Located in the plain of Liaohe middle-lower reaches, Liaohe oilfield is an important part of Bohai Gulf oil province. Its exploration and development cover an area of 112,800 m2 in total across thirteen cities (districts) and thirty-five counties. In Liaohe oilfield, oil reservoirs are distributed primarily in the plain of Liaohe middle-lower reaches and the eastern part of Inner Mongolia and the shoal of Liaodong bay.

In Liaohe oilfield, oil and gas exploration begun in 1955. The oil flow from well Xin 1 in Liaohe basin revealed the oilfield on 9th September, 1969. As a result of exploration over more than 30 years, 36 oilfields in various sizes have been found totally with 19×108t proven OOIP and 670×108 m3 OGIP. There have been 26 oilfields built up and developed and 9 production bases established, including Xinglongtai, Suguang, Huanxiling, Jinzhou, Gaosheng, Shenyang, Ciyutuo, Lengjia and Kerbqin. Now, Liaohe oilfield has established an annual oil production capacity of 1500×104 t.

Since 1994, the production in Liaohe oilfield has been stabilized consecutively for four years. It is ranked No.3 among all the oilfields in China and No.2 among the oilfields in CNPC. Liaohe oilfield is a super giant oilfield dominated by heavy oil production with its proven heavy oil OOIP accounting for 50% of its total oil reserves. In 1997, the heavy oil production in Liaohe oilfield was 880×104 t, accounting for 58.5% of the overall oil production in the oilfield. Now, Lioahe is the largest heavy oil production base in china.

Striving and exploring for about 30 years, Lioahe oil workers have mastered a complete set of geological theories and technologies for exploration and development of compound oil and gas reservoirs. Many technologies such as comprehensive study on geological theory, seismic acquisition and interpretation, mud logging and testing, downhole fracturing, cluster drilling and horizontal drilling are in the leading position in China, especially the development technology of heavy oil and high pour point oil up to the internationally advanced level.

The successful IPO of the stock “Jinma” (Liaohe oilfield) in Shenzhen in May, 1998 established its position as “No. 1 stock in Chinese oilfields”.