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ABSTRACT: Natural gas exploration and production in Ordos Basin and its market prospect

Zhao, Yerong , China National Petroleum Corporation, Xi'an, China

Located in the mid-west of China, Ordos basin is the second largest sedimentary basin onshore China with a surface area of 320,000 sq km. Through more than 30 years' oil and gas exploration by Changqing Petroleum Exploration Bureau, the current producing capability of 4.6 million tons crude oil and 3.5 billion cubic meter gas have been established. Especially, since late 80s, big breakthrough has been made on gas exploration and development. Up to now, 400 bcm proven gas reserves has been obtained and Ordos basin has become the largest integrated gas field in China.

Natural gas development and utilization is still at its early stage. The question on how to use the gas resources quickly and effectively has drawn the extensive attention of the Chinese government and energy market, also the large oil and gas companies worldwide. Shell Company has been the largest partner by signing the Changbei gas block cooperation project in September 23, 1999 in Beijing.

At present, gas only makes up 2% of the energy market, but, under the strategy instruction of reducing contamination, environmental protection, maintain the continuous economy development, the cleaner energy market is being formed and optimized. Ordos basin gas exploration, development and utilization is playing a more and more important role in China's gas market.

AAPG Search and Discovery Article #90913©2000 AAPG International Conference and Exhibition, Bali, Indonesia