Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

UPDATE 1-Cuadrilla pauses gas fracking again at English site after tremor

Published 30/10/2018, 01:08 am
© Reuters.  UPDATE 1-Cuadrilla pauses gas fracking again at English site after tremor

(Updates throughout with detail, comment)

By Susanna Twidale

LONDON, Oct 29 (Reuters) - British shale gas company Cuadrilla has paused fracking at its Preston New Road site in northwest England for the second time in two weeks, after a tremor with a magnitude of 1.1 was detected on Monday, the company said.

The tremor is the third recorded at the Lancashire site over a 0.5 magnitude limit, set by the government, since the company restarted fracking for natural gas on Oct. 15, although Cuadrilla said one was a so called "trailing event" which didn't stop production.

Fracking, or hydraulically fracturing, involves extracting gas from rocks by breaking them up with water and chemicals at high pressure.

It is opposed by environmentalists and green groups who say extracting more fossil fuel is at odds with Britain's commitment to reduce greenhouse gas emissions.

However, Britain's government is keen to reduce the country's reliance on imports of natural gas, which is used to heat around 80 percent of Britain's homes.

Cuadrilla said Monday's 1.1 magnitude tremor was way below anything that can be felt at the surface and a very long way from anything that would cause damage or harm.

"In line with regulations, hydraulic fracturing has paused for 18 hours now, during which seismicity will continue to be closely monitored... Well integrity has been checked and verified," Cuadrilla said in a statement.

The company, which is 47.4 percent owned by Australia's AJ Lucas AJL.AX and 45.2 percent owned by a fund managed by Riverstone, first attempted to frack gas near the coastal town of Blackpool in northwestern England in 2011, but the practice led to a 2.3 magnitude earth tremor.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

It said then that the quakes at that site were caused by an unusual combination of geological features, but they led to an 18-month nationwide ban on fracking while further research was carried out.

The government has since introduced a traffic-light system that immediately suspends work if seismic activity of magnitude 0.5 or above is detected.

Cuadrilla said earlier this month it expects to spend at least three months fracking two wells to determine whether full-scale gas extraction would be viable.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.