MOSCOW (MRC) -- Poland new environment minister said his ministry will draft a law to regulate the exploration and extraction of shale gas in the country and send it to the government for approval by year's end, said Upstreanonline.
Maciej Grabowski has made it a priority to speed up uncoventional devlopment in the country that has some of the largest potential shale resources in Europe. Poland is eager to be able to supply its own energy needs to be less reliant on Russian imports.
Grabowski says passing clear hydraulic fracturing regulations will make it easier for companies to invest in shale in Poland. "I believe that one can achieve environmental goals by tying them to economic goals in a way more friendly for investors," Reuters quoted Grabowski as saying.
"We would like the law facilitating investment in shale to be passed as soon as possible to reduce the potential risk for investors," he said. Grabowski said the long-anticipated law on shale gas taxes would be prepared separately by the finance ministry.
Companies have begun an exodus from Poland amid unclear regulations and mixed well results. US supermajor ExxonMobil made the most high profile departure to date, abandoning concessions earlier this year. Marathon Oil and Talisman Energy followed suit. Other global players like Chevron and ConocoPhilips have stayed on, however.
Grabowski said Poland must drill three to four times more exploration wells to know if shale can be developed commercially. "200 to 250 wells will allow us to find out if commercial extraction is realistic," he was quoted as saying.
But he also warned that pending European Union plans to regulate - or even ban - fracking could pose problems to Poland's shale prospects. He said Poland is ready to defend its right to exploit its shale reserves. "I know what is happening in Brussels, some concern is warranted," Grabowski said. "If there is need we will act in an unambiguous way on many front lines and create coalitions to back our position."
MRC