Southwestern China’s Guizhou province has gained approval from the Ministry of Land and Resources (MLR) to explore shale gas in its north region, sources reported.<br /> <br /> The project is expected to be completed by 2020 and will explore the potential of producing 1 billion cubic meters of shale gas annually, according to the provincial department of land and resources.<br /> <br /> The area covers 36,000 square kilometers and boasts shale gas reserves of 3.88 trillion cubic meters, the department said.<br /> <br /> China’s state-owned Sinpec discovered a major shale gas block in Xishui county of Guizhou, the MLR said earlier this year. The block is expected to have an average daily output of 43,000 cubic meters, with maximum daily output of 105,000 cubic meters.<br /> <br /> <p> China has halved its shale gas output target to 30 billion cubic meters by 2020, as early exploration efforts to unlock the unconventional fuel proved challenging, said Wu Xinxiong, the head of China’s National Energy Administration early August. </p> <p style="text-align:center;"> <img src="/upfiles/news/image/20140819/20140819113040_6528.jpg" alt="" /> </p>