Formation, distribution and resource potential of the "sweet areas (sections)" of continental shale oil in China

Abstract Shale oil refers to oil stored in organic-rich shale. It is an important part of unconventional oil and provides a large amount of resources. Based on the systematic study of the geological characteristics of shale oil in China's major continental basins, the geological connotation of the “sweet area (section)” in shale oil is proposed in this paper, and it refers to areas (sections) that can be preferentially explored and developed in oil-bearing shale formations under current economic and technical conditions. The formation conditions and distribution characteristics of continental shale oil in China are analyzed with a focus on the geological properties of the Triassic Yanchang Formation in the Ordos Basin, the Cretaceous Qingshankou Formation in the Songliao Basin and the Permian Lucaogou Formation of the Jimusar Sag in the Junggar Basin. It is found that the “sweet areas” of shale oil with medium-high maturation are mainly located in thick shales with a Ro greater than 0.9%, and the “sweet sections” are mainly located in the middle and lower parts of the shale formation. The geological resources of continental shale oil in the major continental basins in China are estimated to be approximately 3700 × 108 tons. The in situ conversion process (ICP) may be a key technology for the effective development of medium-to low-mature shale oil. The scale, maximum burial depth and present depth of the organic-rich shale are proposed as the three key parameters for the optimization of pilot sites by taking the Triassic Yanchang Formation in the Ordos Basin as an example. Using ICP, it is expected that the recoverable resources of China's continental shale oil will be approximately (400–500) × 108 tons. The terminology of "man-made reservoir" is proposed in this paper. In an "man-made reservoir", the overall industrial output of the "sweet areas (sections)" is formed by artificial intervention and the construction of an underground fracture network system with "man-made permeability". Continental shale oil may be another revolutionary source of unconventional oil and is expected to be first successfully produced in China.