Thomas Pringle (Donegal South West, Independent)
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Question 471: To ask the Minister for Communications, Energy and Natural Resources if he will ensure that shale fracking will not be used for the removal of natural gas in the recently awarded Lough Allen Basin exploration licences; and if he will make a statement on the matter. [24145/11]

Pat Rabbitte (Dublin South West, Labour)
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Earlier this year, my Department granted onshore Licensing Options to two companies over parts of the Lough Allen Basin. The Licensing Options are preliminary authorisations and are different to exploration licences. The Options are for a two year period from March 2011 to the end of February 2013.

During this period, the companies will evaluate the natural gas potential of the acreage largely based on studies of existing data. The companies will also undertake a preliminary environmental baseline/impact assessment and engage with the local authorities and other statutory agencies as required.

This work is largely office/desktop based and will not involve exploration drilling or hydraulic fracturing. In fact exploration drilling is specifically excluded under these authorisations. By the end of the Option period in February 2013, the companies will have to decide whether to apply for a follow-on exploration licences or relinquish their acreage.

In the event that either company decides to apply for an exploration licence that includes proposals for exploration drilling using hydraulic fracturing, the company would have to demonstrate that this work could be undertaken without causing harm to the environment. The application would have to be set out in detail and be supported by an environmental impact statement.

My Department would then undertake a full assessment of the application, including an environmental impact assessment and public consultation. As part of that public consultation, my Department would consult with other relevant statutory authorities such as the EPA, NPWS, Local Authorities etc. in making any decision.

Thomas Pringle (Donegal South West, Independent)
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Question 472: To ask the Minister for Communications, Energy and Natural Resources if he will delay the awarding of further exploration licences offshore until the joint Oireachtas committee has reported on the terms of the licences already awarded and made its recommendations; and if he will make a statement on the matter. [24146/11]

Pat Rabbitte (Dublin South West, Labour)
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The potential of the Irish offshore as a petroleum producing region is largely unproven. This is likely to remain the case unless there is a relatively significant increase in the level of exploration activity, in particular exploration drilling. Over the past decade on average only two exploration wells have been drilled per year.

The principal aim of the 2011 Atlantic Margin Licensing Round is to seek to inject new momentum into the level of exploration in the Irish offshore and to attract new exploration companies to Ireland. For that reason I do not intend to delay my decision on the award of the two-year licensing options.

Companies that are granted two-year licensing options under the round will have to undertake work programmes agreed with my Department. These work programmes will then inform decisions to be made two years from now as to whether or not these companies will want to apply for exploration licences, with a view to moving towards exploration drilling.

As any exploration drilling that might result from the 2011 licensing round is unlikely to take place until six years from now at the earliest, it would not be in the public interest to delay decisions on the award of licensing options. To do so would only delay the much needed increase in exploration activity levels and damage investor confidence.