Abstract:

The development of China's natural gas geological theory could be divided into two stages:gas exploration guided by the theory of single oil type gas during 1949～1980;the theory of coal formed gas since 1980.Now 40% of natrual gas is used in industrial chemicals.It is predicted that in the coming century,natural gas will be widely used in electric power,urban civil use,commercial,industrial chemicals and automobile as an important source of energy.The demands on natural gas would increase rapidly,domestic gas production would not meet the needs.In order to improve China's natural gas industry,it is suggested that:1.put gas exploration in the first place and increase energy resources assurance;2.lay equal stress on both gas exploration,exploilation and processing;3.make use of natural gas resources of both at home and abroad and open domestic and foreign markets;4.ensure the balance of gas supply and demands.

Key words: natural gas, geological theory, industry, development, market, balance, supply, demand