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    Reuters: Politics hamper bid to unlock French coal mine gas riches

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Summary

Political division and bureaucracy threaten to place European Gas Limited's coal bed methane projects Lorraine and Nord Pas de Calais in jeopardy

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Press Notes

Reuters: Politics hamper bid to unlock French coal mine gas riches

After slamming the door on developing shale gas over environmental concerns, France has discovered there could be at least five years worth of another cheap-to-produce gas in the former coal mining region of Lorraine.

But divisions in Francois Hollande's government, as with shale gas, are hampering efforts to develop so-called coalbed methane, a gas extracted from layers of coal too deep underground to be mined.

While environmentally oriented members of the government aim to boost renewable energy and cut reliance on oil and gas, traditional Socialists keen to create jobs are pushing for cost effective energy sources.

"This is 'Made in France' gas," Industry Minister Arnaud Montebourg told journalists last month, using a slogan from his campaign to encourage consumers to buy French goods.   MORE