Qilu-Shengli Oilfield Project

The Qilu–Shengli CCUS project is located in Shandong Province, eastern China, and represents one of China’s first large-scale integrated carbon capture, utilization, and storage (CCUS) developments combining industrial capture with CO₂-enhanced oil recovery (EOR). The project captures CO₂ from the Qilu petrochemical complex (operated by Sinopec) and transports the compressed CO₂ via pipeline to the nearby Shengli Oilfield, one of China’s largest onshore oilfields, for injection into mature reservoirs. Captured CO₂ is purified, compressed, and transported through dedicated pipeline infrastructure to injection sites where it is injected into sandstone reservoirs within the Bohai Bay Basin to enhance oil recovery through miscible or near-miscible displacement. The Shengli reservoirs consist primarily of fluvial-deltaic sandstone systems with structural and stratigraphic trapping typical of eastern China’s rift basins. CO₂ injection improves recovery by mobilizing residual oil while enabling long-term geologic storage through structural trapping, residual trapping, and dissolution mechanisms. The project is designed as a full-chain CCUS demonstration integrating capture, transport, injection, and monitoring technologies. It serves as a flagship deployment for Sinopec’s carbon management strategy and demonstrates large-scale industrial CO₂ utilization in China’s mature oilfields.