Exxon Takes the Leadership Role in German Shales

The state government of North Rhine-Westphalia in Western Germany recently awarded exploratory drilling licenses to ten companies, including those from the US, Canada, and Australia to search for unconventional gas. The region is thought to contain a sizeable proportion of Germany’s shale gas reserves.

Information released by the business ministry in the region shows that ExxonMobil has a strong first-mover advantage, holding significant acreage representing almost 17,859 square km under license directly or conjunction with BEB Erdgas und Erdoel GmbH, a joint venture with Shell.

Wintershall Holdings Gmbh, the largest oil and gas producer in Germany and wholly owned subsidiary of BASF has taken license to 3,896 square km in the Rheinland and Ruhr fields.  California based BNK Petroleum holds 2,046 square km under license in NRW. BNK has significant holdings in Poland and is commencing drilling activities in the Baltic Basin region of Poland through its ownership interest in Saponis Investments Sp. Z.o.o.

Australia’s Queensland Gas, which is involved in coal-bed methane (CBM) holds licenses to approximately 1,900 square km of the region.

Other areas in Germany are also thought to be prospective for shale gas, including Lower Saxony, thought to be a leading region in terms of reserves, as well as with several eastern regions containing extensions of Polish plays.

3Legs Resources plc. which holds acreage near to Lake Constance on the Swiss border, is seeking partnerships for its German concession consists of two licenses in the Baden-Wurttemberg block.