Shale Could Provide 40 Per Cent of Europe's Gas Needs

A study released today by the EU Joint Research Centre has said that shale could provide up of to 40 per cent of Europe's gas needs annually.

However, the study also warns that Europe cannot become self-sufficient in gas due to shale and will need to continue to source 60 per cent of its gas from other avenues.

"Shale gas production will not make Europe self-sufficient in natural gas," the report says. "The best case scenario for shale gas development in Europe is one in which declining conventional production can be replaced and import dependence maintained at a level around 60 per cent."

The study, which is one of three shale studies to be released by the EU today, looked at shale's potential place in the gas market. However, the two other studies focused on the environmental impact of shale with results painting a dim view of the possible environment effects of the resource. 

The two studies, both undertaken by AEA Technology, both found significant potential for environmental repercussions as a result of shale exploration and production. This included its possible effects on water, climate change, and others.

In a statement today, the European Commission said the impact of shale would be greater than that posed by conventional resources, particularly in terms of climate, but said that this could be managed.

"The study on climate impacts shows that shale gas produced in the EU causes more GHG (greenhouse gas) emissions than conventional natural gas produced in the EU, but – if well managed – less than imported gas from outside the EU, be it via pipeline or by LNG due to the impacts on emissions from long-distance gas transport," it said.

"The study on environmental impacts shows that extracting shale gas generally imposes a larger environmental footprint than conventional gas development."

The three studies will form the basis of further discussions on shale gas as well as informing ongoing work examining the need for a risk management framework for the resource.