Based on the comparion of distribution patterns of rare earth elements (REE), combination feature of heavy minerals and the rock fragment composition, the study explains the provenances of the Third Member of Shahejie Formaiton of Paleogene (Es3) in Yong’an Area, Dongying Sag. Research results show the distributon patterns of REE of the Lower and Middle Members of Es3 (Es3l, Es3m) are characterized with mixed provenances and that of the Upper Member of Es3 (Es3s) is similar to the Archaeozoic gneiss rocks. Analysis of heavy minerals shows there are more source rocks steming from the Archaeozoic metamorphic rock (mainly gneiss) for the strata of Es3m and Es3s while igneous and clastic rocks from the Mesozoic are the main sources for the strata of Es3l. Analysis of rock fragments shows there are different provenance directions for different well areas in Yong’an Area and the area between the two salients is characterized with multidirectional mixed source rocks.