(Repeats for wider distribution)

BEIJING, Nov 9 (Reuters) - The first red-chip and foreign companies could list their shares on the Shanghai stock exchange next year, Jing Ulrich, chairman of China equities at J.P. Morgan, said on Monday.

Red chips are Chinese firms that have their business on the mainland but are incorporated outside China and listed on overseas bourses, usually Hong Kong. They are currently prohibited from selling shares inside China.

"Within the next 12 months there should be at least a handful of red chip companies or foreign companies listed in Shanghai," Ulrich told reporters on the sidelines of a conference.

She mentioned China Mobile (0941.HK: Quote, Profile, Research) and CNOOC Ltd (0883.HK: Quote, Profile, Research) as red chips that might sell shares in Shanghai.

Asked about the attitude of Chinese regulators, Ulrich said: "There is strong support for this initiative, and I think the conditions are ripe."

She said listings by red chips and foreign companies would open up new choices for Chinese investors and allowing foreign companies to tap into a market with ample liquidity.

A number of foreign companies, including global banking giant HSBC (0005.HK: Quote, Profile, Research)(HSBA.L: Quote, Profile, Research), have expressed interest in listing on the new board mooted in Shanghai for overseas firms.

Robert McCooey, a senior vice president of the NASDAQ OMX Group (NDAQ.O: Quote, Profile, Research), said his exchange had communicated its interest both to China's securities regulator and to the Shanghai stock exchange.