The Yamal LNG project in the Arctic area of Russia (Yamal LNG) involves many aspects including management of the project's finances, construction of LNG plants and special ships, exploration and development, liquefaction, storage, transportation, and distribution of natural gas. The project is very demanding in terms of quality, standards, and technologies required. China was chosen to carry out modular fabrication for the projects. Six Chinese offshore engineering companies were awarded with contracts to manufacture modules that weigh more than 400,000 tons. Other Chinese companies were also enlisted to provide manufacturing, production, and processing assistance along with material and equipment supplies for the project. Their involvement in the project showed to the world not just their comprehensive strength in both LNG technologies and equipment fabrication but also their potential to become a world class competitor in the petroleum engineering market, as demonstrated by their strong capacity, attractive cost, and short delivery period for module fabrication during their participation in the Yamal LNG project.

China has proposed the "Belt and Road Initiative (B&R)" in 2013. One of its core strategies is international oil/gas cooperation. This paper addresses the status quo of cooperation on oil/gas infrastructure with countries along the line of "B&R", anticipates the cooperation prospect. On this basis, the author analyzes China's advantages and cooperation basis in this domain, conceives the practical way of cooperation on oil/gas infrastructure with countries along the line of "B&R". This paper also elaborates on the potential risks, risk evaluation criteria and risk control in oil/gas infrastructure cooperation with countries along the line of "B&R".

Domestic economic growth slowed down and supply exceeded demand in oil market in 2015, so the growth of refineries' processing volume was limited. Nevertheless, the gradual decontrol of market and the storage requirement under low oil price, crude oil imports hit a record high of 335.5 million tons, with the growth rate approximating 9%. Refined oil exports soared and imports decreased, which made China become a net refined oil exporter for the first time for 24 years, and net imports reached 6.22 million tons. Robust requirement on chemical raw materials propelled imported liquefied petroleum gas market to go on expanding. Imports exceeded 12 million tons in 2015, thus China leaped into the world's largest liquefied petroleum gas importer. In 2016, oil consumption growth would be kept at lower level. However, China would further decontrol crude oil import and refined oil export permits and put incremental storage capacity into use. Therefore, crude oil imports would continue to rise up, and refined oil exports may hit a new historic high. Imported liquefied petroleum gas market will enter into a stage of stable growth after two years' rapid development.

Commercial shale gas production has been rapidly realized in China following a short learning period. Shale gas production is expected to reach 4.5bcm by the end of 2015, with the construction of a 7.5 bcm production capacity. Over 700 shale gas wells have been drilled in China, mostly by the three state-owned oil companies. The most significant factors that led to the rapid shale gas development in China include the abundant shale gas resources, a relatively complete R&D system, and strong support from various stakeholders (the central and local governments, oil companies, and the general public). China has a long way to go for building a booming shale gas industry, because of many big obstacles in the way of shale gas development, including complex geology, high operation costs, incomplete infrastructure and technology constraints. Looking ahead, however, there are firm grounds for the projection of a bright prospect of China's shale gas industry, as a 20 bcm annual shale gas production is reasonably expected in 2020.

Australia's liquefied natural gas industry has been growing rapidly in recent years. As China's natural gas production drops and its demand for clean energy sources, such as natural gas, grows, LNG, as a complement to piped natural gas, will be an important part of China's strategy of ensuring its natural gas consumption. Aware of this market opportunity, China's three big national oil companies, CNPC, CNOOC and Sinopec have all invested in Australia's LNG sector. Chinese oil companies are facing multiple challenges in their Australian LNG projects, including strict environmental laws and high labor cost. These companies should strengthen communication with local government to create a good investment environment for LNG projects.

