Natural gas industry in China has entered a fast-developing stage

and China will soon become a large gas producer. However

the abundance of natural gas resources in China is relatively low

thus large amount of natural gas still need to be imported in the future. Our gas industry is faced with some "quality"problems. Gas fields in China are generally characterized by relatively small reserves

low abundance

low individual-well productivity and rapid decline of production. In addition

the foundation of our gas industry is weak and most of the gas fields are far from the economically developed areas

which need building very long pipelines for transportation. Thus both wellhead price and transportation cost are high

resulting in a relatively high end-user price

which would influence its competitive capacity in the energy market. Therefore

when formulating development strategy of our gas industry

study of integrated development should be strengthened

and importance should be attached to progressive development while exploring the low-grade gas resources

to comprehensive planning of the upstream and downstream sectors

to overall planning of pipe network construction

to adjustment of the distribution of industrial users

and to the development of LNG.