No wonder, then, that multinational oil and gas giants have pounced. In 2012, Royal Dutch Shell inked a contract with CNPC. A company executive pledged to invest around $1 billion a year for the next several years in shale gas. BP, Chevron, Exxon Mobil, and Hess also have signed joint ventures to explore shale prospects with Chinese energy companies. In return, Chinese companies have invested in US fracking operations. Since 2010 the Chinese energy company Sinopec, the China National Offshore Oil Corporation (CNOOC), and the state-owned Sinochem spent at least $8.7 billion to buy stakes in shale gas operations in Alabama, Colorado, Michigan, Mississippi, Ohio, Oklahoma, Texas, and Wyoming. Chesapeake Energy alone got $4.52 billion out of its deals with CNOOC.
More: The Atlantic’s James Fallows on the American companies working in China
“The reason Chinese oil companies have gone after Chesapeake in the past year was because they wanted to apply the technology to tap the world’s No. 1 shale gas reserves in China,” Laban Yu, a Hong Kong investment analyst, told Bloomberg News. Whether or not China will be able to replicate the American shale gas revolution, it is clearly determined to try.