Oil sand samples obtained from the Yousha Mountain in the Qaidam basin located in the northwestern region of China have been sampled, tested and deemed "feasible" for further development and exploration. As the China Petroleum Daily reports, samples contain a high percentage of clean oil that should make the process of extraction and refinement a relatively low-cost operation.
The report states that the Qaidam oils sands reserve could contain enough usable crude to allow for the daily extraction of 700 metric tons. However, the report did not list any detailed info regarding the total crude reserves contained within the region. Once extraction begins, the Qaidam basin will become the country's first oil sand project. China intends to invest additional resources and funds into the exploration and extraction of fuels from rather unconventional methods like coalbed methane, oil sands, oil shale and shale gas. Of course, most of us are well aware that these unconventional fuel sources are typically much dirtier, well to wheels, than conventional energy sources. Others see the unusual methods as an option – the last, best option? – to get to lower gas prices, reduced energy costs and increased production.

[Source: HeavyOilInfo]

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