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INEOS and UK shale gas
If INEOS wins all the Petroleum Exploration and Development licences (PEDLs) – the vast majority are in Scotland and northern England – for which it has bid from DECC, the company would become the biggest player in the UK’s shale gas industry.
INEOS is already the owner of two substantial shale licences in Scotland comprising over 120,000 acres, in addition to investing a further £400 million in an ambitious project to bring US shale gas to Grangemouth.
If the company moved into development and production, substantial further investment would follow.
“I think shale gas could revolutionise UK manufacturing as it has done in the USA,” said Jim Ratcliffe. INEOS believes that an indigenous shale gas industry would transform UK manufacturing and that the gas can be extracted safely and responsibly.
Gary Haywood, CEO INEOS Upstream, says: “Whilst the awarding of the licences is a matter for DECC, we believe our knowledge and experience in running complex petrochemical facilities, coupled with the world class sub surface expertise we have recently added to our team, means that INEOS will be seen as a very safe pair of hands”.
The company also announced plans to give local communities 6% of the revenues from any shale gas it produces (4% going to home & land owners above the well and 2% to the wider local community).
I believe INEOS has the resources to make it happen, the skills to extract the gas safely and the vision to realise that everyone must share in the rewards,” added Jim Ratcliffe. www.ineos.com