I am delighted to announce that President Hu and I have today witnessed the signing of several key agreements between Australia and China. These agreements will further strengthen this important relationship.
Foremost, the Trade and Economic Framework sets the agenda for the future development of our already strong and rapidly expanding commercial relationship. The Framework includes practical measures that will make it easier to do business with China and provides for closer commercial linkages in important sectors such as energy and mining, agriculture, investment and services. The Framework includes a commitment to undertake a joint study into the feasibility of a free trade agreement between Australia and China. The study will look into the costs and benefits of an FTA for both countries and will provide a sound basis for considering whether to proceed with FTA negotiations.
We also witnessed the signing of an MOU setting out the governance of the $25 million Australia-China Natural Gas Technology Partnership Fund. The Fund, which was agreed as part of Australia's successful bid to supply China's first LNG project in Guangdong, provides Australian assistance to help develop the Chinese natural gas sector. It demonstrates Australia's commitment to meeting China's growing demand for clean energy - a demand that has led to the expansion of Guangdong Phase 1 from 3.3 to 3.7 million tonnes per year.
Our energy relationship takes another important step forward today with the signing of a preliminary agreement between the Gorgon Joint Venture and the China National Offshore Oil Corporation, which, subject to final contracts, could see Australia supplying another $20 to $30 billion worth of LNG exports to China over a period of 25 years, commencing in 2008.
President Hu's visit has also been an opportunity to advance our people-to-people links, with the signing of the Arrangement on Higher Education Qualifications Recognition. China is already the largest source of foreign students in Australia. This arrangement will make Australia an even more attractive destination for Chinese students and encourage Australian students to study in China. I am delighted that Australia and China have also reached an understanding to expand the number of areas in China from which Chinese nationals can travel to Australia as part of a tour group. The expansion of the Approved Destination Status scheme will be a great boost to the Australian tourism industry.
These agreements, along with a number of others signed today covering cooperation on quarantine issues, water resources, food safety and health, are evidence of Australia and China's commitment to continue to broaden and deepen our bilateral relationship.