Sanmenxia Basin yields tons of oil in Henan

China has discovered 427 million metric tons of oil in the Sanmenxia Basin, marking a significant breakthrough for small and medium-sized basin exploration, the China Geological Survey said on Wednesday.

The Sanmenxia Basin, in western Henan province, was identified last year as a key exploration target by the CGS, a division of the Ministry of Natural Resources. Initial exploration achieved a maximum daily industrial oil output of 15.83 cubic meters, the first significant oil breakthrough in the region.

Following the discovery, the CGS partnered with the Henan government and related enterprises to drill two additional wells. These produced maximum daily oil flows of 15.5 cubic meters and 92.52 cubic meters, respectively, according to the CGS.

"This discovery confirms the promising oil exploration prospects of the Sanmenxia Basin and boosts confidence in continued exploration," said Bai Zhongkai, head of the CGS's oil and gas resources investigation center.

The Sanmenxia Basin spans 4,550 square kilometers and is one of the 356 small and medium-sized basins in China. As of 2020, resource evaluations had been conducted for only 89 of these basins, leaving significant untapped potential, the CGS said.

Su Yinao, an academician with the Chinese Academy of Engineering, said the Sanmenxia Basin's success could serve as a model for similar exploration nationwide.

"Solid geological surveys in the basin led to the discovery of high-quality hydrocarbon source rock, overturning the belief that the region lacked oil and gas potential," said Zhang Zuoheng, director of the CGS's oil and gas resources investigation center.

The CGS emphasized the importance of innovative technical methods, citing the development of an efficient and environmentally friendly system tailored to small and medium-sized basins.

"This approach enabled rapid breakthroughs and will be critical in future exploration efforts," Zhang said.

The success in the Sanmenxia Basin suggests resource potential in the remaining 267 unevaluated basins, potentially bolstering China's oil and gas reserves and energy security, the CGS added.

Looking ahead, the CGS plans to accelerate construction of an exploration and development base in the basin to assist oil and gas companies in boosting evaluation and production capabilities.

Additionally, the agency will focus on intensifying surveys in other small and medium-sized basins in southern North China to uncover more oil and gas resources. Promising basins with favorable geological conditions will be prioritized for further surveys and technical research, with an aim to transform them into growth hubs for China's energy sector.