Monday 24 June 2013

Centrica Boost to Fracking

Centrica has bought a 25% stake in the Bowland Shale exploration licence. What does this mean? Is it signalling that shale gas and fracking are truly on the map now for the UK, or is it just Centrica hedging bets? Afterall, the £40m it has paid to Cuadrilla and the £60m it is putting into exploration and apraisal hardly rates as a hill of beans for the energy giant. A bit of bet hedging is my assessment at the moment. Fracking may come but it is not yet (nor is it likely to be in my opinion) the game changer that many are suggesting.

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