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Government renews call to press ahead with fracking in England

The award of 93 new onshore development licenses has prompted government to renew its calls for shale industry to “get moving”

Under the 14th onshore licensing round the government has awarded 159 blocks under 93 petroleum development licenses (PEDLs), 75% of which relate to unconventional shale oil and gas.

“Last month we set out the vital role gas will play in the UK’s transition to a low-carbon future. The licences offered today move us a step closer - driving forwards this industry which will provide secure, home grown energy to hardworking families and businesses for decades to come,” said Energy Minister Andrea Leadsome.

"Now is the time to press ahead and get exploration underway so that we can determine how much shale gas there is and how much we can use.”

Energy Secretary Andrea Leadsome

“Alongside conventional drilling sites, we need to get shale gas moving. As the Task Force for Shale Gas report found earlier this week, with the right standards in place fracking can take place safely. Now is the time to press ahead and get exploration underway so that we can determine how much shale gas there is and how much we can use.”

However despite the government’s continued call for shale gas to become part of the UK energy mix, and enthusiastic pursuit of sites from energy firms, progress has been slow. After a protracted planning process Lancashire County Council rejected the first two planning applications for exploratory drilling of a total of eight test wells in June.

The two applications were the first in the UK since the government lifted its moratorium on hydraulic fracturing in December 2012.  Final decisions on whether or not to approve the schemes were expected in January but further submissions from the energy company over noise mitigation measures led to the decision being postponed until June.

Following the planning refusal Energy and Climate Change Secretary Amber Rudd wrote to local authorities in August emphasising the national need to explore shale. "We can’t continue with a system in which applications are dragged out for months or even years on end, a system that doesn’t give certainty to industry and that could spell the end of a potentially vital national industry. We need a system that delivers timely planning decisions and that works effectively for local people and developers," she said. "As part of this work, the government will be writing to planning authorities this week to make clear there is a national need to explore shale in a safe, sustainable and timely way to help meet our objectives for secure energy supplies, economic growth and lower-carbon emissions."

This round enables a significant amount of the UK’s shale prospects to be taken forward to be explored and tested,”

Andy Samuel OGA Chief Executive 

The latest round of onshore oil and gas exploration license applications say 45 companies apply for blocks, most of which are concentrated in the north west where the the Bowland-Hodder shale basin is located. Findings from the British Geological Survey show that in a medium case scenario the basin could hold 1329 trillion cubic feet (TCF) or 37.6 trillion cubic metres (TCM) of gas. How much of this is recoverable is unknown. The UK currently uses approximately 3 TCF of gas per annum.

“I am pleased that the 14th Onshore Round attracted strong interest and a high quality of proposed work programmes. This round enables a significant amount of the UK’s shale prospects to be taken forward to be explored and tested,” said OGA Chief Executive Andy Samuel. “Upon acceptance of these offers, applicants will be issued with licences and will be able to begin planning their future strategies for exploration activities. These will be subject to further local planning, safety, environmental and other authorisations.”

If you would like to contact Bernadette Ballantyne about this, or any other story, please email bernadette.ballantyne@infrastructure-intelligence.com:2016-1.