The Shanghai municipal government and the Walt Disney Co. have reached an agreement concerning the major issues of building the first Disneyland on the Chinese mainland, mayor Han Zheng said Saturday.

"The project should be approved by the State Council (China's Cabinet) before it is carried out," Han told a press conference held in Shanghai, without disclosing the "major issues" of the agreement.

He said the government has been in talk with Disney for more than ten years, and the two sides have kept smooth communication.

The park would be built in the southeast suburbs of Shanghai's Pudong area, which is 20 minutes' drive from the Pudong International Airport, earlier report said. The area of the new park was expected to be the largest among all Disney theme parks.

The project is still under negotiation, and the details will not be disclosed until the agreement is officially signed, Han said.

(Xinhua News Agency January 18, 2009)