The "Qaidam Basin Oil/Gas Exploration and Development Key Technology Study" has entered a new key stage.

   Involving an investment of 240 million yuan, the special study, beginning to be implemented in June 2007, has boosted up oil/gas resources exploration in the basin effectively.

   Qinghai Oilfield is the highest oilfield above the sea level in the world, with average elevation reaching 3,000 meters. The 250,000-sq-km Qaidam Basin, renowned "Treasury Basin", is an important area for land oil/gas exploration in China. After more than 50 years exploration and development, Qaidam Basin has become an important oil/gas production base in China. Oil/gas output of Qinghai Oilfield reached 4.75 million tons in 2007.

   It is learned that China has invested 700 million yuan in oil/gas exploration in Qaidam Basin in 2007, with actual proven reserve reaching 60 million tons; and plans to invest another 700 million yuan to verify 100 million tons of oil/gas reserve this year.

   Statistics show that the potential resources volume of oil and natural gas in Qaidam Basin reaches 4.65 billion tons. But due to complicated plateau geological structure, the proven rate of oil reserve here is only 15.6 percent; and that of natural gas reserve, 12.1 percent.