Forbes: Is Spain Embracing Local Oil and Gas?

Following a series of local set backs, Spain’s national government has moved once again to boost domestic oil and gas exploration with the environmental clearance of two wells in the northern Basque region of the country.

The approval, which was granted to Spanish energy giant Repsol, comes as Madrid continues its push to revive the country’s hydrocarbon production sector, which has lagged in recent decades. Although the country boasts domestic potential, Spain still relies heavily on imports to meet its oil and natural gas needs. While Madrid has recently cleared the way for some domestic exploration efforts, including both shale and offshore efforts, Spain still looks abroad for much of its energy needs not met by renewable options. As Spain’s Minister of Industry, Energy and Tourism, Jose Manuel Soria noted, “Spain uses 1.4 million barrels of oil a day, and 100 percent is imported.”

Despite strong resistance to exploration efforts on the local level, Madrid has moved to open up the country’s domestic production options, including clearing the way for offshore efforts in the Canary Islands and shale projects in Cantabria.
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