Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Mark Stedman/Photocall Ireland
Exploration

Just four commercial gas discoveries since the 70s but minister remains positive

Junior miniser Fergus O’Dowd has said that the state should provide an environment that encourages companies to take the risks involved in exploration.

JUNIOR MINISTER FERGUS O’Dowd has said that it is important that the State provides the right environment to encourage private companies to invest in oil and gas exploration in Ireland.

There have been just four commercial natural gas discoveries since exploration began offshore Ireland in the early 1970s. The four discoveries were in Kinsale, Ballycotton and Sevenheads, producing gas fields off the coast of Cork and the Corrib gas field off the Mayo coast.

To date, there have been no commercial discoveries of oil but the government is remaining positive about our prospects.

In response to a parliamentary question, O’Dowd said that despite the low level of commercial discoveries to date, “working petroleum systems are known to exist in many of Ireland’s offshore basins, as demonstrated by a number of non-commercial discoveries as well as other oil and gas indicators such as hydrocarbon shows in wells”.

Corrib

Ireland currently imports approximately 95 per cent of its natural gas needs and 100 per cent of its oil requirements. According to O’Dowd, successful development of our indigenous resources would contribute to significantly reducing dependence on imported supply.

He said it is estimated that construction of the onshore section of the pipeline a the Corrib development will take in the region of three years and first gas cannot be anticipated before 2014.

“In its first four to five years of production, the Corrib Gas Field Development is expected to provide 60 per cent to 65 per cent of Ireland’s natural gas needs,” O’Dowd said.

The right environment for companies

The junior minister added that it is important that the State provides the right environment “to encourage private industry to take the risk associated with investing in exploration” in a number of ways including;

  • Offering attractive and innovative licensing opportunities, such as the 2011 Atlantic Margin licensing round;
  • Providing a fit-for-purpose, transparent and robust regulatory regime;
  • Deepening knowledge of our offshore petroleum potential, in particular through data acquisition and supporting key research projects;
  • Actively promoting the opportunity to invest in exploration in the Irish offshore, in particular to companies not currently active here.

Read: €20 million seismic survey hopes to reveal Ireland’s true oil and gas wealth>

Read: Rabbitte thinks fracking could be good for Ireland – but only if it’s safe enough>

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
21
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.