Cuadrilla Tight-Lipped on Stake Talks

Cuadrilla, the company pioneering shale gas mining in Britain, has released a succinct statement on speculation that it is seeking investment partners.

The statement by Cuadriila merely acknowledges media reports of the talks, and says that progress will be announced when it is appropriate.

Earlier today, Australian based engineering, building and services company AJ Lucas, which owns a 42 per cent stake in Cuadrilla Resources, confirmed reports that the UK shale gas explorer is holding preliminary talks with major investors.

"[Lucas] 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," Lucas said in a statement to the stock exchange.

Major energy companies, including British utility Centrica, parent of British Gas, are said to be involved in the talks. 

Cuadrilla started hydraulic fracturing for shale gas in Lancashire over two years ago, but work was suspended after two minor earthquakes in the area. Following Energy Minister Ed Davey's announcement that fracking would be allowed in the UK, subject to strict conditions, it is anticipated that work will resume later this year.