Main question

How do national governments manage oil and gas exploration and production?

Questions

Describe the distribution of ‘current licenced blocks’ for land-based gas and oil exploration and extraction in Wales according to the map on Resource A.

Suggest three locations on the map (on Resource A) where conflict regarding land-use might possibly arise.

Outline the steps that national governments can take to manage land-based exploration and production of oil and gas.

‘Government input into the management of oil and gas exploration and production is vitally important.’ Examine this statement.

Resource A

The map shows the ‘licensed block’ areas in Wales where the Department for Energy & Climate Change has issued licences for onshore oil and gas exploration and extraction (known as Petroleum Exploration and Development Licences).

Source: https://seneddymchwil.blog/2016/01/08/trwyddedau-olew-a-nwy-yng-nghymru-map-newydd/
Resource B

Information about the management of land-based oil and gas extraction published by Natural Resources Wales (2018).

Source: https://naturalresources.wales/guidance-and-advice/environmental-topics/energy/onshore-oil-and-gas/extracting-onshore-oil-and-gas/?lang=cy

The exploitation of oil and gas reserves typically occurs in four key phases, namely -
- • Exploration is likely to involve the drilling of a borehole to assess the rock formations and the potential quantity of resources available at a specific site
- • Appraisal is likely to include an increase in the number of boreholes and a small element of oil or gas extraction, to assess the technical feasibility and costs of extracting the oil or gas at a specific site
- • Production refers to full-scale commercial extraction. This is likely to require a larger number of boreholes and associated surface operations (for example gas storage and processing facilities)
- • Site remediation and abandonment refers to the permanent removal of wells and infrastructure
Permissions and permits

For each of the first three stages (exploration, appraisal and production), the developer will be required to secure separate planning permissions, environmental permits and other notifications. The process will likely take operators a number of years to progress from exploration to production. Separate permissions may also be required if the developer wishes to significantly change their activities, i.e. drilling to a greater depth than originally permitted.
Resource C

An article on the BBC website (October 2018) entitled ‘What is fracking and why is it so controversial?

https://www.bbc.co.uk/news/uk-14432401
Resource D

Background information about the fracking process on the Natural Resources Wales website (2018)

Source: https://naturalresources.wales/guidance-and-advice/environmental-topics/energy/onshore-oil-and-gas/extracting-onshore-oil-and-gas/?lang=cy

Shale gas - Shale gas refers to gas held in fractures and pore spaces, or gas adsorbed on organic material (the remains of organisms such as plants and animals) within shale rock. It is extracted by cracking the rock using hydraulic fracturing techniques.

Hydraulic fracturing or “fracking” is a technique that uses fluid, usually water, pumped at high pressure into the rock to create narrow fractures which provide paths for the gas to flow into the production well and then to the surface. Once the fractures have been created, small particles, usually of sand, are pumped into them to keep the fractures open. The fracking water normally contains small quantities of other non-hazardous substances to improve the efficiency of the process, for example friction reducers are used to reduce the friction forces experienced by tools. All such substances must be approved by Natural Resources Wales.