The UK has the largest and most mature gas market in Europe. Natural gas forms a key part of UK's energy supply with high gas demand to generate electricity of homes and businesses.
The UK was a significant gas producer but production peaked in 2000 and is now in rapid decline. By 2020, the UK may only be able to meet 27% of its demand from domestic natural gas production. The UK has gone from being a net gas exporter in 2003 to being dependent on imports for 40% of its needs in 2010. The shortfall has been made up by imports of piped gas, particularly from Norway and supplemented with LNG, primarily from Qatar.
Given there is a strong demand for gas, indigenous gas should displace gas currently imported at great expense, and reduce gas transportation costs. In addition, to the extent that gas displaces coal, there will be a reduction in climate change impact (coal is broadly twice as carbon intensive as gas), and a local indigenous supply may ease the transition to a low carbon economy.
Dart Energy is working to explore and develop domestic unconventional gas resources across a number of areas in the UK.
Dart Energy's strategic themes for the UK:
- Commercialise significant volumes of already identified CBM resources and supply gas into the National Gas Transmission System ("NTS") and Local Transmission System (“LTS”) pipelines (or other monetisation solutions)
- Identify prospective shale gas basins across the UK and develop and execute a shale exploration and appraisal program