China Unicom said today it expects to receive a 3G license after it merges with China Netcom and could spend up to RMB100 billion (US$14.6 billion) on capital expenditure in the next two years. In a statement to the Hong Kong stock exchange today, available on its website, China Unicom wrote that “upon the completion of the proposed merger, the enlarged group is expected to obtain a 3G license. As a result of the proposed merger, the wireless capital expenditure of the enlarged group is expected to be very substantial and may reach RMB100 billion in 2009 and 2010.”

According to China’s telecom industry restructuring plan issued in June, China Telecom will acquire China Unicom’s CDMA mobile network for 110 billion yuan (US$16 billion), while Unicom’s GSM mobile network (the country’s second-largest) will be merged with China Netcom in a share swap valued at US$56.3 billion. Although officially being termed a ‘merger,’ China Netcom will be delisted and will become a wholly-owned unit of China Unicom. In its statement today, China Unicom proposed changing its name to China Unicom (Hong Kong) Ltd. after the merger is completed. The country’s restructuring will also see mobile market-leader China Mobile acquire China Railcom, a small fixed-line player.