Dáil Éireann Debate, Wednesday - 1 February 2012
114 Deputy Thomas P. Broughan asked the Minister for Communications, Energy and Natural Resources when he envisages Corrib gas flowing into Irish homes and businesses; the measures he will undertake to encourage gas and oil exploration between now and 2014; and if he will make a statement on the matter. [5805/12]
Amharc ar fhreagraCompletion of the development works by the developer is the principal factor that will determine the date for first gas. Pending such completion, it is not possible to state a date for when gas from the Corrib gas field will become available.
The Corrib Project requires a number of statutory permissions in order for the developer to construct, operate and maintain the development.
In February of last year, the then Minister for Communications, Energy and Natural Resources granted consent to the Corrib Partners pursuant to Section 40 of the Gas Act, 1976 and Section 13 of the Petroleum and Other Minerals Development Act, 1960 to construct, but not commission, the Corrib Gas Pipeline, subject to 47 conditions.
The Deputy might also note that other licences and permissions beyond my statutory remit, including planning permission, Foreshore Licence and an Integrated Pollution Prevention and Control Licence are also required with respect to the construction and operation of the Corrib Gas Pipeline.
Legal challenges to the consents granted pursuant to both the Gas and Petroleum Acts and the Planning Permission granted by An Bord Pleanála were settled towards the end of last year.
Works on the development commenced last summer. It is estimated that construction of the onshore section of the pipeline, including the construction of a 5km tunnel, will take in the region of three years. First gas cannot therefore reasonably be anticipated before 2014.
With regard to encouraging gas and oil exploration in Ireland, I can tell the Deputy that my Department is actively promoting and sponsoring major petroleum research projects designed to provide exploration companies with a much better understanding of resource potential during the next two years. My Department is also engaging with the industry to see how critical data gaps in the frontier basins, which are hindering deep-water exploration, can be addressed in the near future. These initiatives should be of considerable assistance in encouraging new exploration effort in the search for indigenous hydrocarbon reserves.
I would also remind the Deputy of the results of the 2011 Atlantic Margin Round, which featured a number of special initiatives designed to encourage new momentum in the level of exploration activity. Under the Round, Licensing Options were offered in frontier basins for the first time. The response from the exploration industry was positive and gives some grounds for confidence. Key facts include:
Fifteen applications were received by the deadline compared to two in the previous round.
Thirteen Licensing Options have been awarded which cover a total area of just over 15,000 square kilometres and comprise 55 full blocks and 7 part blocks.
Twelve companies were involved in the awards, seven of which were new to Ireland.
A wide variety of exploration plays were recognised, some of which were the focus of the Department's recent technical promotion campaigns.
The outcome of 2011 Round confirms that this is the correct strategy to encourage exploration. Both the number of applications and the number of awards resulting from the Round are the highest of any Frontier Round, the first of which was in 1994. I am optimistic that the holders of many of the new licensing options will be successful in identifying exploration opportunities that warrant progression to full exploration licences and substantial further work programmes.
