European Shale Gas Further Loses Momentum

In 48 hours, two companies dropped their shale assets in Europe.  

On Wednesday, Rose Petroleum withdrew from the Konstanz and Biberach exploration licences in Baden-Württemberg, Germany. 

‘The current political situation for exploring unconventional hydrocarbons in Germany remains unclear and the Directors consider that this will remain the case in the near future. As such, despite promising preliminary results for exploration showing unconventional targets, the Company does not see any benefit in pursuing the Licences. In addition, the Directors felt that with only 15 months remaining on the Licences, and in view of the unclear regulatory requirements, there would not be sufficient time for the required work programme,’ UK-based Rose Petroleum commented. 

On Monday, 3Legs Resources sold the eastern Baltic Basin concessions to Sweden-based Stena Group for €500,000. After the completion of the deal, the British energy company will not hold any shale asset in Poland. 

‘The Company acquired approximately 50 sq km of 3D seismic on the Cedry Wielkie concession, the westernmost of its three eastern Baltic Basin concessions, and then drilled one well, the Legowo LE-1 vertical well, in 2010 on that concession. The Company subsequently prioritised its three western Baltic Basin concessions for further operations and as a result no further field operations were carried out on its eastern concessions. The Legowo LE-1 well was plugged and abandoned in 2013,’ 3Legs Resources wrote on Monday. 

In September, 3Legs Resources unveiled its intention to proceed with a windup of its operations, based on poor results in the Eastern European country.