After 40 years development, Liaohe Oilfield’s resources situation has become more and more serious. This paper studies the hydrocarbon generation conditions in the deep zone, including the conditions of source rock, the reservoir, the capping rock, the trap and the collocation of hydrocarbon transportation and accumulation. Favorable hydrocarbon accumulation conditions, low exploration level and abundant resources together demonstrate that the deep zone is the most tangible prospecting area for Liaohe Oilfield to realize sustainable development in the present adverse situation. The stratigraphic and lithologic reservoirs in the hydrocarbon generation depression are the most favorable exploration objects.