EU Recommendations regarding Shale Gas Exploration


The European Commission has recently issued a set of recommendations regarding the exploration and production of hydrocarbons using high-volume hydraulic fracturing, i.e. on shale gas exploration and production, in the EU. The recommendation is non-binding as EU member states have the right to opt their own energy strategy; however the Commission encourages EU member states to follow the guidelines.

Many EU countries (Poland, France etc.) seem to have significant shale gas reserves and with the long term trend of natural gas price increase shale gas may become one of the contributors to decrease EU’s energy dependence. Shale gas is expected to contribute up to 50% of EU’s total gas production or 10% of its gas demand by 2035.
The expected lower production cost of shale gas may raise hopes to a long term input gas cost decrease in Central-Eastern Europe as well.