Reply on inviting investment in oil and gas exploration and development in Minhe County, Qinghai Province

(Letter number:No. [2002] 420 issued by the Department of Land and Resources)

Qinghai Provincial Department of Land and Resources:

Your request for instructions on requesting Minhe County to conduct oil and gas exploration and development in Hutouya by way of investment (Qing Guo Tu Zi [2002] 190) has been received. After study, the reply is as follows:

According to the State Council's Measures for the Registration and Management of Mineral Resources Exploration Blocks, Measures for the Registration and Management of Mineral Resources Exploitation and Regulations on People's Republic of China (PRC)'s Cooperative Exploitation of Onshore Petroleum Resources, the approval and certification of oil and gas resources are subject to state management, and only oil companies approved by the State Council can apply to the Ministry of Exploration, Development and Foreign Cooperation for oil and gas resources exploration and development. No unit or place may accept applications from domestic and foreign units for exploration and development of oil and natural gas resources, and may not cooperate with foreign businessmen or attract investment to explore and develop oil and natural gas resources in China without authorization. Therefore, the above provisions must be strictly implemented in oil and gas exploration and development by attracting investment.

General office of Ministry of Land and Resources

February 2002 18