By the end of 2015, total length of China's long-distance gas pipelines has exceeded 70,000km. Onshore strategic import paths have been formed, domestic trunk networks perfected and gas storages construction pace accelerated. The Chinese section of Russia-China East Gas Pipeline was officially commenced, which marked that the northeast import path entered the stage of construction. There are 13 LNG terminals in China. The National Development and Reform Commission (NDRC) approved China's first private-owned LNG terminal—the Zhoushan LNG terminal. In the coming five years, the focus of institutional reform will be the independence of pipelines and networks, the focus of construction will be regional networks and branch pipelines, and joint ventures will be the mainstream for gas pipeline construction and operation.

There is a great potential of both supply and consumption in oil & gas market in Northeast Asia, and the prospects of further cooperation is very broad. Sino-Russia cooperation on oil & gas will lay a crucial foundation for building a regional oil & gas market, and an increasingly opened trading system for oil & gas will also meet Japan and South Korea's need in building a diversified and stable assurance system of oil & gas supply. The strategic role played by Kozmino Port in Far East Russia and Shanghai oil and gas trading platform in China will be highlighted. Competition and cooperation through market mechanism will help to activate the interactions of resource flow and capital flow in Northeast Asia region, thus can also help energy consuming countries in the region to promote their disclosure power in global pricing system and gradually eliminate the Asian Premium.

In order to economically and effectively develop shale gas in China, Sinopec introduced foreign technologies and integrated them with available domestic technologies and self-developed tools according to geological characteristics and complicated mountainous geomorphology in marine shale plays of southern China. A technology series composed of innovated theories concerning geological characterization during drilling, new generation of PDC bits, friction-reducing tools, low-cost oil-based drilling fluid system, high-efficient washing fluid and elastic mud systems, integrated drilling engineering design, long lateral cementing, modified well factory drilling method and etc., was developed to fulfill fast and optimized drilling for shale gas wells. The application of the technology series in about 251 wells of Fuling gas field, Chongqing City, southwestern China, showed positive results: mechanical rotating speed increased by 191%, drilling duration reduced by 53%, and quality passing percent 100%.

Crude oil imports in China are mainly carried out by state-owned entities with non state-owned entities as compliment. Crude imported by 5 state-owned entities accounts for 90% of the total imports, while non state-owned entities are about given more freedom in using and importing crude. In 2015 only, there were 13 companies granted with access to imported crude oil and 6 were qualified to import rights. Currently, there are 29 non-state-owned companies engaging in crude import business. China oil market is faced with severe challenges. The growth rate of oil demand declined, and dependence upon imported oil increased and reached as high as 61.26% in 2015. Refined oil demand growth also slowed down, and oil refining overcapacity got prominent and completion would become fiercer in future. Overcapacity was about 140 million tons per year in 2015. Consumption ratio of diesel to gasoline went on declining, and the task of product structure adjustment was heavy. China oil market is undergoing great transformation, and institutional mechanism will go ahead, on the basis of centering on orderly release of limitations on crude oil and refined oil import and export, orderly release of competitive business and government pricing of oil/gas downstream links, vigorous resolving of overcapacity, strengthening low-carbon development, and laying a solid foundation for guarantee.

Not only being abundant in resources, natural gas also helps power grids consume wind energy, solar energy and etc. The promotion of natural gas is an essential way to facilitate the development of new energy and complete the transition to an energy system where the renewable energy is dominant. The operation of energy Internet with a concept of equal, open, cooperative and sharing, and the optimization of a combined energy of gas, electricity, heating and cooling, could significantly improve the energy efficiency. Meanwhile, the development of energy Internet technology will subvert the existing division of energy industry, and generate new commercial formats with features of highly openness. It will also subvert some existing market rules, change the governance methods, generate renovations in organizations, business models and government management methods, thus requires further revolution in energy industry. In order to promote the rapid and healthy development of "Internet plus" natural gas industry, a series of policies and precautions are needed to be introduced and improved.

Alang with big drop of oil prices, offshore oil engineering market demand is witnessing profound changes. This brings rare opportunities while huge challenges for Chinese offshore oil engineering enterprises. Chinese offshore oil engineering enterprises have made rapid development in recent years, but they still have a certain gap with European and American competitors. Only by answering the time's call for developmentof international market and having the courage to participate in international competition could Chinese offshore oil engineering enterprises grow strong unceasingly.

