China Petroleum & Chemical Corporation (HKG: 0386, "Sinopec") has announced that the Dongye Deep 2 key shale gas prospecting well developed by Sinopec Exploration Company in Dongxi, Chongqing, with a buried depth of 4,300 meters, has been tested to produce 412,000 cubic meters of high-quality shale gas daily.
At a depth of more than 4,000 metres, the achievement marks significant progress in ultradeep shale gas exploration in China. It will increase Sinopec's shale gas production capacity in Southeast Sichuan by over 2 trillion cubic meters. The tested daily shale gas production of 412,000 cubic meters can provide fuel for 820,000 households based on a family of three's 0.5 cubic meter daily gas consumption.
Following the breakthrough of the Fuling shale gas field in 2012, Sinopec has been expanding its expertise in deep shale gas. In 2018, Sinopec discovered and commercialized the Weirong shale gas field at a depth of 3,800 meters.
Key data points: The growth forecast = 6.6% annually for the next 7 years. Scroll below to get more insights. This market report covers trends, opportunities and forecasts in smart oilfield market to 2031 by component (hardware, software, and services), technology (internet of things, artificial intelligence & machine learning, cloud computing, data analytics, and automation & remote monitoring), application (upstream activities, midstream activities, and downstream activities), end use (independent oil & gas operators, national oil companies, international oil companies, service companies, government & regulatory bodies, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)
Download free sample pagesThe technical requirements of developing deep marine shale gas reservoirs at depths of over 4,000 meters are high due to challenges faced at ultra-high depths and complex crustal stress. In 2019, Sinopec achieved the breakthrough of fracturing technology for shale gas wells at depths of more than 4,000 meters, with the high-quality Dongye Deep 1 Well with a daily production of 310,000 cubic meters.
To develop the Dongye Deep 2 Well, Sinopec Exploration Company put together a deep shale gas research and innovation team to conduct technical analysis, including target evaluation and developing deep shale gas volumetric fracturing technology to achieve a high-quality shale gas drilling rate of 100 percent. To reduce costs, all of Sinopec's equipment, tools, and materials were manufactured in China.
Next, Sinopec plans to devote greater effort to increase oil and gas exploration by developing unconventional resources such as shale oil and gas while focusing on growing reserves and production of conventional petroleum.
The company thrives on providing replicable deep shale gas fracturing construction that can be promoted. By breaking through to new depths and expanding the achievements of deep shale gas exploration and development, Sinopec is committed to making further contributions to the rapidly increasing production of shale gas in China.
