China Forms New State Body to Find Oil and Gas Reserves Deep Underground
By Jace Dela Cruz
Jul 02, 2024 08:50 AM EDT
© 2024 Copyright Venture Capital Post. All Rights reserved.
Jul 02, 2024 08:50 AM EDT
China has established a new entity that combines national oil producers and state firms to look for ultra-deep oil and gas reserves.
According to Reuters, this initiative, announced by state energy group CNPC on Monday, aims to tackle challenging non-conventional resources and enhance energy security. The new organization aligns with China's President Xi Jinping's call for innovative forces in the energy sector.
Alongside CNPC and Sinopec, the dominant oil and gas producers, the body will include seven other state groups: China Aerospace Science and Industry Corp, Baowu Steel Group, Sinomach, Dongfang Electric Group, and Minmetals.
READ NEXT: China Pushes for More Samsung Investment Amid US-China Chip Tension
This collaboration intends to build an industry chain from ultra-deep oil and gas exploration to development and engineering.
The group will target conventional resources in deep wells, reaching depths of up to 10,000 meters in regions like northwest Xinjiang's Tarim basin, where CNPC and Sinopec are vital players. The focus will also extend to deep shale oil and coal-seam gas resources.
READ MORE: China to Impose Export Bans on Some Aerospace Equipment, Citing National Security Concerns
© 2024 VCPOST.com All rights reserved. Do not reproduce without permission.