Ireland bids to attract oil and gas exploration

The Government has varied the terms for oil and gas search regulations in the Celtic Sea, off Ireland’s southern coastline, in a bid to provide a shot in the arm for exploration projects.

Announcing the move in Dublin, junior natural resources minister John Browne said the aim was to make the “licensing option” authorisation for seeking oil and gas offshore Ireland a more attractive measure.

The move was seen as a reflection of Government concern over declining interest and exploration activity off the coast of Ireland over the past five years to a current level officially regarded as very low.

An official said: “While this decline reflects similar patterns in other countries in north west Europe, the government are anxious to maintain exploration level at a sustainable level and to most the sector or accessible to small and independent countries.

“The revised terms recognise the need for Ireland to make its Celtic Sea exploration rental terms more competitive and flexible – along the lines adopted by the United Kingdom in its recent North Sea round.

“The adoption by the UK of more competitive terms has rejuvenated interest by the independent sector in the offered acreage in the North Sea.”

Mr Browne added: “It is important for the state to boost its offshore exploration activity levels. The supply of energy from indigenous sources needs to be increased from its present low levels.”

The new terms will lead to reduced rental fees and differently-determined periods for licensing options.