Canadian blocks start up
Updated: 2013-03-20 07:30
By Du Juan (China Daily)
Two shale gas blocks owned by Chinese private company Yantai Jereh Oilfield Services Group Co in Canada's Central Alberta region have started production, the company said on Tuesday.
In September 2012, the company bought 64 shale gas blocks in Canada for about 57.12 million yuan ($9.08 million) through its Canadian subsidiary Hitic Energy Ltd.
As the only Chinese company exporting complete sets of shale gas development equipment to the North American market, Yantai Jereh is not only interested in manufacturing, but also in the exploration of upstream resources, Jiang Xiaobao, the company's vice-president, told China Daily at the 5th International Petroleum Summit in Beijing.
"The two blocks' shale gas reserves are very promising, and Canada's transparent regulations provide us with good business opportunities," he said.
The 64 blocks are expected to hold reserves of more than 200 million barrels.
The company has sold more than 200 units of shale gas development equipment in China and overseas since 2011, and also built a factory in Houston in the United States. So far, Jereh has provided equipment to more than 35 countries.
The company's revenue in 2012 grew by about 30 percent in the overseas market, and Jiang expects the figure to continue to increase this year.
At the same time, the company is also focusing on the domestic market.
"We are developing equipment especially for the Chinese shale gas market," he said.