Abstract: Some samples collected from coal seam and oil shale in Huangxian Basin are analyzed using petrographic and geochemical methods in order to understand the coal and oil shale depositional environment and their develpment potential.The results indicate that the organic matter of coal and oil shale formed from higher plants,the coal-forming processes are controlled by boundary faults.The forest swamp is formed as faulting is static,but when fauts are reactive the basin began settling and the lake water enters the moor,forming oil shale.Abundant cutinite and exitinite of oil shale cause the volume of long-chain saturated hydrocarbon increases.