Platts reported that fundamentals currently in place in the Chinese oil & gas industry indicate that 2013 may be a banner year.
As quoted in the market report:
China has had a new trial natural gas pricing system in place in two provinces for more than a year and could extend this to other eastern provinces in the coming months. The idea is to “reform” gas prices so that they are on par with the costs associated with importing pipeline gas from Central Asia and LNG. But rather than making existing users pay more for natural gas, the focus for now will likely be on fuel substitution, where gas is cheaper than LPG and other fuels used in the transport and urban sectors.