With Natural Gas use on the rise in China, and uncertainties surrounding the potential of piped Russian natural gas, LNG has increasingly been considered by Chinese companies. In a joint venture with BP and local firms, CNOOC built Chinas first LNG import terminal in Guangdong province, which received its first 60,000 ton shipment of LNG in May 2006. The facility has a capacity to handle 3.7 million tons per year (Mmt/y) of LNG, with a planned second phase that would double capacity in the future. CNOOC awarded a 25-year, 3.3 Mmt/y LNG supply agreement to Australias Northwest Shelf consortium to supply the new import terminal. CNOOC is currently building another LNG import terminal in Fujian province, which is scheduled to be complete in 2007 and have a capacity of 3 Mmt/y. The Fujian project will receive LNG from BPs Tangguh consortium in Indonesia. As many as a dozen other LNG terminals are either planned or proposed. CNPC, Sinopec, and CNOOC are all considering new LNG facilities, but recent LNG price increases have delayed some plans while the companies try to negotiate long-term LNG supply agreements. Planned or proposed LNG projects not yet under construction include: CNOOC projects at Ningbo in Zhejian province, Qingdao in Shandong province, and Shanghai; CNPC/PetroChina projects at Tangshan in Hebei Province, Jiangsu Province, and Dalian inLiaoningProvince; and Sinopec projects in Shandong and an island off the southeastern city of Zuhai.