Sinopec subsidiary wins $858m natural gas pipeline contract

Sinopec Oilfield Service Corporation announced that its wholly-owned subsidiary, Sinopec Oil Engineering and Construction Corporation, has won the bid for the general contracting project of the western section of the Yongshao trunk natural gas pipeline. The project, awarded by China Oil & Gas Pipeline Network Corporation, has a bid price of RMB858 million. This represents approximately 1.06% of the company's operating revenue for 2024.

The pipeline project spans approximately 120 kilometers and is expected to play a vital role in optimizing Zhejiang Province’s energy structure, stimulating regional economic growth, and accelerating the formation of a national natural gas network. This win underscores the company's expertise in petroleum engineering construction and management.

The contract has not yet been formally executed, and the project remains subject to uncertainty, carrying inherent investment risks. The announcement was made on 12 September 2025 by company secretary Shen Zehong.