In the southern part of the Xinjiang Uygur Autonomous Region, Tarim Oil and Gas Province is located in the Tarim Basin, China's largest oil and gas-bearing basin.
On November 17, 1988, the discovery of Lunnan Oil and Gas Field marked the start of the large-scale development of Tarim. More than 30 oil and gas fields, four oil and gas field groups and three gas enrichment areas, including Tazhong Oilfield, Hade Oilfield, Kela-2 Gas Field, Tazhong-1 Gas Field, and Yaha—Yingmaili oil and gas field group have been discovered, which are mainly distributed in the Kuche Depression, Tabei Uplift, Central Uplift, and Taxinan Depression of the Tarim Basin.
In 2008, oil and gas production of Tarim Oil and Gas Province exceeded 20 million metric tons of oil equivalent, including 17.38 billion cubic meters of gas, which is 30.7% of CNPC's domestic gas production, making it China's largest gas province.
Kela-2 Gas Field
In September 1998, Kela-2 Gas Field was discovered after a high-yield gas flow was obtained from well Kela-2 drilled in Aksu area. In December 2004, Kela-2 Gas Field was put into production, with a designed annual productivity of 10.7 billion cubic meters.
Situated at the Kelasu structural belt in Kuche depression of Tarim Basin, Kela-2 Gas Field is a high-quality uncompartmentalized gas field, characterized by ultra-high pressure, productivity and abundance. Its discovery directly led to the implementation of the West-East Gas Pipeline Project. Kela-2 Gas Field currently has a proven gas-bearing area of 47 square kilometers, proven gas in place of 284 billion cubic meters, and recoverable reserves of 229 billion cubic meters. In 2007, Kela-2 produced over 10 billion cubic meters of natural gas.
Dina-2 Gas Field
Dina-2 is located in the south of the Tarim Basin, Xinjiang Uygur Autonomous Region, with a cumulative proven gas in place volume of 175.2 billion cubic meters and gas condensate reserves of 13.39 million tons. In addition to Kela-2, Dina-2 is another gas field with a gas in place volume exceeding 100 billion cubic meters in the Tarim Basin.
Construction of the Dina-2 Gas Field commenced in March 26, 2008. On June 28, 2009, Dina-2 was put into operation, with its processing plant capable to process five billion cubic meters of natural gas and output 4.56 million tons of oil equivalent every year.