China Gas Holdings Limited (SEHK: 0384), a Hong Kong-traded natural gas and petroleum trader, announced on October 10 that its investment unit has entered into an agreement with the government of Sujiatun District, a regional administrative area of Shenyang, capital of Northeast China's Liaoning Province, to set up a joint venture.

The venture, with total registered capital of CNY 20 million, will be mainly engaged in the development, construction, operation and maintenance of the northeastern district's urban natural gas utilization project.

Under terms of the agreement, the joint venture will have the right to operate the district's natural gas project for as long as 30 years. Sujiatun District, located in the central part of Shenyang, covers an area of about 781 square kilometers.

Total population of the district has amounted to 430,000 and is expected to hit 1.5 million by 2010.

(TradingMarkets.com)