Pact to target red hot demand for energy

14:24, November 11, 2010      

Email | Print | Subscribe | Comments | Forum 

PetroChina and Royal Dutch Shell have agreed to explore oil and gas projects in Canada and a coal-bed methane tract in North China's Inner Mongolia region, according to Bloomberg News.

The deal, which aims to capitalize on growing global demand for energy, was struck Wednesday in Beijing, and will include energy cooperation in both oil rich Canada and the coal rich Erdos Basin in the Inner Mongolia Autonomous Region.

The contracted zone called Changbei Tract has a total area of 1,588 square kilometers. It is located in the north Erdos Basin, north of Shaanxi Jingbian and west of Shaanxi Yulin. A total of 30 wells with an average depth of 2,700 - 2,900 meters have been drilled in the tract to date.

Coalbed methane, or coal seam gas, is a form of natural gas extracted from coal beds. In recent decades it has become an important source of energy in the United States, Canada, and other countries.

In August, Asia's largest oil and gas producer and The Hague-based oil giant also completed an $3.5 billion joint acquisition of Australia's coal-bed methane producer Arrow Energy.

By 2020, PetroChina aims for a 14-fold increase in coal seam gas output from the Erdos Basin and the company plans to produce 10 billion cubic meters of coal seam gas per year.

Wednesday, PetroChina's shares in the Shanghai Stock Exchange increased 0.08 percent to 11.83 yuan ($1.78), while stock of the oil and gas giant closed at 10.14 yuan ($1.53), down 0.2 percent at Hong Kong Stock Exchange.

Source: Global Times


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion