Shanghai Airlines, the nation's fifth-biggest air carrier, said it plans to establish a second base in Hainan Province, a destination that enjoys freer aviation rights.

The airline expects to open more routes starting from Hainan to expand its international tourism market.

Talks with the Hainan government on establishment of the base have started, the Shanghai-based carrier said.

Shanghai Airlines carried 100,000 passengers to and from Hainan last year.

It plans to open Beijing-Hainan and Chengdu-Hainan flights first after the base is approved. The next step is to open international flights to feed the hot tourist resort.

Meanwhile, the carrier will also develop related tourist and hotel businesses in Hainan Province to facilitate the air operation.

The airline's tourism unit in Hainan plans to apply for the license to operate international tourism services later this year.

The carrier said last year it plans to open eight to 10 hotel chains and 40 to 50 franchised hotels across the country over the next five to 10 years.

The sky of Hainan Province is in demand as airlines, including Shanghai-based Spring Airlines and Wuhan-based Eaststar Airlines, are also seeking to establish their second base there.