• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 2 hours Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 5 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 1 day IMO 2020 could create fierce competition for scarce water resources
  • 5 hours Total nonsense in climate debate
  • 5 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 2 days IMO2020 To scrub or not to scrub
  • 17 hours Theresa May to Step Down
  • 2 days Devastating Sanctions: Iran and Venezuela hurting
  • 8 hours Will Canada drop Liberals, vote in Conservatives?
  • 46 mins Australian Voters Reject 'Climate Change' Politicians
  • 5 hours Apple Boycott in China
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 1 day Level-Headed Analysis of the Future of U.S. Shale Oil Industry
Headline Hysteria Suggests Tesla Reversal

Headline Hysteria Suggests Tesla Reversal

There’s been good reason to…

Shale Industry Faces Off Against Stockbrokers in the South of London

An interesting battle is brewing in the UK as the fledgling shale industry begins to step on the toes of London’s fat cat bankers. The problem is based on the fact that shale oil has been discovered in the idyllic countryside just to the south of London, known as the stockbroker belt, where average house prices are around 50% higher than the rest of the UK.

No complaints were raised by the southern stockbrokers whilst all the attention was on the giant shale gas reserves due to be developed in northwest England, but now that companies are considering the potential of areas in Surrey and Sussex, that the US EIA has estimated may hold 700 million barrels of recoverable oil, concerns are being raised, and protests made.

Related article: New Report Doubles England’s Shale Gas Reserves

West Sussex Countryside
West Sussex countryside.

The two basins in question are the Wessex and Weald basins, which Fiyos Spathaopoulos, a visiting lecturer of petroleum geology at London’s Imperial College who studied the basin for about seven years, told Bloomberg that “the rock in the Weald is splendid, it’s extremely good for shale oil. If it works, it’ll be big but we won’t know exactly how big until we drill.”

Anne Hall, a former county councillor in Balcombe, West Sussex, worries that “the possible impact on surrounding towns and villages would be catastrophic.”

Related article: As Domestic Production Falls UK Fossil Fuels Imports Reach Record Level

Celtique Energie Ltd, a British-based oil and gas exploration company with subsidiaries and operations across Europe, and backed by the private equity firm Avista Capital Partners, is just one of the companies attracted to the UK by the government’s plans to offer tax breaks as an incentive to develop the country’s shale industry.

Bloomberg reports that Celtique will “drill a well next year at Fernhurst in West Sussex, where the average house price tops 471,300 pounds ($722,000),” and may then consider applying for a fracking license should the well find shale oil. Geoff Davies, the CEO of Celtique, explained that “the reason why we’re excited by this position is it has multiple objectives for both conventional and unconventional.”

Companies such as IGas Energy already operate conventional wells in the Weald and Wessex basins, but the fear is that the use of fracking would significantly increase the potential of the area, and therefore lead to a far larger number of wells.

By. Charles Kennedy of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News