SHANGHAI is preparing to build a Disneyland theme park and is awaiting the Central Government's approval, the city's mayor told the press Tuesday (Mar 7).

His statement is the first official response from a top city leader following two years of speculation that the eastern metropolis is in talks with entertainment giant Walt Disney to build a theme park.

"We have been hoping to (build the Disney theme park) for quite a long time. Shanghai has the right conditions and all the preparatory work is in the pipeline," said Han Zheng, who is attending the ongoing annual session of the National People's Congress (NPC) in Beijing.

If the project is approved, it will be Disney's second theme park in China after Hong Kong Disneyland opened in September last year.

Han said he didn't know when construction would start because "we are waiting for the State Council to make the decision." The State Council declined to release the progress of its review.

Leslie Goodman, senior vice president of Worldwide Public Affairs of Walt Disney Parks and Resorts, said in a statement Tuesday that "there is nothing new to report on the progress of Shanghai discussions."

"The Walt Disney Company has not reached any agreement with Shanghai to build a second Disney destination resort in China. If we were to reach an agreement for a second park in China, it would not open before 2010."

The statement is exactly the same as the one issued last month after reports of an impending deal.

A Disneyland park would be a boost for Shanghai's rising travel industry. Last year, the city hosted more than 90 million domestic travelers and 4 million overseas visitors.

Editor: Wing