Sinopec discovers new shale oil fields

• Sinopec discovered Xinxing and Qintong shale oil fields in eastern China. 
• The fields show promise for high initial yields.

Sinopec said it has discovered Xinxing and Qintong shale oil fields in eastern China with combined proven reserves of 180 million tonnes.

The fields are part of the China's Ministry of Natural Resources effort to identify shale oil reserves in the country's continental rift basins. The two fields show promise for high initial yields due to favorable fracture potential and formation pressure, according to Sinopec. Test results indicate a high likelihood of stable outputs over extended periods, it continued.

Sinopec expects 2 million tonnes/year of shale oil by end-2030, with an annual increase in proven reserves exceeding 100 million tonnes from 2026 to 2030.

Data from China's National Energy Administration shows that the country's crude oil production was 213 million tonnes in 2024. Its shale oil output was 6 million tonnes with a 30% year-to-year increase.