China is pushing for more diversity in the nation's emerging shale-gas sector, potentially to the dismay of the central government's powerful energy monopolies.

A minor, provincial government-owned concern was named one of two winners of shale gas tenders in July, clearing the way for explorations south of the city of Chongqing, in an area straddling the municipality's border with Guizhou Province.

(China National Petroleum Corp.'s shale gas extraction site in Sichuan Province is China's first shale gas well /Reuters)

Henan Provincial Coal Seam Gas Development and Utilization Co. won one block offered in the competition sponsored by the Ministry of Land Resources (MLR) after promising to invest a total 248 million yuan.