The formation mechanisms of biphenyl series and benzonaphthothiophene series are investigated by means of simulation experiment. Biphenyl series are likely formed in two ways: one is the aromatization of the chain compounds containing conjugated C== C double bonds or the compounds with such a kind of sidechains, and the other is the reaction of sulfur with ordinary chain compounds, in which sulphur acts on ordinary sidechain compounds by seizing some hydrogens and forming (H2S and) the intermediates with conjugated C== C double bonds first, and then the intermediates are aromatized. One of the basic precursors of benzonaphthothiophenes is likely the phenylnaphthalenes which may originate from the chain compounds containing conjugated C== C double bonds, the compounds with such sidechains and saturate or unsaturate chain compounds. Thermal stability of biphenyls is high, but they can become dibenzothiophenes and polycyclic aromatic hydrocarbons or dibenzofurans and polycyclic aromatic hydrocarbons respectively in the presence of sulphur or oxygen. The ratio of biphenyl and m-biphenyl to biphenyls may be employed to indicate the depositional environment in the mild to medium maturation, of which the higher value indicates a fresh water depositional environment and the lower indicates a saline depositional environment. The relative high content of benzonaphthothiophenes in the crude oil indicates that the crude oil has undergone an intense sulfurization in the source rock or reservoir.