The Shengli Oilfield in East China's Shandong Province turned over a record 26.74 million tons of crude oil and 900 million cubic meters of natural gas in 2004, company sources said Tuesday.

The figures are the highest reported in the past four and six years respectively.

In 2003, the oilfield based in Dongying turned out 26.58 million tons of crude and 810 million cubic meters of natural gas.

A company spokesman said the oilfield has taken advantage of China's macro-control policies as well as the climbing oil prices and expanded production, enhanced management, improved efficiency and further explored the international market.

Thanks to its technological innovation and optimized allocation of resources, the company's gross revenue increased to 72.88 billion yuan (US$8.8 billion) and added value climbed to 48 billion yuan (US$5.8 billion) in 2004.

The spokesman said Shengli oilfield has maintained balance between oil exploitation and reserves for eight years in a row. Its proven oil reserves have been growing by more than 100 milliontons annually for 22 consecutive years.

In 2004, it reported an additional 28.12 million tons of exploitable oil reserves and 1 billion cubic meters of newly proven natural gas reserves.

Shengli Oilfield is the second largest onshore oilfield in China following PetroChina's Daqing in the northeast. It has a history of more than 40 years and its daily output of crude oil averages 520,000 barrels.

Editor: Olivia