According to a new government report, China possesses 88.1 billion tons of oil reserves, and its recoverable oil reserves stand at 23.3 billion tons, an increase of 11.6 billion tons and 2.1 billion tons, respectively, compared to figures in a report covering the years from 2003 to 2007.
About 34 percent of the country's oil deposits have been prospected, and the steady growth in its oil reserves and output ensures abundant supplies of oil, according to the report, titled "Dynamic Evaluation of Oil and Gas Resources in China 2010," which was recently released by the country's Ministry of Land and Resources. The report said that China would be able to produce at least 200 million tons of oil a year until 2030.
Total oil reserves and recoverable reserves are up 15 percent and nearly 10 percent, respectively, but quality has declined, according to the report.
The report stated China's total oil reserves and recoverable oil reserves have increased 15 percent and nearly 10 percent, respectively, from the 2003-2007 period. However, the quality of oil resources has deteriorated, with an increasing proportion being heavy oil, or low-permeability, deep-water or deep-buried reserves.
China's total natural gas reserves and recoverable gas reserves amount to 52 trillion cubic meters and 32 trillion cubic meters, up 49 percent and 45 percent, respectively, from the 2003-2007 period. About 18 percent of the country's natural gas reserves have been prospected, and the rapid growth in its natural gas reserves and output ensures abundant supplies. However, a large proportion of its natural gas reserves are low-permeability, deep-water, deep-buried or hydrogen sulfide-rich reserves.
Sun Jiahai, vice director of the General Office of the Ministry of Land and Resources, said that oil and natural gas are major resources that are vital to sustainable social and economic development. Because China's dependence on foreign oil has been above 50 percent over recent years, it is important to accelerate oil and natural gas explorations and increase domestic oil output, Sun said.
The report also shows that China's that the annual rate of increase in proven geological oil reserves will continue to stay at a relatively high level for the next 20 years. Reserves are expected to increase by at least 1 billion tons annually.
Proven extractable oil reserves comparatively insufficient
Peng Qiming, director of the ministry's geological exploration department, said that statically, China's proven extractable oil reserves will be consumed only more than one decade later. However, China's proven geological oil reserves will increase by 1 billion tons annually. China's proven extractable oil reserves are comparatively insufficient, and the country should continue to strengthen exploration and enhance technological levels to elevate resource security.
Source:china.org