On July 14th, it was announced that the proven geological reserves for the Yandong Coalbed Methane Field submitted by the group have passed the review and filing process with the Ministry of Natural Resources, with geological reserves of approximately 53.7 billion cubic meters. This marks the addition of another major deep-seam coalbed methane field in Shaanxi Province.

Located within Yanchang County and Yichuan County, the Yandong Coalbed Methane Field is the first large deep-seam coalbed methane field proven by a provincial enterprise in Shaanxi. It is buried at a depth exceeding 2,000 meters and represents a typical "self-sourced and self-stored" deep coalbed methane reservoir.

According to expert assessments, the proven reserves of the Yandong field provide a foundation for constructing an annual production capacity of 800 million to 1 billion cubic meters of coalbed methane.

A coalbed methane field is essentially a natural gas reservoir trapped within coal seams, primarily composed of methane, commonly known as "firedamp." After extraction and processing, coalbed methane can be converted into a clean fuel, serving not only to enhance coal mine safety but also as an energy source.

Shaanxi Province is a major hub for coal resource reserves and production, with its coalbed methane resources primarily distributed across mining areas. In 2023, CNOOC discovered the Shenfu Deep Coalbed Methane Field in Yulin, northern Shaanxi, with geological reserves exceeding 110 billion cubic meters. This discovery marked China's first deep coalbed methane field with reserves in the hundreds of billions of cubic meters.

In March of this year, Shaanxi issued an implementation opinion to further accelerate the extraction and utilization of coalbed methane (coal mine gas). The document outlines measures such as increasing financial support, strengthening development and utilization management, improving pricing and grid connection policies for power generation, and accelerating technological innovation to promote the development and utilization of coalbed methane within the province, providing greater support for ensuring national energy security.

A relevant official from the Yanchang Petroleum Group stated that increasing natural gas reserves and production is a core national strategy for ensuring energy security and optimizing the energy structure. The Yandong Coalbed Methane Field will provide robust support for Shaanxi's efforts to increase its natural gas reserves and production.