(Yicai Global) Jan. 26 -- A shale gas subsidiary of China National Petroleum Corporation (CNPC), the country's largest oil and gas producer, will launch a new round of large-scale shale gas development in the southwestern province of Sichuan.
CNPC Southwest Oil & Gas Field Co. will deploy 19 new drilling platforms and 110 new wells in the Changning-Weiyuan region of Sichuan this year, increasing its annual capacity by 1.5 billion to 4 billion cubic meters, state-owned news agency Xinhua reported.
The company plans to drill 600 shale gas wells in Yibin and Weiyuan counties by 2020, bringing the region's annual production of shale gas to 10 billion cubic meters.
Shale gas in southern Sichuan is mainly developed in Neijiang, Zigong, Yibin, Luzhou, Leshan, Ziyang and Meishan, some of China's most abundant shale gas regions. CNPC Southwest Oil & Gas Field has operated 120 wells in the Changning-Weiyuan area with annual capacity of more than 2.5 billion cubic meters.