Two major oilfields in NW China aims output growth

URUMQI, Jan. 30 (Chinese media) -- Developers of two key oilfields in Xinjiang

Uygur Autonomous Region have pledged to further tap oil and gas reserves and

boost their production capacity in the coming years.

Karamay Oilfield is expected to realize an annual crude oil output of 16

million tonnes and 10 billion cubic meters of natural gas by 2015, according to

Chen Xinfa, general manager of Xinjiang Oilfield Company, a subsidiary of China

National Petroleum Corporation (CNPC).

The oilfield, reporting 28 consecutive years of increase in crude oil

output, produced 12.2 million tonnes of oil in 2008. Natural gas output hit 3.42

billion cubic meters last year, 520 million cubic meters more than that of 2007.

Chen said its company will further explore oil and gas reserves in the area

and adjust and improve production methods to realize the goal.

Another key oilfield of Tahe, being developed by Sinopec, is expected to

produce more than 10 million tonnes of crude oil annually by next year, a huge

jump from last year's output of 6 million tonnes.

Sinopec plans to invest 9.8 billion yuan (1.43 billion U.S. dollars) in the

oilfield this year to produce 6.59 million tonnes of crude oil and 1.21 billion

cubic meters of natural gas.

According to a medium and long-term development plan, Sinopec will strive

to increase the oilfield's combined oil and gas output capacity to 15 million

tonnes annually by 2015. By 2020, the figure is expected to increase to between

20 million and 25 million tonnes.

Both oilfields are located in Xinjiang's Junggar Basin, which stores oil

and gas reserves totaling 10.7 billion tonnes, only 21percent of which has been

ascertained by now.