempting to lessen its Malacca "Achilles' Heel". A gas pipeline may well go alongside the oil pipeline in the future.  [12/11/09]

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