Technical status and challenges of shale gas development in Sichuan Basin, China

Abstract

Abstract During the past decade, shale gas developments have changed the energy structure in the US natural gas industry, and the exploration activities for shale gas are also increasing worldwide. According to the papers published in recent years, shale gas resources are quite abundant in China. With the successful experience obtained from North America, many state-of-the-art technologies are brought in and refined for field application. State-owned enterprise, private enterprises and foreign enterprises have all actively participated in the exploitation of shale gas. Compared with US, China faces many more challenges, both geological and above-ground, in the development of shale gas resources. This paper begins with the introduction of shale gas reserve distribution in China and the identified shale gas formation in Sichuan Basin. The following paper reviews the methodology employed in the geophysical prospecting, drilling and completion, and hydraulic fracturing process. Since China is in the early stage of shale gas development, there is a great technical gap between China and North America. Based on literature review, the major challenges faced in the exploration and production process are identified. What presented in this paper should be of particular interest to the personnels involved in shale gas production in China and countries that are about to set foot in shale gas business. It will also be of interest to researchers who are dedicated to developing these technologies to unlock unconventional gas resources in China.