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Annual production of shale oil in Gulong, Daqing, China, exceeds 1 million tons

2025-12-09View Original

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  As the final stages of the 14th Five-Year Plan approach, good news came from the Daqing Oilfield in China: at 20:18 on December 3, the annual production of shale oil from the Gulong area exceeded 1 million tons. This achievement meant that the annual production target for this pilot zone for land-based shale oil in Daqing was met 28 days ahead of schedule, further strengthening the confidence in building an oilfield that can operate for a century.   Gulong shale oil is a typical continental mudstone-type shale oil; its oil reservoirs are similar to layered pastries, with pores mainly on the nanoscale – only 1/500th the diameter of a human hair – making its development a world-class challenge.   In 2018, the Party leadership group of the group company made a strategic decision to target deep lakes and explore shale deposits; based on the theory of continental oil generation, Well Guyeyou Ping 1 was drilled in the deepest part of the Gulong Depression. “Initially, extraction was carried out for over 3 months with no results. However, the several billion tons of oil in the Daqing Changyuan area all originated from the Gulong Depression; we are convinced that there must be oil in the Gulong shale. ”Zhang Jinyou, deputy director of the Daqing Oilfield Exploration and Development Research Institute as well as deputy director of the Shale Oil Research Institute, explained that in June 2020, Well Guyeyou Ping 1 produced industrial oil and gas flows.   Moving from the traditionally perceived \"unexplored areas\" to new fields involving the development of original theoretical frameworks, the Daqing Oilfield regards Gulong shale oil as an important strategic resource for the construction of oilfields over the course of a century, as well as a key area for ensuring continued production. It has developed two fundamental theories: one concerning the in-situ enrichment of continental shale oil, and the other related to multi-phase, multi-field, multi-scale development methods. This has enabled a historic shift from the traditional approach of oil and gas migration and accumulation to in-situ accumulation.   From reserves that can be detected to outputs that can be extracted, the Daqing Oilfield has driven the iterative improvement of key technologies through original advancements in theoretical understanding. The Daqing Oilfield has developed five key technologies: in-situ experiments for high-clay shale, geological engineering dual-dessert evaluation, efficient drilling and completion for horizontal wells, reverse mixing composite fracturing, and pressure control for enhanced production and drainage throughout the entire life cycle of the oil fields. These technologies provide support for transitioning from \"landward shale oil generation\" to actual \"oil production from landward shale\".   From being considered \"without commercial development value\" to achieving an annual production volume of over one million tons, the Daqing Oilfield has focused on \"efficient development,\" establishing a new management system to improve quality through enhanced full-life-cycle management, accelerate progress by ensuring seamless integration across all stages of the production process, and reduce costs while improving efficiency. As a result, its production volume has doubled year after year, while investment per well and total costs have continued to decline, thus paving the way for efficient development of Gulong shale oil.

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