SHIP: Shale Gas in Germany – Status Quo
Shale gas exploration and production is a hot political topic in Germany, although activity in this energy sector is still very limited. Estimates on the amount of shale gas in Germany vary and contain great uncertainties. The latest estimate of the amount of technically recoverable shale gas is 25-81 Tcf or 700-2268 billion (109) m3. This is about 2-7 times the German natural gas reserves from conventional reservoirs.
Political aspects
Shortly after the Tóhoku earthquake in 2011, the Federal Government of Germany initiated an energy transition process for the entire country. Therein, all nuclear power plants will be shut down in Germany between now and 2022. This plan has dramatic implications for Germany’s energy mix. All electricity generated by nuclear power plants (22% of the entire gross electric energy output) has to be replaced.
Natural gas is seen as an important transitionary energy resource and could replace some nuclear power electricity. Unconventional gas in Germany is mainly shale gas, and this could play a role in improving the security of supply from a domestic energy resource. The German government is still in the decision finding process whether shale gas, including the application of hydraulic fracturing operations, should be developed in Germany, and if so, under which conditions.
Due to concerns related to environmental risks of shale gas development, the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety commissioned a study on the environmental impact of shale gas development. The results were presented in September 2012. The study recommends a very careful and limited exploration of shale gas in Germany that is accompanied by an intensive administrative and scientific supervision.
The Federal Minister for the Environment Altmaier calls for an intensive public discussion about the findings of this study. An expert forum is scheduled to meet in December 2012, to prepare discussions about nationwide legislations that shall be approved in the German Bundestag. The study is available in German, with an abstract in English provided. Read a short English summary here.
Also in September 2012, the Ministry for Climate Protection, Environment, Agriculture, Nature Conservation and Consumer Protection of the German State of North Rhine-Westphalia presented a study about the impact of hydraulic fracturing on the environment together with the State Ministry of Economy. This study recommends to ban shale gas exploration with hydraulic fracturing in North Rhine-Westphalia until certain conditions for safe and environmental friendly production are met.
The state government followed the recommendations immediately and prohibited hydraulic fracturing operations until more evidence on the risks involved with this technology is gained. Weblink to short and long versions; in German only. Read a short summary in English here.
Several citizens’ initiatives were founded when the local public was informed about hydraulic fracturing and other shale gas related activities in their region, especially in the German States of North Rhine-Westphalia and Lower Saxony. These two states are the most promising regions for shale gas exploration to date. The website "Gegen Gasbohren" is the joint communications platform of many German citizens’ initiatives against shale gas development in Germany.
Exploration Permissions
So far, permits for shale gas exploration were issued in the federal States of Baden-Württemberg, Lower Saxony, North Rhine-Westphalia, Saxony-Anhalt and Thuringia. In Baden-Württemberg, only two temporary permits were issued, which have already expired. In Lower Saxony five permissions were granted. North Rhine-Westphalia issued 19 permits; one of them was granted to RWTH Aachen University for scientific research. Saxony-Anhalt only issued one permit and Thuringia two (see report from UBA, 2011, pages 6-7).
The state of North Rhine-Westphalia is one of the most promising regions for shale gas exploration in Germany. The state government, however, excluded hydraulic fracturing operations in September 2012 and seeks to gain more evidence on the risks involved with this technology. The Free State of Thuringia also aims at implementing such temporary interruption as North Rhine-Westphalia.
According to German mining law, permits have to be granted by the federal mining administration if companies fulfill all legal requirements. For further information about German legislation related to shale gas development, please refer to the SHIP expert articles by G. Ludwig and A. Seuser.
Technical research and risk studies on shale gas in Germany
GASH
The GASH project is the first major European shale gas initiative and carries out a broad variety of shale gas research.Nine leading European research organizations are involved in this project, along with national geological services and industry partners. The companies involved in GASH do not only act as sponsors; both the companies and scientific partners support GASH by delivering access to core and data material, and by providing and applying their own analytical facilities.