The reforms in oil and gas sector have been accelerated in 2015. The reform of mineral rights has begun and 6 oil and gas exploration zones in Xinjiang Autonomous Region have served as the tender pilots, breaking through the requirements on the resources varieties, exploration phase and enterprise qualification. The right of importing and using of the crude oil has been gradually relaxed and 13 local refineries have obtained the right to use imported crude oil of 55.1888 million tons per year. The natural gas price for non-residential use was unified and a universal price was set for the incremental supply and existing supply. The Shanghai Petroleum and Gas Exchange (SHPGX) was established and laid foundation for the market mechanism to determine the price. The government governance has undergone continuous adjustments such as regulating the tax instead of charging the fees, streamlining administration and delegating power to the lower levels.The Guidelines on Deepening the Reform of State-owned Enterprises was released, symbolizing the accomplishment of the overall planning of the SOE reform.

In 2015, China's oil companies' overseas equity oil has grown steadily to approximately 150 million tonnes. State-owned oil majors have turned from scale-oriented to profit-oriented by adjusting investment speed and optimizing portfolio to improve operating profit of overseas business. The overseas investment of private oil companies mainly focused on two fields: the first is to invest in countries along the Belt and Road (the Silk Road Economic Belt and the 21st-century Maritime Silk Road), and the second is to enter the oil industry of the developed countries by M&A. Limited progress has been made in the foreign cooperation of domestic upstream sector, while new changes emerged in the foreign cooperation of upstream sector. Some planned projects were postponed or delayed due to domestic or international market changes. Private oil companies, however, began to cooperate with foreign companies in the downstream sector after the former got the right to import crude oil.

China is abandant in shale gas resources. Encouraged by the successful development of shale gas resources in the U. S., China began its shale gas research and exploration activity about 10 years ago. This paper briefed the history, state quo and future of shale gas development in the country. Factors that constrain the shale gas industry there include technology limitations, attitude of the government, environmental concerns and etc. The future of the shale gas industry in China depends heavily on how well these issues are dealt.

As oil and gas development gets more difficult, the market competition in engineering technology services tends to be fiercer. CNPC mud logging business is facing double challenges from technology and market. We analyzed both external and internal environment for CNPC logging business development, made clear the opportunities and challenges, gained insights into the existing problems, and proposed countermeasures from the aspects of management system, service mode, profitability, techniques and equipment, market expansion, and personnel training.

Natural gas output remained stable growth and reached 130.9 billion cubic meters in 2015, 3% higher than the same period last year. Shale gas saw huge progress. China thus became the third country in the world fulfilling commercial development after U.S. and Canada. Natural gas import growth and growth rate declined obviously, and the imported pipeline gas and LNG totaled 61.2 billion cubic meters in 2015. Apparent natural gas consumption was 186.5 billion cubic meters in 2015, rising by 4.4% as compared with the same period last year, but it hit a historic low. There is higher downward pressure on domestic macro economy in 2016. However, natural gas demand will see more rapid growth, propelled by such favorable factors as gas price regulation and environmental protection policies. It is prospected that natural gas market will take a turn for the better than in 2015, and natural gas supply will still be rich in general in 2016.

There are abundant proved oil reserves in Sudan and South Sudan, and Chinese companies are looking for petroleum business opportunities in Sudan and South Sudan. There is a bright future for cooperation in oil development in both Sudan and South Sudan. China, Sudan and South Sudan will continue to benefit from collaboration in petroleum industry.

