In this paper, the authors used the basic theory and method of classic sequence stratigraphy to divide the sequence stratigraphy of the Xishanyao Formation in the Toksun coalfield. As a result, two sequences of SQ1 and SQ2 were identified. Then, according to the style of stratigraphic superposition and cycles of sedimentation, the Xishanyao Formation was subdivided into six system tracts. Through the study of basic deposition maps and the analysis of sedimentary environment, the authors defined the characteristics of sedimentary evolution.