22 July 2013 13:49 [Source: ICIS news]
LONDON (ICIS)--UK water company United Utilities is interested in allowing energy company Cuadrilla to explore potential shale sites on its land in northwest England, a company spokesman confirmed on Monday.
The two companies are already in discussions over Cuadrilla’s access to water in the region when it recommences exploration of the Bowland shale formation in Lancashire later this year. United Utilities supplies water in the northwest, and is a substantial landowner in the region.
Representatives of United Utilities and Cuadrilla confirmed that no specific United-owned sites are currently under discussion, but negotiations over arrangements for several Bowland shale play sites have been underway for some time.
A Cuadrilla spokesman said: “We are in talks with United Utilities... about possible new sites. We are looking at up to six new sites across the Bowland [shale play] over the next few months. When looking at site identification, one of the things that we have to consider is the water supply... and obviously we need to talk to United Utilities about that, as they own the water network [in the area].
“We are not in discussions with them about any specific site [owned by United],” he added.
The UK government last week announced plans to halve the rate of tax on income from shale gas to 30%, in what finance minister George Osborne claims is the most generous regime for shale extraction in the world.
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