XINING -DJ- The China National Petroleum Corp. is cooperating with Amoco Corp. (AN) to tap natural gas in Qinghai province's Qaidam Basin, accoring to the Xinhua news agency.

According to an agreement, Amoco will carry out six months of exploration and evaluation in a 21,000-square-kilometer area in the eastern part of the basin, and has rights to develop and transport gas, and use refined products.

Xinhua said the basin, known as a ''treasure bowl,'' abounds in lake salt, posh, oil, asbestos, lead, zinc, and other minerals.

Geologists have predicted the volume of natural gas totals one trillion cubic meters, ranking among the country's greatest. Proven gas reserves amount to 50 billion cubic meters, are close to the surface, and are under high pressure with a high percentage of methane.

At present, the oil field in the basin has an annual oil production capacity of 1.25 million tons.