In the present study, the coal-rock organic facies of Oligocene Yacheng Formation of the marginal basin in the South China Sea were classified and divided. In addition, through the correlations of the large-scale coal-bearing basins between the epicontinental sea and the South China Sea, it was concluded that the coal forming activities in the South China Sea presented particularity and complexity. Furthermore, the coal forming mechanisms also presented distinctiveness. The marginal basins in the South China Sea consist of several large and complex rift or depression basins, which are distributed at different tectonic positions in the South China Sea. Therefore, the marginal basins in the South China Sea are not simple traditional units with onshore continental slopes extending toward the deep sea. The marginal basins are known to consist of multi-level structures and distinctive types of basins which differ from the continental regions to the sea. During the Oligocene, the existing luxuriant plants and beneficial conditions assisted in the development of peat. Therefore, the Oligocene was the significant period for the formation and aggregation of the peat. However, the peat did not form in unified sedimentary dynamic fields, but instead displayed multi-level geographical units, multiple provenance areas, instability, and nonevent characteristics. As a result, the marginal basins in the South China Sea are characterized by non-uniform peat aggregation stages. In another words, the majority of the peat had entered the marine system in a dispersive manner and acted as part of the marine deposits, rather than during one or several suitable coal-forming stages. These peat deposits then became the main material source for hydrocarbon generation in all of the marginal basins of the South China Sea. The study will be of much significance for the hydrocarbon exploration in the marginal basins of the South China Sea.