It is reported that the director of National Energy Administration said on the "13th Five-Year" energy planning meeting that China's shale gas production would reach 30 billion cubic meters by 2020. This target is obviously lower than that of the 12th five-year plan. ANBOUND research team believes it’s not surprising that China lowered its shale gas production target. The main reasons are as follows: First, the development cost is too high. Second, geological conditions and technological difficulties aren’t clear yet. Third, China doesn’t have the key technologies of shale gas development yet. What’s more, the shale gas resources are mainly in the central-western mountain areas, making it inconvenient to export or utilize shale gas, or to develop downstream markets.