Cluff Natural Resources has continued to progress its conventional oil and gas assets in the UK North Sea, following the introduction of moratorium on underground coal gasification (UCG) in Scotland in October 2015. The company owns five conventional licences in the southern North Sea with a potential net resource base of about 140 million boe.
“We have carefully considered our position and believe that the North Sea not only continues to be of strategic importance to the UK but also compares favourably with most of the world, boasting a market, an infrastructure and a Government, on the whole, determined to sustain activity,” Cluff Chairman and CEO, J.G. Cluff.
Cluff was critical, however, the of Scottish government’s decision to end development of UCG, as well as the UK government’s pursuit of shale gas and renewables – the detriment of other energy sources.
“We considered that underground offshore coal gasification could make a significant future contribution to the energy equation by converting billion of tonnes of offshore coal into gas,” said Cluff. “However these aspirations have not been endorsed by Government which prefers to place its primary hopes on the delivery of onshore shale together with questionable and heavily subsidised renewables.”
Cluff continued: “We accordingly concluded that continuing to pioneer for a future energy formula which would convert cleanly and safely our offshore coal into gas was not consonant with our shareholders’ best interests.”
Edited by Jonathan Rowland.
Read the article online at: https://www.worldcoal.com/cbm/11052016/cluff-shifts-focus-to-convention-oil-and-gas-2016-753/