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January 15, 2016

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CNPC finishes 1st national pilot shale gas zone

China National Petroleum Corp, the country’s largest oil and gas producer and supplier, has completed construction of its first national-level shale gas pilot zone.

The daily production capacity of Changning-Weiyuan national-level shale gas pilot zone in Sichuan Province, exceeded the target of 7 million cubic meters on Wednesday, marking the completion of the zone, PetroChina Southwest Oil and Gasfield Co, a CNPC affiliate, said yesterday.

The zone now has 83 wells in the province’s Yibin and Neijiang cities with an annual production of 2 billion cubic meters.

The first well was built in April 2010. The central government approved the construction of the pilot zone in March 2012.

China has recently made breakthroughs in shale gas exploration, both in capacity and drilling techniques, as the country is moving to readjust its energy structure from reliance on coal, which has been blamed for foul air.

Sinopec, China’s largest oil refiner, said in December that its Fuling shale gas project in Chongqing achieved an annual production capacity of 5 billion cubic meters.




 

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