PetroChina’s Qinghai Oilfield subsidiary plans to slash natural gas output this year by 500 million cubic metres from 2012.

A source with the company told Interfax that the subsidiary which operates the Sebei and Tainan fields in Qinghai province’s Qaidam basin aims to produce 6 billion cubic metres this year, down by 7.7% from last year’s 6.5 bcm output.