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China Breaks Ground on Liancheng Branch of West-East Gas Pipeline Line 3, Spanning 57km with 311-Million-Cubic-Meter Annual Capacity

China Oil & Gas Pipeline Network Corporation (PipeChina) began construction on the Liancheng branch line of West-East Gas Pipeline Line 3 on September 17, according to local broadcaster Liancheng County Radio and Television Station. The branch line, to be built in Liancheng County, Longyan City, Fujian Province, will span approximately 57 kilometers with a design annual transmission capacity of 311 million cubic meters, and will include two station yards and two valve chambers along its route. Once completed, the line will end Liancheng County’s long-standing lack of long-distance pipeline natural gas supply. Fujian Saite New Material Co., Ltd., a leading local enterprise, is expected to cut its annual gas costs by about 30 million yuan once it is connected to the pipeline.

The Liancheng branch line, which splits off from the West-East Gas Pipeline Line 3 mainline, is being built by PipeChina, which began the first welding work on September 17 to formally mark the start of construction. The groundbreaking ceremony was attended by officials from the Ministry of Housing and Urban-Rural Development (MOHURD), the Fujian Provincial Department of Housing and Urban-Rural Development, the Longyan Municipal People’s Government and its municipal development and reform commission and housing and construction bureau, PipeChina’s Fujian branch, PetroChina’s Fujian sales branch, and Liancheng County party and government officials. Liancheng County, a former Central Soviet base area, is a county designated for targeted pairing assistance (dui kou zhi yuan) from MOHURD. Local residents and industrial users had long relied on liquefied natural gas (LNG) tanker trucks and liquefied petroleum gas (LPG) for their gas supply, a situation that reportedly caused inconvenient transport, unstable supply, high costs, and safety concerns. The branch line project was pursued as a livelihood infrastructure initiative to address these issues, and is reported to have completed its preliminary technical documentation and approval procedures at least a year faster than comparable projects.

The Liancheng branch line will span approximately 57 kilometers, with a pipe diameter of 323 millimeters and a design pressure of 6.3 megapascals (MPa). Two station yards and two valve chambers will be installed along the route, and the design annual transmission capacity is reported at 311 million cubic meters. Once completed, residential gas costs in Liancheng County are expected to fall significantly, while local industries such as new building materials, dried sweet potato processing, and food processing are also expected to benefit from lower energy costs. As a specific example, Fujian Saite New Material Co., Ltd. — a leading local new building materials enterprise and a nationally recognized “little giant” (specialized, refined, distinctive, and innovative) enterprise — currently sources about 30 million standard cubic meters of natural gas annually through LNG delivered by sea, a figure expected to rise to 50 million standard cubic meters once its new project comes online. The company is projected to reduce its annual gas costs by about 30 million yuan compared with its 2025 usage levels once the Liancheng branch line begins formal gas supply.

The project is described as the only branch line of its kind implemented in the Fujian-Jiangxi border region, carrying symbolic significance as it addresses an energy supply gap in a former revolutionary base area through a combination of national targeted pairing assistance policy and state-owned pipeline infrastructure investment. PipeChina is reported to have led the entire construction process, accelerating permitting and resource allocation.

This project illustrates how a branch line extending from a major long-distance trunk pipeline can bring piped natural gas supply to a relatively small inland county-level area. Regions that have relied on alternative supply methods such as LNG tanker trucks and LPG can, through branch lines connected to trunk pipelines, gain both supply stability and cost competitiveness — a pattern that may serve as a reference for pipeline infrastructure discussions in other inland regions with similar geographic conditions. In particular, the case of an industrial user switching from seaborne LNG to pipeline gas and expecting substantial cost savings offers a concrete illustration of the cost gap between pipeline infrastructure and LNG supply chains. For trunk line operators, such branch line projects can also represent additional business opportunities through expanded transmission volumes and regional network growth, which in turn can create order opportunities for suppliers of pipes, valves, and metering equipment. The combination of government pairing-assistance policy with state-owned energy company infrastructure investment, as seen in this project, also offers a possible model for closing infrastructure gaps in regions with limited energy access.

Several points warrant continued attention going forward. First, the exact timing of the actual start of gas supply has yet to be confirmed; local authorities have set a goal of early completion and gas delivery, but a specific date for mechanical completion or commercial operation has not been announced. Second, it remains to be seen whether the projected gas conversion and cost savings for local enterprises, including Fujian Saite New Material, materialize as announced. Third, since this project is described as the only branch line of its kind in the Fujian-Jiangxi border region, it is worth watching whether similar pairing-assistance-linked branch line projects are pursued in neighboring areas. Finally, as Fujian Saite New Material’s annual gas consumption is expected to rise to 50 million standard cubic meters after its new project comes online, whether the branch line’s design transmission capacity can reliably support this growing regional demand is also a point to monitor.

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