Research of Jiaolan Basin was mostly confined to conventional petroleum and research of shale gas was still on preliminary prospecting stage. Based on field section survey, 58 pieces of water shale profile samples were selected in of Laiyang depression, secondary depression of Xiagezhuang and Zhucheng sag. Various testing methods of TOC, chloroform bitumen”A”, C isotope, rock pyrolysis, TI index and  vitrinite reflectance were used to study organic geochemical characteristics of shale including organic matter abundance, organic matter type and thermal evolution extent. The results showed that its organic matter type took Ⅱtype as primary, Ⅲtype was on the second place; abundance of organic matter had reached good hydrocarbon source rock in Laiyang depression; degree of thermal evolution of organic matter of Zhucheng sag had reached angry stage. As a result, oil and gas generating conditions in Laiyang depression were better, and in Xiagezhuang and Zhucheng sag were worse.