In 2016, China's net imports of crude oil increased to 378.3 million tons and its net exports of product oil soared to 20.45 million tons. Refinery crude runs continue to grow at a low rate, and the domestic product oil market still has a supply surplus. Diesel consumption fell for the first time in 21 years. The liquefied petroleum gas (LPG) market continues to grow rapidly, spurred on by feedstock demand for chemicals and gasoline blending components, and imports of LPG have reached a record high of 16.12 million tons. The refinery throughput of PetroChina and SINOPEC had declined for 2 consecutive years, but crude oil imports climbed to a new high of 381 million tons as independent refineries boosted their utilization of capacity and the domestic oilfields produced a decreased amount of output. Imported oil now accounts for more than (2)/(3) of the Chinese market compared to being only about (2)/(3) 15 years ago. Moreover, the proportion of imported crude in refinery runs has risen to 70%. In 2017, China's economy will continue to face substantial pressure, and domestic demand for product oil will continue to grow slowly.

Ever since 2005, the US^’ shale oil and gas production growth and effective adjustment of domestic energy consumption mix have made it possible for the country to be less dependent upon imported energy and gain energy independence. What should we learn from it to guarantee energy supply security? This paper tried to answer the question.

Based on the analysis that the oil and gas cooperation is facing new situation under the background of the Belt and Road Initiative, this paper discusses the status quo of oil and gas pipeline construction in China. It's pointed out that the four major transnational strategic oil and gas corridors in the northwest, northeast, southwest and the eastern offshore areas of China have been formed. By the end of 2017, China's transport capacity for onshore oil and gas import had reached 73 million tons and 89 billion cubic meters respectively, and the oil handling capacity and liquefied gas (LNG) receiving capacity of coastal terminals had reached 600 million tons and 64.40 million tons respectively. The paper forecasts the future development trend of oil and gas corridor construction in China, and puts forward the following relevant suggestions:the international oil and gas trade shall be further developed to form a diversified and balanced import system; the offshore oil and gas development strategies shall be formulated at national level to lay the foundation for sharing and utilizing overseas oil and gas resources; the comprehensive and multi-functional synergic security system shall be established to safeguard the energy import and energy corridors; the oil and gas security forecasting and early warning mechanism shall be improved to form hierarchical and multilevel early warning and emergency response measures.

International oil keeps low-price running after crash, and China deepens reform domestically. Using this opportunity, China lays the same emphasis on investment and trade, on onshore and offshore transportation, gives full play to the important role of market in resource distribution, speeds up oil and gas system reform to guarantee clean, efficient, safe and steady energy supply and long-term demand for energy. We systematically and thoroughly established legal system for oil and gas domains, reformed management system for energy domain, reformed regulatory domain, built modern market entity and multi-level market system, and improved oil and gas pricing mechanism, etc.

China has made great progress during 7 years of shale gas exploration and development. The country managed to finish a preliminary assessment of its resources, start commercial development of two shale gas blocks, and carry out basic technological research for independent development of the gas. To encourage the development of the sector, the country also issued a series of preferential policies. Two rounds of shale gas bidding were held successfully. However, shale gas development in China is still in an early stage. Challenges such as immature geological theories, lack of key technologies and capital,and environmental issues are almost inevitable and need to be tackled before or duringthe exploration and development of shale gas in the country. Overall, shale gas has a bright future in China because of the country's urgent demand for cleaner energy and its current heavy reliance upon imported gas. The article suggests that China will be able to produce 40 bcm by 2020 and that a healthy development of shale gas will be good news for both chemical engineering and peak shaving reserves.

The economic rise of the BRICS countries (Brazil, Russia, India, China and South Africa) is closely tied to global energy politics and their increased consumption of global energy. Energy cooperation is one of the main forces behind the development of BRICS. Looking forward, energy concerns will undoubtedly remain an important influencing force for the BRICS, shaping their domestic politics and international relations. The pursuit of oil and gas (China, India, and South Africa) to support economic development and the search for stable petroleum markets (Brazil and Russia) have shaped BRICS relations with other countries and regions. This article is trying to elaborate on the reasons why BRICS Energy cooperation is beneficial for its members; also, this article regards the main challenges hindering cooperation, analyzes BRICS energy cooperation through the use of SWOT analysis and muses potential strategic points for BRICS countries up until 2050.

