Shale gas has dramatically impacted the US natural gas market and US energy prices in general. A recent US Energy Informattion Administration (EIA) report has estimated world reserves of technically recoverable shale gas, meaning gas that can be recovered using recently developed technologies including horizontal drilling and hydraulic fracturing (fracking). Shale gas has major implications for Europe because of major shale basins in Poland and France.
Prod Consumption Imports Reserves Est Shale Gas Reserves
France 0.03 1.73 billion cubic feet 98% 0.2 180 trillion cubic feet
Poland 0.21 0.58 64% 5.8 187
In 2009, France consumed 1.73 billion cubic feet of natural gas, 98% of which is imported because France produces very little natural gas. The huge shale gas basin in France estimated at 180 trillion cubic feet has the potential to dramatically increase French natural gas production. The situation is similar in Poland which has Europe’s largest shale gas reserves.
The French Government has issued shale gas exploration licences, but because of environmental concerns has just made hydraulic fracturing (fracking) illegal, which will effectively stop most shale gas investment in France. In North America Quebec recently halted shale gas exploration also because of environmental concerns.
Shale gas exploration in Poland is attracting large multi-nationals including Exxon and Total and Chevron and Haliburton.
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