Developed independently by Institute of Exploration Techniques, SmartMag high precision drilling guidance system can substitute the similar imported instrument. After being tested thousands of times on the ground surface, SmartMag was brought to the construction site in Turkey for its first industrial test in 2009. In the 23 intersected wells, the systematic function of SmartMag target hitting performed well with high precision and played an important role in connecting guidance of intersected well. The paper introduced the structural principle and technical parameters, and summed up the application experience and technique of SmartMag system.