Dutch Court Issues Preliminary Ruling, Potentially Halts 9% of Groningen Production

A Dutch court issued a preliminary ruling on the requests brought forward by locals, saying it would order a halt to production around the village of Loppersum in the province of Groningen. Doing so, it dismissed a complete halt in the entire region. 

"For the time being, gas may be extracted in and around Loppersum only if extraction from other locations is no longer possible and if necessary for the security of supply," the court said in a note.

Production from Loppersum stand at 3 billion cubic metres in 2015, as a consequence on the cap imposed by the country. The court’s decision could decrease production from Groningen by an additional 9%.

The partial suspension envisaged in the preliminary ruling embrace the position of the local population in the province in the Netherlands, which filed complaints over risks of earthquakes. The Dutch government already apologised for its laggard response.  

On the other hand, the “security of supply” clause could allow the Government to keep current production levels. Economic Affairs Minister Henk Kamp is expected to take a decision on Groningen in July.