UK Shale Gas Industry One Billion Dollar Invest Shall Make Ineos the Number One in UK Shale Gas
Ineos has big plans for shale gas in the UK: In December, the company announced plans to invest US $ 1 billion in UK Shale gas exploration and appraisal. If the company would win all shale gas licenses it has applied for, it could well become the biggest player in the UK Shale gas industry.
London/United Kingdom – Ineos has already signed contracts for gas imports from US shales to Europe. Now, the chemical company wants to produce its own gas in the UK: Ineos has placed bids with a total worth of US $ 1 billion for shale exploration and production licenses in the UK. The vast majority of the INEOS bids are in Scotland and the North of England, where the local populations have either a mining or an industrial heritage.
Jim Ratcliffe, Ineos chairman says, “I want Ineos to be the biggest player in the UK Shale gas industry. I believe Shale gas could revolutionise UK manufacturing and I know we have the resources to make it happen, the skills to extract the gas safely and the vision to realise that everyone must share in the rewards.” The company has guaranteed to give local communities 6% of any revenues generated (4% going to home & land owners above the well and 2% to the wider local community). This offer alone is typically worth £375 million to a community, speakers stated.
Ineos today is already the owner of two substantial Shale licences in Scotland comprising over 120,000 acres, in addition to investing a further £400 million in an ambitious project to bring US Shale gas to Grangemouth. Gary Haywood, CEO of Ineos Upstream, says, “Whilst the awarding of the licences is a matter for DECC, we believe our knowledge and experience in running complex petrochemical facilities, coupled with the world class sub surface expertise we have recently added to our team, means that Ineos will be seen as a very safe pair of hands”.