Drilling crews of Sinopec have encountered a series of troubles when drilling a formation called kazhdumi of Yadavaran oilfield, Iran in the last few years. The formation is buried in the depth from 3300m to 3500m, mainly including limestone, muddy limestone and some bituminous shale. Many microfissures exist in the formation and the equivalent density of formation pore pressure ranged from 1.19g/cm³ to 1.59g/cm³. Asphalt or heavy oil kicks occurred in drilling three wells in one and a half years, which contaminated the drilling fluid and made well killing difficult due to the kicks and lost circulation in open hole. Gas and hydrogen sulfide (the concentration is up to 40000ppm) were present in the wells, and finally two wells were completely abandoned and one partially lost, which frustrated the drilling engineering seriously. By analyzing the data of the drilled wells, the paper summarized the causes of the troubles, and put forward suggestions and conclusions that can serve as reference and guideline for drilling well in this area in the future.

Economy growth in China is expected to slow down a little during the 13th Five-Year-Plan period. So will the domestic gas demand and supply market, which may be quite different from that of the 11th and 12th Five-Year-Plan periods. The paper summarized the state quo of gas supply and demand in the country and analyzed factors that may affect the demand and supply balance in the new period. It is proposed that there will be many uncertainties in achieving supply and demand goals of gas set for the period, and gas glut is also very possible during the time. To deal with the problem, it is suggested that several measures be taken nationwide:improving utilization of gas in several sectors, straightening and optimizing the pricing mechanism, speeding up construction of infrastructures, implementing relevant policies and boosting up supervision and monitor of the industry.

In this paper, by in-depth geological research of Kalamkas Oilfield in Central Asia, the geological body has been re-ascertained; combined with fine study of reservoir engineering, based on the understanding of the distribution of remaining oil, horizontal wells have been given full play to stabilizing oil production and controlling water cut, reducing the producing pressure drop, improving well productivity and other advantages, and the development and deployment has been optimized; horizontal wells have been applied to solve problems such as old well casing damages, shutting down wells, low-productivity and lowefficiency wells, and high water cut wells to improve the utilization rate of old wells; through separate layer system improved injection production pattern, adjustment wells have been optimized and deployed, and part measures wells have been preferably selected to tap the residual oil, improve the degree of reserves control, realize the stabilization of oil production and control of water cut in an old oilfield, and further improve the development effects.

With the rapid growth of coal chemical industry in China, the selection and application of Air Separation Unit (ASU) became very important. As the core unit in coal chemical industry, ASU will greatly impact the engineering construction and operation/production of coal chemical business. In this paper, major suppliers of ASU at home and abroad were reviewed, and the major supplying status of ASU in China was introduced. The ASUs in operation of SINOPEC were listed and discussed. On this basis, some suggestions of ASU selection strategies were provided on localization, standardization and operation methods.

Energy trade is the barometer of global trade in goods and plays an integral role international trade. As an important part of the implementation of the Belt and Road Initiative, multilateral partnership in energy trade is one of the most cooperative and promising areas for the countries along the Belt and Road. Since the implementation of the initiative five years ago, cooperation in energy trade between China and the countries along the Belt and Road has been deepening. This development not only benefits the energy producers, energy consumers and energy corridors, but it also elevates China's influence and leadership in the regional energy market, contributing to the construction of a new international energy order.

Growth rate of oil demand rose again in China in the first half of 2015. Demand for oil products went on differentiating, and the demand growth of most products sped up. Growth rate of oil production rose again, oil imports increased rapidly, and external dependence of crude oil and oil broke through 60% separately. The State adjusted the prices of gasoline and diesel timely and frequently, based on pricing mechanism. Price hike was higher than reduction. Oil market got weak, yet more stable. China increased the pace of reforms in marketization. In the second half, oil demand will increase continuously but with lower growth rate, oil production will rise more slowly, imports of crude oil and oil will keep on rising rapidly, gasoline and kerosene as well as diesel will witness a net import, and the market of gasoline, kerosene and diesel will be more stable.