China has achieved a breakthrough in its energy exploration drive with the discovery of a large shale oil field in the Sichuan Basin. The Qiluye-1 well, located in Chongqing’s Qijiang district, is producing 38.64 cubic meters of oil and 10,000 cubic meters of gas daily, China Central Television (CCTV) reported.
The discovery confirms reserves of more than 100 million tons, marking a key expansion in China’s unconventional energy sector. It also strengthens the country’s capacity to sustain long-term oil output and enhance energy security.
A New Frontier in Shale Exploration
The Qiluye-1 well reaches over 2,000 meters underground, with a horizontal section extending beyond two kilometres. It uncovered nearly 40 meters of oil-rich shale, indicating a high-quality formation that spreads across 1,000 square kilometres.
Sinopec’s exploration team said the shale oil is shallowly buried, easy to extract, and of high commercial value. These characteristics make it a promising source for future energy growth.
Building on Shale Gas Success
This new find adds to the success of the Qijiang shale gas field, discovered in 2022, which holds proven reserves of hundreds of billions of cubic meters. Together, these resources strengthen China’s position in unconventional oil and gas development.
In 2024, China produced 705,000 tons of shale oil, up 308,000 tons from the previous year. By 2025, Sinopec submitted proven reserves of over 200 million tons of shale oil and 12.35 billion cubic meters of gas, reflecting steady progress in exploration and output.
Strengthening Energy Independence
The Sichuan Basin discovery highlights China’s growing self-reliance and technical expertise in shale development. With vast untapped resources and advanced drilling capabilities, China is on track to secure stable energy supplies while advancing its clean and diversified energy goals.
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