China Increases Natural Gas Storage and Buys 16 Million Barrels of Oil Amid Low Prices

Sep 9, 2024, 09:03 AM

China is significantly increasing its natural gas storage and oil reserves in anticipation of future demand and to take advantage of current low prices. The country's underground natural gas storage facilities, such as Huabei near Beijing, have reached 83% of their annual injection target. Concurrently, Chinese refiners are purchasing approximately 16 million barrels of oil monthly to replenish the nation's Strategic Petroleum Reserve, according to Energy Aspects. Bloomberg cites that this strategic move aims to bolster China's energy security ahead of winter and potential economic slowdowns. Beijing only rarely comments on its national crude reserves.