China has nearly 25 more shale gas reserves than the United States, according to a recent report. It’s estimated that about 1.27 trillion cubic feet of shale gas reserves are located in China – enough to last for about 300 years.
However, the country may not be able to produce as much or as fast as the United States has in recent years. In a recent interview, Jane Nakano, a fellow of the Energy National Security Program at the Center for Strategic and International Studies in Washington, D.C., said China’s shale deposits are more complex than those in the U.S.
China hopes to have shale gas provide about 10 percent of the country’s energy by 2020. Gas currently supplies about 4 percent. However, it’s likely much of that gas will have to be imported, according to Nakano.
Bloomberg analysts say China’s shale gas goals are unrealistic, because the government has not invested enough into oil and gas exploration, a recent article stated.
“The only way China is going to be able to meet its output goals is for the government to pour money into exploration and development and ease up on the price controls,” according to Chris Faulkner, chief executive officer of Dallas-based shale driller Breitling Oil and Gas Corp.