The five-year agreement with options gives Largo full control of the LPG depot stations, a filling workshop, railway platform bridge including pipelines, office facilities and dormitories. The depots, with storage capacities totaling 520 cubic meters, are currently handling 3,000 metric tons of LPG a year.
Largo plans to double the volume in the next two years.
The company plans to arrange similar leases in Guiyang, the capital city of Guizhou. This is Largo Vista's third LPG depot farm in China and it has with plans to assume control of six more in strategic locations in the country, said Daniel Mendez, Largo's president, without elaborating further. The 5 year lease agreement with options gives full control of the LPG depot station, filling workshop, railway platform bridge including pipelines, office facilities and dormitories. PetroChina and Sinopec have each agreed not to acquire oil stations in the others market. This clear-cut division of natural resources and exclusivity of consumer access establishes an entry barrier before the opening of the retail market to foreign investors under the WTO in approx.