Guizhou Wujiang Hydropower Development Co Ltd, a watershed hydropower development company, is to invest 12 billion yuan ($1.9 billion) to develop three to five exploration zones for shale gas development within five years.

The company is controlled by China Huadian Corporation, a wholly State-owned enterprise. Xiong Yu, vice-president and general manager of the company, said the company plans to realize large-scale production in five years time, with an annual output of 600 million cubic meters of shale gas.