China's government says it's open to exploring "all sorts" of projects in Kiribati, which could include reopening a mothballed satellite tracking station.
Kiribati's president, Taneti Maamau, is in Beijing where he met this week with president Ji Xinping.
During the visit, Kiribati signed up to China's global development strategy - what's known as the 'Belt and Road' infrastructure initiative.
The trip comes after Kiribati last year ditched relations with Taiwan after more than a decade, restoring relations with China.
The tracking station, which is near a similar US facility in the Marshall Islands, was closed when Kiribati switched recognition from China to Taiwan in 2003.
A senior diplomat, Lu Kang, told reporters a lot of joint initiatives were in the pipeline now that relations had been restored, although he did not elaborate further.