Abstract: Based on analysis on geological conditions of coalbed methane development,coal reservoir features and coalbed methane resource potential in Jixi Basin,i n combination with engineering test of surface coalbed methane wells in Lishu Minefield of Jixi Basin,numerical simulation method was applied to the evaluation on the dev elopment potential of coalbed methane resources in the area.The results showed that the accumulated thickness of the seams in Jixi Basin was high,the depth of the seam s was moderate and the metamorphic degree was high.The seam structure,permeability and gas bearing were relative good and the coalbed methane resources were rich and favorable to the coalbed methane exploration and development.Meanwhile with the engineering test,a stable gas production from a single well reached an industrial ga s flow over 2 000 m3/ day and would have a long stable and high production. The coalbed methane development features with a high extraction rate were predicted and the coalbed methane development would have good prospects. Due to the limitation of the topography and transportation conditions in the area,a development mode with " sur face vertical wells as main and the cluster wells as auxiliary" was provided for the progressive development of the area.