The present invention provides a semiconductor substrate, which comprises a singlecrystalline Si substrate which includes an active layer having a channel region, a source region, and a drain region, the singlecrystalline Si substrate including at least a part of a device structure not containing a well-structure or a channel stop region; a gate insulating film formed on the singlecrystalline Si substrate; a gate electrode formed on the gate insulating film; a LOCOS oxide film whose thickness is more than a thickness of the gate insulating film, the LOCOS oxide film being formed on the singlecrystalline Si substrate by surrounding the active layer; and an insulating film formed over the gate electrode and the LOCOS oxide film. On this account, on fabricating the semiconductor device having a high-performance integration system by forming the non-singlecrystalline Si semiconductor element and the singlecrystalline Si semiconductor element on the large insulating substrate, the process for making the singlecrystalline Si is simplified. Further, the foregoing arrangement provides a semiconductor substrate and a fabrication method thereof, which ensures device isolation of the minute singlecrystalline Si semiconductor element without highly-accurate photolithography, when the singlecrystalline Si semiconductor element is transferred onto the large insulating substrate.