The giant Altun Fault Belt comprises Altun Fault, which is the major fault, Qiemo Fault and Sanweishan Fault. Altun Fault is a left-lateral slip fault containing thrusting component. This fault was left lateral slipping during Mesozoic and Paleogene and was over-thrusting from SE to NW in Neogene and other two faults have sinistral slipping components. Qiemo Fault has double properties in which the southward expressive character comes from Tarim Basin superimposes onto the sinistral feature. The fault system of Tarim basin, which are bounded by Qiemo Fault in the southeast, include Tabei festoon fault group and Tanan festoon fault group, which generally appear as a rhombus fault system in the area between the two festoon-fault groups. Back thrusting structural zones that exist at the arcuate top in the north and the central axis within rhombus block suggests a compressive feature while positive flower type structures that exist at the turn positions in both limbs of two festoon fault groups suggest a lateral slipping feature. Giant fields have been discovered in Tarim and Qaidam basins which lie at both sides of Altun Fault. Distribution and vertical migration of hydrocarbon in the basins are controlled by these faults. Qaidam Basin is characteristic of a rift-sag texture and hydrocarbon reservoirs only occur in Cenozoic and Mesozoic formations. In Tarim basin, alternative basculating movements toward to south and north are the key conditions of geological structures for forming the complex hydrocarbon reservoirs.