China shipbuilder to start projects in Sansha

HAIKOU - China's major ship-building conglomerate will start infrastructure, energy and water resources projects in Sansha, the country's southernmost city in the South China Sea, local officials said Tuesday.

The Sansha Municipal Government on Monday signed a package of cooperation agreements with China Shipbuilding Industry Corporation, the state-owned conglomerate that engages in manufacturing and scientific research in a number of maritime industries.

Details of the agreements were not immediately available, but officials said enhanced cooperation on key projects in infrastructure development, energy and water resources is expected.

The aim of the deals, the officials said, is "to safeguard sovereignty and serve the country's maritime power strategy."

Sansha is China's youngest city. It was officially set up in July on Yongxing Island in the South China Sea to administer the Xisha, Zhongsha and Nansha islands and their surrounding waters.

Development has sped up in recent months on the islands under the jurisdiction of Sansha. Construction on a desalinator has begun. When completed in December 2013, it will supply clean water to nearby islets and reefs, as well as passing ships.

Sansha residents have been relying on fresh water transported from Hainan province.