The Pingdiquan Formation of Permian in the annular Kelameili piedmont area of Junggar Basin is dominated by alluvial fan and fan-delta in sedimentary facies, siltstone and shale siltstone in reservoir lithology, belonging to poor-medium reservoir in overall evaluation. The study shows that fracture is the key factor for improving the Darcy flow conditions of the reservoir rocks and the dolomite mudstone strata enriched with fractures and vugs have the good petroleum exploration potentials. The study analysis suggests that there are five favorable areas for petroleum exploration in Kelameili piedmont of Junggar Basin.