China Encourages Foreign Investors to Explore Unconventional Oil and Gas
Dec. 12 – On the First Energy International Investment Cooperation Forum held in Beijing on December 3, Deputy Director of the National Energy Administration (NEA) Liu Qi said that China fully encourages foreign investors to, by way of cooperation, carry out petroleum and natural gas exploration and development in the country, in addition to shale gas and other unconventional oil and gas exploration and development.
Qi also points out that the country encourages investment in the construction of new energy power stations, hydropower stations mainly for power generation purposes, and thermal power stations adopting clean burning technology. This is in addition to encouraging multinational energy corporations to set up research and development centers in China.
In response, China’s National Development and Reform Commission (NDRC) and NEA will join hands with diplomatic, financial, tax and commercial departments to accelerate the approval of overseas energy investment projects, simplifying the approval procedures thereof while also controlling the investment risks.
In the past six years, the energy consumption per unit of GDP in the country has been lowered by 21 percent, reducing carbon-dioxide emissions by 1.53 billion tons. In 2011, China’s output of primary energy equaled 31.8 billion tons of standard coal, ranking first in the world. Within that figure, raw coal accounted for 3.52 billion tons, crude oil amounted to 200 million tons, and refined oil products amounted to 270 million tons. Besides, the installed generating capacity of hydropower also ranked first worldwide, reaching 250 million kilowatts; and 15 nuclear power generating units have already been put into operation, with another 26 units currently under construction.
Since the implementation of China’s reform and opening-up in 1978, the country has actively participated in international energy cooperation and has established over 60 bilateral mechanisms with countries and regions like the United States, Russia, the Middle East and the European Union. Additionally, Chinese enterprises have, so far, cooperated with 40 countries in oil and gas exploitation and development. In 2011, China held 90 million tons of oil and gas equivalent overseas, with production volume exceeding 150 million tons.
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