Abstract:In order to reveal the evolution process of Mahai sag in Qaidam basin, taking data of major elements, trace elements and rare elements of Paleogene Neogene mudstone in study area, using the numerical value comparison and the chart identification, the provenance attitude, tectonic setting and palaeoclimate have been studied in this paper. The REE distributions of mudstones show LREE enrichment, have a flat HREE pattern and a week Eu anomaly. As showed by the numerical of V/(V+Ni),Ce/La and Ceanom, the palaeoclimate in anaerobic environment. From the discrimination diagram of La/Yb∑REE, La/ScCo/Th, K2O/Na2OSiO2/Al2O3, LaThSc、ThScZr/10, Paleogene Neogene mudstone in Mahai sag in the area are in active continent magin and continental island arc environment. Felsic volcanic rock and femic rock could be seen, provenance parent rock composition is quite complicated. Chemical Index alteration (CAI) and the ratio of Sr/Cu indicate that the intensity of chemical weathering is relatively hot and week, and tectonic setting belongs to an active tectonic zone.