Cuadrilla ready to resume fracking

CUADRILLA Resources, the firm that is pioneering shale gas extraction in Lancashire, says its is ready to press on with its activities, once energy secretary Ed Davey lifts a moratorium on the process.

Cuadrilla, which is jointly backed by Australian contractor firm Lucas and US-based investment funds held by Riverstone Capital and Carlyle Group, expects to be producing shale gas by March.

In the Sunday Telegraph chief executive Francis Egan said: “We are starting a whole new onshore gas industry. In our licence alone we can supply a quarter of the UK’s gas demand.”

The firm suspended its activities near Blackpool last year after drilling caused two small earthquakes. The process involves pumping large quantities of water into the ground at high pressure to displace gas.

Mr Egan told the newspaper: “Britain is spending tens of billions of pounds importing gas. If we are able to develop gas resources here… it could make a major difference for the country in terms of tax revenues, balance of payments and at a time when the economy is the pits.”

The report suggested Cuadrilla has planned up to 800 wells but will need to secure local planning permission for each well.

A decision to lift the ban is expected soon after Wednesday’s Autumn statement. A report by the Department for the Environment and Climate Change, published earlier in the year, recommended that Cuadrilla’s activities could go ahead with a monitoring system in place that includes a “traffic light control” regime. This would mean that once seismic activity reached a level of 0.5 or above the company would have to stop fracking and make sure remedial action is taken.

Cuadrilla was set up in 2007 and is based at Lichfield in Staffordshire, although the focus of its operations is currently in Lancashire where it has several exploration sites set up to extract Bowland shale.

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