Dáil Éireann díospóireacht -
Wednesday, 4 Nov 1998

Vol. 496 No. 1

Written Answers. - Offshore Exploration.

Pat Rabbitte

Ceist:

72 Mr. Rabbitte asked the Minister for the Marine and Natural Resources the latest information available to his Department regarding the extent of the gas discovery made by a company (details supplied) in the Corrib Field; the steps, if any, taken by his Department to independently verify the likely extent of the discovery; the discussions, if any, which have taken place, or are planned, with the company with a view to maximise the use of Irish labour and facilities in the development of the field; and if he will make a statement on the matter. [21872/98]

Minister for the Marine and Natural Resources (Dr. Woods)

The gas find to which the Deputy refers is located in a water depth of 350m in block 18/20 in the Slyne Trough about 70 km west of Achill Island. An appraisal well drilled this year was successfully tested and production of gas was measured at a stabilised rate of 63 million standard cubic feet of gas per day on a two inch choke. This test indicates that favourable production rates can be achieved from the Corrib gas discovery.

It is too early to give an indication of the size of the gas accumulation and the licensees will not be in a position to do so until they have fully evaluated the discovery. This will involve further appraisal work out over the next two to three years, including the drilling of additional appraisal wells.

My Department receives all data from the operators of licences in respect of exploration, appraisal and development operations. This data, as well as allowing an independent assessment to be made as to the hydrocarbon potential of an area, enables us to monitor companies at each stage of development and to reach agreement on the next course of action to be taken.

As regards the use of Irish labour and facilities, it is my policy to ensure the economy benefits to the maximum extent feasible from offshore exploration activities. However, I have no powers to oblige operators engaged in exploration activities in the Irish offshore to use Irish goods and services. The imposition of such conditions on licence holders is precluded under EU regulations in force since 1968. I have continually impressed on the Irish Offshore Operators Association and the individual operators that Irish suppliers of goods and services and Irish workers must be given opportunities to participate in such activities and my Department has written to SIPTU and the IOOA urging them to discuss the problem of employment in offshore exploration with the intention of arriving at an acceptable solution.