Cuadrilla talks confirmed

AJ LUCAS has confirmed that Cuadrilla is talking to major players about its position in the Bowland shale, in the UK.

James McGrath

The Australian Securities Exchange-listed company has a 42% stake in Cuadrilla and says press reports out of the UK suggesting that Cuadrilla is in talks with energy majors are pretty much spot on.

“The company confirms that, as part of its and Cuadrilla’s ongoing review of the options for appraisal and development of the Bowland Basin, discussions are being held with a number of parties regarding the future development of the Bowland Basin,” AJ Lucas said in a statement to the ASX this morning.

However, it moved to hose down rampant speculation by stressing that discussions were only preliminary.

While a volumetric estimate of the Bowland shale has yet to be firmed up, Cuadrilla says it share in the shale may hold up to 200 billion cubic feet of gas.

The British Geological Survey is soon to publish research that is expected to lift the volumetric estimate of shale across Britain.

The talks have also been given a fillip by the UK’s lifting on a ban on hydraulic fracturing, with the majors also in talks with fellow Bowland Basin-player IGas, according to press reports from late last year.

This article first appeared in ILN's sister publication