PetroChina: CBM volume reached 10 billion cubic meters by 2020

On April 15th, at the Second China Unconventional Oil and Gas Conference, Xu Fengyin, deputy general manager of China National Petroleum Corporation, said that PetroChina (601857.SH/1857.HK) will further increase investment and continue to increase the upstream and downstream of coalbed methane. Integrated development. By 2020, the volume of coalbed methane products will reach 10 billion cubic meters. By the end of 2010, China National Petroleum Corporation (CNG) has ascertained a coalbed methane geological reserve of 191.7 billion cubic meters, and in 2010 it will have a commercial gas volume of nearly 400 million cubic meters. In the future, CBM will become an important component of China Petroleum's main business and a strategic economic growth point.

He said that CNPC’s overall development objectives in the area of ​​coalbed methane are to increase exploration and development efforts in the southern Qinshui Basin and the two major coalbed methane industry bases in the eastern Ordos Basin, and to explore supporting technologies for CBM development in foreign basins.

At present, CNPC is improving the construction of coalbed methane networks. Hancheng and other pipelines are connecting with the natural gas pipeline network of the West-East Gas Pipeline; the four favorable areas of Weinan, Hancheng, Daningji County and Baode and the Tuha International Cooperation Zone. All are close to the existing trunk line.

Xu Fengyin predicts that PetroChina will increase the proven geological reserves of 200 billion cubic meters of coalbed methane in 2012 to provide resources for building capacity. In 2013, the production capacity was 4.5 billion cubic meters per year; in 2015, the output reached 4.5 billion cubic meters and the volume of goods was 4 billion cubic meters, making it the first domestic gas producer.

Xu Fengyin said that currently CNPC has registered more than 3 trillion cubic meters of coal bed methane resources, with proven geological reserves accounting for 63.8% of the country's total, and is mainly distributed in the two major coal seam basins of Yishui and Hubei. PetroChina’s investment in this area has increased substantially. CBM pre-evaluation, exploration concentrating areas, and development pilot tests have been carried out.

Xu Fengyin said that in the future, PetroChina will base its efforts in the two basins of Surabaya and Ordos and gradually form the development pattern of the four regions of southern and northern Fujian, Linyi and Luliang.

He estimated that the domestic natural gas demand in 2015 will be 220 billion cubic meters, with a supply capacity of about 160 billion cubic meters, and a coalbed methane production of 10 billion cubic meters; in 2020, the output of natural gas will be about 2020 billion cubic meters, of which unconventional natural gas production will be about 2020 billion cubic meters. Meters, of which unconventional natural gas production reached 62 billion cubic meters, accounting for 30% of total production. CBM reaches 20 billion cubic meters.