China Ocean Shipbuilding Industry Group (COSIG) has entered into a strategic cooperation with the Jiujiang city government in Jiangxi province to establishment coastal industries including LNG shipping and storage.

The cooperation will develop a fund to invest in the development of an industry chain along the Yangtze River basin, primarily for LNG used in ships as well as storage and transport infrastructure and LNG bunkering.

COSIG said the move would transform “the middle reaches of Yangtze River as a production hub for LNG storage, ships and related facilities.”

The cooperation would also aim to establish a logistics centre for energy by integrating the industry chain for LNG used in vessels along the Yangtze River basin and the construction of new-energy vessels.

“The investment amount of the Jiangxi Fund has yet to be finally determined,” COSIG said.

Last month, COSIG also inked a strategic cooperation with Jianglian Heavy Industries Company to develop LNG carriers.

The cooperation framework includes the joint development of LNG carriers, LNG refuelling stations, carriers adapted for ship-to-ship LNG transfer and modification of dual-fuel LNG ships.