Beijing - The Beijing-backed Asian Infrastructure Investment Bank (AIIB) said on Tuesday it was investing $500 million in a liquefied natural gas project in China to help support its efforts to transition to a lower-carbon energy future.
AIIB financing will be used in the construction of LNG receiving, storage and regasification facilities at an LNG terminal in Binhai district in the northern port city of Tianjin, the multilateral development bank said in a statement.
Upon completion, the project will cut coal consumption by about 11.9 million tonnes annually and help improve air quality by reducing coal combustion-related emissions in Beijing, Tianjin and Hebei province, an economic engine in north China. The project will be implemented by state-run Beijing Gas Group Co.AIIB began operations in January 2016 and has grown to 100 approved members worldwide, with China its biggest shareholder. The bank said in July that it aimed to finance from $10 billion to $12 billion worth of projects annually in coming years.