German industrial giant Siemens won a tender for a 35-million-euro (US$44.74 million) project in China, as it seeks to expand its oil and gas business in the market.

The project, awarded to Siemens by Yantai Raffles Shipyard in Shandong Province, involves the construction of an offshore drilling platform.

"As one of the world's largest electrical engineering and electronics companies, we will naturally make efforts to boost our oil and gas business in the Chinese market," said Christian Lupp, general manager of Siemens Industrial Solutions and Services for Oil & Gas.

Siemens made a strategic decision to further strengthen its oil and gas business in China in 2004. Beginning with just one employee, it now has a strong workforce with its own sales representatives and technical experts.

The oil and gas business unit in China is supported by the firm's international network, which includes experts from Norway, the United States, Germany and Singapore.

"Extending from extraction in the field through transport by tanker or pipeline right up to processing in the refinery, our oil and gas business concentrates on electrical engineering and power generation and distribution, drive, automation and IT solutions and on security systems," Lupp said.

He said the firm's customers in China include PetroChina, Sinopec, CNOOC, Yantai Raffles Shipyard and Dalian Shipbuilding Industry Co Ltd.

Offshore oil solutions have been the focus of Siemens' wide-ranging oil and gas business.

"China has a great demand for high-tech solutions for the offshore business. The further out to sea and the deeper China drills for oil, the more interesting are our technical solutions," Lupp said.

With the help of its worldwide network of experts Siemens can supply its customers with the most advanced technology, he said.

"For instance, our experts in Norway have much advanced technology in the offshore oil business," he said.

The company's oil and gas solution business falls under the Siemens Industrial Solutions and Services Group (I&S). The I&S group has other businesses including metals, water treatment, and marine technologies.