Economy

Markets

Industries

Insights

Reports

Events

Daqing vows for another 50 years prominence

(Xinhua)
Updated: 2009-09-22 17:23

Daqing Oilfield, China's largest oil producer, vows for another 50 years prominence in the country's petroleum industry.

Wang Yongchun, general manager of Daqing Oilfield Co Ltd, said Tuesday the oilfield would remain an important energy base and continue to contribute a large proportion of China's energy supplies up to 2060.

Wang said factors such as adequate underground fossil resources, scientific progress and well-trained personnel would help achieve this end.

In accordance with the overall sustainable development plan for the oilfield, it will be capable of producing crude and gas equivalent to between 20 million tons and 25 million tons from its wells annually by 2060.

This future output will be supplemented by extra crude and gas equivalent totaling between 15 million tons and 20 million tons from international trade and cooperative development.

Discovered in 1959, development of the Daqing Oilfield began in the next year. It has so far produced more than 2 billion tons of crude, accounting for 40 percent of the national total for the same period.

The oilfield produced 40.2 million tons of crude oil and 2.76 billion cubic meters of gas (equivalent to 2.76 million tons of oil) last year. The oilfied's accumulated proven oil reserves total 6.36 billion tons.

An important subsidiary of China National Petroleum Corporation (CNPC), Daqing Oilfield Co Ltd is one of the world's rare large sandstone oilfields and consists of 52 separate oil and gas fields, with the oil-bearing area extending 6,000 sq km. The current oil recovery rate of major oilfields at Daqing exceeds 50 percent.

In addition to oil and natural gas exploration and development, Daqing Oilfield Co. Ltd's other businesses include engineering services and equipment manufacture. Its gross assets total 207.2 billion yuan ($30.47 billion).

Related publication:

Fast expansion of the oilfield, which celebrated its 50th anniversary of discovery on Tuesday, during past years led to the  founding of a totally new city bearing the same name as the oilfield in western Heilongjiang Province.

Daqing Oilfield stabilized an annual crude output of greater than 50 million tons from 1976 to 2002, which was heralded as "a miracle" in the world history of oilfield development, said Wang.

Along with other old oilfields, Daqing Oilfield has faced shrinking oil resources in recent years, and was forced to adjust its oil and gas production goal early last year by planning to stabilize its output of crude and gas equivalent at 40 million tons in years to come, said Wang.

Wang is, however, upbeat about Daqing's oil resource potential. "Apart from the fossil reserves at its headquarters in Songliao Basin, western Heilongjiang, Daqing Oilfield has expanded its prospecting domain to other areas, including Hailar Basin in Inner Mongolia, and has been blessed with an additional 200 million tons in proven petroleum reserves in the basin alone since 2002...

The full text is available in the September Issue of China Energy. Please visit E-shop for more subscription details.