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China shale oil: the long journey ahead
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Report summary
Faced with declining crude output and increasing pressure from the government to lift production, China’s NOCs are turning to shale oil as a possible solution. PetroChina has launched its first shale oil pilot projects in Xinjiang and Dagang and proved-up over 10 billion barrels of oil-initially-in-place. Sinopec has also been exploring shale oil potential, recently signed a JSA to cooperate with Shell in the Shengli area. What other progress has been made so far and how different is the shale oil development in China with the US? Could China replicate US shale success?
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