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Decades at sea ‘could boost industry’

Decades at sea ‘could boost industry’

Onshore shale gas production in Scotland can benefit from the expertise of North Sea energy companies, a leading north-east lawyer says.

Martin Ewan, a partner and acquisition expert at legal firm Pinsent Masons in Aberdeen, believes the emerging shale industry will benefit from lessons learned offshore.

He said: “The North Sea is recognised as one of the most inhospitable regions in the world for extracting hydrocarbons but engineering excellence has ensured that 40 years on new discoveries are still being made.

“The techniques for extracting onshore gas are different and in some ways less technically challenging, however, the skills and technologies honed in the North Sea will be easily transferable.”

Last month, the Department of Energy and Climate Change published a shale gas road map identifying large parts of Scotland as areas suitable for exploration.

The report, which outlined conditions of a licensing regime for shale gas operators, suggested that as many as 300 exploration licences could be awarded early this year.

It also said that between 16,000 and 32,000 full-time jobs could be created, although it is thought unlikely the sector will reach a substantial scale before 2020. Mr Ewan said the road map was a huge step in the right direction for the UK’s shale gas industry.

He added: “By identifying the large areas of the UK as having potential for shale development, shale gas developers now have more certainty to aid much-needed investment and drive forward the industry in earnest.

“Local residents within those areas will be empowered to become involved in the consultation process.

“If we want to properly explore the opportunities which shale gas could present in the UK, industry will need to engage with residents, bringing them together with the developer community from the very early stages of the planning process.”