... The NEA is the Chinese Energy administration, which is why the third line says "In the plan, the government urges Chinese companies to "
The EPA is NOT urging Chinese companies to do anything Billy. ...
I agree with last sentence from your post above, but note that the Chinese have very little direct knowledge of the size of their resources - They are just in last year learning from the western oil companies they have hired how to explore for shale oil/gas resources in their land. First suscessful well was drilled in Dec 2011 by Shell. The Chineses NEA is NOT the true source of information/ data on potentials - EIA and really western oil companies are.
They totally lack all fracking technology but have bought two western (both US based, I think, and recall one has Chesapeake in its name) to get this technology.
Having no data of their own, they incorporate in their just started 5 year plan the latest available, (but more than year old), data of the 5 April 2011 released EIA study (The EIA, also has no data of its own but based the study on western oil company data the EIA had access to).
SUMMARY: China´s plan is based on western data, and they want to get more western technology and help in exploration:
"... In the plan,
the government urges Chinese companies to work with foreign companies and research institutes with expertise in exploring for and exploiting unconventional natural gas resources.
It also stressed the environmental benefits of exploiting such resources. Using just 6.5 billion cubic meters of gas to generate electricity instead of the coal needed to generate an equivalent amount would cut annual emissions of carbon dioxide by 14 million metric tons, sulfur dioxide by 115,000 tons and nitrogen oxides by 43,000 tons.
China is pushing hard to increase its use of natural gas and reduce its dependency on coal, which it currently uses to generate around 70% of its electricity. But large-scale exploitation of shale gas reserves has yet to begin.
China has an estimated 25.08 trillion cubic meters of potentially recoverable shale gas reserves, domestic media reported this month, citing the Ministry of Land and Resources.
The U.S. Energy Information Administration last year said that China has an estimated 1,275 trillion cubic feet of technically recoverable shale gas reserves, which would make it the largest repository of shale gas in the world.
Domestic and foreign energy majors working in China hope to replicate the huge increase in shale gas output seen in the U.S. over the past decade. U.S. companies pioneered the technique known as hydraulic fracturing, or "fracking," enabling them to extract previously inaccessible gas from rock formations. The result was a massive increase in recoverable natural gas reserves, sharply higher output and tumbling gas prices.
PetroChina Co. (PTR) and Royal Dutch Shell PLC (RDSB) said in December that they had found gas after drilling their first shale gas evaluation well at a block in Sichuan province. Other companies, including Total SA (TOT) and Chevron Corp. (CVX), are also seeking shale gas reserves in China.
Norway's state-owned Statoil ASA (STO) is in initial talks with Chinese company Shenhua Geological Exploration about jointly developing shale gas projects in China, industry news portal Upstream reported Friday. ..."
I own stock in Statoil (and Total too, but my facts come from STO). I.e. I got my facts from STO press release but this public source, I quoted above, at:
http://www.4-traders.com/STATOIL-AS...Billion-Cubic-Meters-A-Year-By-2015-14221151/
tells the same thing. I.e. China´s plan is based on EIA and western oil company data exploration and technology - Not Chinese. They incorporated it in the only month old new 5-year plan.
PS Because Norway granted the Peace Prise to some one in Chinese prison, China is going slow with letting Statoil be active there. All western companies (not just oil industry) must have a chinese partner to do business in China - How China quickly gains Western technology. Japan´s Hatitchi is thinking of moving it world leading rare earth magnet techonology and production to China as China is making it tough to get the Rare Earths they need. China plays "hard ball" better than most capitalistic countries do, using both the carrot & the stick.