Abstract: The Sangonghe formation of low Jurassic in Baijiahai area is one of the main hydrocarbon-bearing strata, where sequence stratigraphic framework has not reach agreement, and litho-stratigraphic reservoirs analysis has thin research base, all of which are the key reasons for hindering deeper exploration and development. The result shows according to the theory of the high-resolution sequence stratigraphic, combined with outcrops, cores, seismic, drilling and logging data analysis, Sangonghe formation has been divided into one long-term base level cycle,three mid-term base level cycles and nine short-term base level cycles, and sequence framework has a favorable application effect in study area. Litho-stratigraphic reservoirs are controlled by mid-term base level cycle, and reserve sands have different development region and superimposed type in different mid-term base level cycle, which causes litho-stratigraphic reservoirs has unequal distribution. MSC1 and MSC3 are helpful for development of litho-stratigraphic reservoirs, and MSC3 are helpful for development of oil reservoir near Fukang sag.