Exploration & Production

Size matters for Shanxi in China’s second CBM auction

More stringent qualification requirements for the latest licensing round suggest Chinese officials want to attract bigger companies with more financial clout More stringent qualification requirements for the latest licensing round suggest Chinese officials want to attract bigger companies with more financial clout.
By Tang Tian 8 January 2019 0 33811
A CBM well in China. (Dart Energy)

Prequalification for China’s second CBM auction in as many years wrapped up on Tuesday, with two blocks on offer in Shanxi. Tougher requirements for joining the latest tender suggest officials in the northern province want bigger players with deeper pockets to take the lead in developing its vast CBM resources.

Companies interested in the Yushe-Wuxiang and East Wuxiang blocks in the Qinshui Basin had until last Thursday to buy data packages and register for bidding. Now the Shanxi arm of the Ministry of Natural...