Prospects for Shale Gas in Poland Discussed at Warsaw Gas Summit

The 3rd Central Europe Gas Summit 2010 Conference was held in Warsaw on February 23rd and 24th, 2010.

The conference focused on the subject of investments connected with the explorations of new gas fields and the implementation of new technologies and on international contracts and the development of pipelines  which could guarantee gas supplies diversification for particular European regions.

Poland’s chief geologist Jacek Jezierski examined prospects facing prospecting and exploration of Polish shale and tight gas deposits.  Regarded as uneconomical to explore until recently, these unconventional gas sources may now prove to be profitable.

Jezireski said the documented shale gas deposits reach 140 million cubic metres. This information is confirmed by an annual report commissioned by the Ministry of the Environment ‘Mineral and underground water deposits balance’. According to Jezierski, accurate information concerning Polish deposits will be available in 4-5 years, when the licenses granted by the Ministry of the Environment to gas exploration companies expire.

Poland’s chief geologist underlined, however, that shale gas deposits will not be extracted sooner than in 10-15 years. Analysts say that tight gas deposits, which are already being exploited in western Poland by British company Aurelian, are to bring profit earlier.

The Polish Ministry of the Environment has issued 44 unconventional gas exploration licenses including to Exxon Mobil, Lane Energy, Chevron Corp, BNK Petroleum and Marathon Oil.

Also speaking at the Central European Gas Summit, Radoslaw Dudzinski, Deputy Chief Executive of Polish Oil and Gas Exploration Company (PGNiG) expects a jump in gas consumption by 2015 linked to construction of gas-fired energy plants, PGNiG, Poland's gas monopoly,  has not been involved in shale and tight gas exploration but revealed that it intends to launch activities in this field.

Source: PolishMarket.com