NAM Seeks Clarity on Groningen Law
Dutch gas producer NAM on April 17 issued a statement about a letter it sent to the government, relating to a draft law limiting gas production from its giant Groningen field.
The letter, sent by NAM managing director Gerard Schotman to Dutch economy and climate minister Eric Wiebes and dated April 13, said the text of the government's bill is not yet consistent and/or complete on certain points, and therefore NAM would like a clarification and/or amendment to three parts of the bill: the content of the operational strategy; the content of the duty of care (including NAM’s responsibilities after Groningen gas production finishes); and the interim period up to the gas year 2019/2020. A link to the letter (in Dutch) can be accessed here.
The bill that the ministry has put out to consultation, roughly translates as 'Modification of the Mining Act and the Gas Act on minimising gas extraction from the Groningen field.'
NAM stressed April 17 that the letter represents its view as an interested party to the government's bill and that "to avoid any misunderstanding, NAM is not shirking its financial liability for damage caused by mining activities, now and in the future."
The Dutch government outlined its plans to stop Groningen production by 2030 and to ramp down output in phases to below 12bn m3/yr no later than October 2022. Permitted Groningen production in the 12-month period to end-September 2018 is 21.6bn m3/yr. As recently as calendar year 2013, the field produced 54bn m3.