China has taken advantage of the trend for low oil prices to intensify long-term exploratory activities on its own territory. The results thus far have been even better than expected as an untapped oil deposit in Juggar Basin in the Xinjiang region reportedly contains over 1 billion tons of crude oil. According to PetroChina,
“Nearly 1.24 billion tons of crude have been found so far with about 520 million tons of proven reserves”.
The discovery made by the Chinese National Petroleum Corp (CNPC) is one of many satisfying finds for China. As a leading energy consumer, China is driving to become more energy independent. Progress has been made in respect of explorations of new oil reserves while at the same time, China has become a global leader in green energy technology.
China is fast becoming a big game player in global energy markets as the introduction of the Petroyuan for oil futures sales aims to challenge the hegemony of the Petrodollar which has been the standard currency of the energy trade since 1971.
Venezuela has already adopted the Petroyuan as the de-facto trading currency for oil sales.