Abstract: In view of challenge and technical bottleneck in the exploration and development of continental shale oil, such as significant heterogeneity of reservoir structure, complex pore structure and unknown major controlling factors of productivity, the paper establishes the sedimentary geochemical method to reconstruct the continental fine-grained sedimentary cycle and paleoenvironmental evolution by combining organic and inorganic geochemistry with sedimentology, and discusses the response relation between paleowater property and mineral compositions as well as organic matter enrichment. By the lithofacies division standard and logging recognition method of continental organic-rich shale, the paper analyzes the heterogeneity of fine-grained sedimentary reservoir structure, and clarifies the fracture types and distribution rule of shale layers. Finally, the brittleness evaluation model of shale reservoir is built based on energy evolution theory, and the evaluation method of oil-bearing geological sweet spot and brittleness engineering sweet spot are established through artificial intelligence method.