- INEOS plans to invest $1 billion in UK onshore Shale gas exploration.
- Further investment will follow if development and production proceed.
- INEOS owns two Shale licences in Scotland covering over 120,000 acres.
- The company will share 6% of Shale gas revenues with local communities.
Investment Plans
INEOS has announced plans to invest $1 billion in UK onshore Shale gas exploration and appraisal. If the company moves into development and production, substantial further investment would follow.
Potential Market Position
If INEOS wins all the Petroleum Exploration and Development licences (PEDLs) it has bid for from the Department of Energy & Climate Change (DECC), it would become the biggest player in the UK’s Shale gas industry. Most of these bids are in Scotland and the North of England, areas with a mining or industrial heritage.
Current Holdings
INEOS currently owns two substantial Shale licences in Scotland, covering over 120,000 acres. Additionally, the company is investing £400 million in a project to bring US Shale gas to Grangemouth.
Community Revenue Sharing
The company has announced plans to give local communities 6% of the revenues from any Shale gas it produces, with 4% going to home and landowners above the well and 2% to the wider local community. This offer is typically worth £375 million to a community.
