Table of Contents
China is one of the largest remaining underexploited oil and gas regions of the world. There are many highly prospective basins onshore, and this report addresses only the most significant ones. China has increased oil production from 885 MMBBLS a year in 1949 to over 1 billion barrels in 1993. However, demand is increasing even more rapidly than production in response to a growing population and fast-paced industrial growth.
The proven reserves of China (as of January 1, 1994) are estimated at 24 billion barrels of oil and 59 TCF of natural gas and, as of January 1, 1993, production was 2.835 MMBBLS per day. According to the USGS, the potential remaining oil reserves could be in the order of 32 billion barrels of oil and 176 TCF of natural gas. Most of the existing reserves are in the eastern basins, near the largest population and industrial centers. However, these fields have entered the mature stage of development, and China will have to look to other basins to reverse or at least maintain current production.
As of 1995, only three onshore bidding rounds had taken place, but direct negotiations with the government had also occurred. The latter, however, involve a long and complicated process that is commonly hampered by limited access to available information.
China currently has 64 refineries with a combined capacity of 3,250,000 BOPD. An expansion in transportation and storage facilities will be necessary to meet the growing needs of processing imported crude.
For more information contact:
Petrel Robertson Consulting Ltd.
500, 736- 8th Avenue S.W.
Phone: (403) 218-1618
Fax: (403) 262-9135
This summary, part of Petrel Robertson’s 1995 summary of exploration and development opportunities in 31 countries around the world, has not been updated. Some of the information, particularly relating to political and economic issues, is thus out of date. It is included, however, to demonstrate the breadth and depth of Petrel’s work in each of these nations.