Crisis Management for a Conflict with North Korea

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China's major shale oil base reports production breakthrough

Xinhua | English | News | Dec. 11, 2025 | UndeterminedEnergy Prices

A major shale oil production zone in northwest China's Xinjiang Uygur Autonomous Region has surpassed 1.7 million tonnes of crude oil output in 2025, marking a significant advancement in China's shale oil development, according to China National Petroleum Corporation (CNPC). This represents a 4.2-fold increase from 322,000 tonnes in 2020. The Jiqing oilfield operation zone has overcome complex geological and technical challenges by developing a comprehensive system of techniques to enhance production efficiency.

Established in 2020 in Jimsar County, Xinjiang, this zone is China's first national-level continental shale oil production area, with estimated shale oil reserves exceeding 1 billion tonnes. The research team there has also created management systems and waste-recycling methods designed to serve as scalable, low-carbon models for similar shale oil reserves across the country.

Shale oil, which consists of liquid hydrocarbons trapped in shale rock formations, is a widely distributed energy resource with reserves far surpassing those of conventional oil. Besides Xinjiang, China has two other national-level shale oil demonstration zones in Heilongjiang and Shandong provinces. In 2024, China's shale oil production exceeded 6 million tonnes, marking a 30 percent increase year on year.

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