Conoco Terminates Shale Gas Operations in China

ConocoPhillips has halted shale gas exploration projects in China, Xinhua Finance reported Wednesday.

The US energy firm has terminated joint shale gas exploratory work with PetroChina in Dazu block within Neijiang County of southwest Sichuan province, the news agency said.

ConocoPhillips also ended exploration with Sinopec in Zuanjiang County of southwest China's Chongqing municipality. It had signed an agreement with Sinopec Exploration Southern Company, a subsidiary of Sinopec in December 2012 and a product sharing contract with PetroChina, Xinhua Finance reported.

Spending cut by international oil companies amid low oil prices is the main cause behind termination of shale gas exploration by ConocoPhillips in China, said Li Li, an senior analyst with market information supplier ICIS.