CHINA'S largest oil and gas company, PetroChina, says it plans to spend up to $12.3 billion to expand its network of oil and gas pipelines over the next five years to meet soaring demand. Much of the 15,000-kms of new pipelines will be located in the southwest, northwest and northeast,as part of an effort to reach more end users and beef up PetroChina's refining business, the company said in a statement issued recently. PetroChina is the listed arm of China's largest oil and gas producer, China National Petroleum Corp (CNPC), with shares traded in Hong Kong and New York. The company is positioning itself to fight off growing competition in the refined oil products retailing market and to meet surging demand for oil and gas in major industrial regions such as the northeast. The plan also is meant to improve the management, efficiency, and security of PetroChina's pipeline network and "ensure the country's oil and natural gas strategic security," said the statement, issued by the State-owned Assets Supervision and Administration Commission. The plan include a cross-border pipeline to transport crude oil to PetroChina refineries from PetroKazakhstan, which was recently acquired by CNPC for $4.2 billion. Of the new pipelines, 8,000km will be for natural gas, 3000km will be for crude oil, and 4000km for refined oil. Around 4000km of oil and gas pipelines already under construction in China's oil-rich remote western regions are due to begin operation by next August, the company said.