One main gap in European shale gas exploration research is caused by a lack of access to shale gas relevant data from promising stratigraphic horizons crossing national borders. To overcome this issue, a web-serviced GIS database is being developed (European Black Shale Data Base, EBSD).
Basic research projects are focusing on different scales from nanometer to basin range. The scientific approach of analytically oriented sub-projects requires core material from well-defined natural laboratories. Accordingly, GASH drilled the Palaeozoic Alum Shale on the island of Bornholm (Baltic Sea) in 2010 and it is targeting the Lower Jurassic Posidonia Shale in northern Germany. In parallel, core material from successful U.S. gas shales (Barnett, Haynesville) is being analyzed for comparison.
GeoEn
Basic research on German gas shales is conducted within the GeoEn project, GeoEn is an interdisciplinary national energy research program funded by the German Ministry for Education and Research. The program concentrates on four core topics of relevance to fossil and renewable geo-resource energy production. These are: shale gas, CO2 capture, CO2 storage and geothermal energy. Results will be used to offer safe and environmentally friendly solutions to the growing energy demand of the future. GeoEn is the sponsor of the Shale Gas Information Platform SHIP.
NiKo
The Federal Institute for Geosciences and Natural Resources (BGR) started the project “NiKo” in 2011, in close collaboration with the United States Geological Survey USGS. The project will run for four years until 2015. NiKo investigates the shale gas potential for Germany, with a first report published in May 2012 (in German). The report suggests a large German shale gas potential of 700-2268 billion (109) m3.
The conclusion of the study on environmental concerns is: from a geoscientific point of view, environmentally friendly application of the technology is possible, as long as the law is observed, the necessary technical measures are taken and local baseline studies and pilot surveys are carried out. Hydraulic fracturing is compatible with the protection of freshwater reservoirs. In a second step, the potential of shale oil will also be studied within the NiKo initiative.
Risk study Federal Ministry for the Environment
The German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety presented in September 2012 a study on the environmental impact of shale gas development. The study recommends that hydraulic fracturing should not be banned, but its application should be allowed only with strict regulation in place and should be accompanied by intensive administrative and scientific supervision.
An environmental impact assessment shall be required for each shale gas activity that includes hydraulic fracturing as well as a broad-ranging information and participation of the public. Shale gas exploration should not be allowed in areas with unfavorable geology and in drinking water protection areas. It is recommended that environment and safety related shale gas activities shall be administered by environmental authorities.
The study is available in German, with an abstract in English provided. Read a short English summary here.
Risk study North Rhine-Westphalia
Also in September 2012, the Ministry for Climate Protection, Environment, Agriculture, Nature Conservation and Consumer Protection of the German State of North Rhine-Westphalia presented a study about the impact of hydraulic fracturing on the environment together with the State Ministry of Economy.
This study recommends to suspend shale gas exploration with hydraulic fracturing in North Rhine-Westphalia until less harmful additives for the fracturing fluids are available and the waste disposal is regulated to an acceptable extent. The study emphasized that the risks related to shale gas development cannot conclusively evaluated at present and calls for more research. Moreover, it recommends that hydraulic fracturing should be prohibited in drinking water protection areas.
Weblink to short and long versions; in German only. Read a short summary in English here.
Exxon Mobil Risikostudie Fracking
In early 2011, ExxonMobil Production Deutschland GmbH (EMPG) initiated an information and dialogue process on the potential risks and environmental impact of unconventional gas production, as a response to widespread public opposition to its exploration activities in NW Germany. An extended summary version of “Risikostudie Fracking” (study of fracking risks) was presented during the final conference of the process on April 25, 2012, in Osnabrück, Germany. Several detailed reports on operational, environmental and health risks were published as well.
At the heart of the information and dialog process was a panel of eight leading experts from German research organizations. Great care was taken in selecting the experts; besides excellent scientific expertise, requirements included independence from the natural gas industry and from ExxonMobil. EMPG and the scientists emphasized that the panel had worked towards an open outcome and without any influence from EMPG.
The main conclusions of the scientists are:
Compared with conventional gas production, hydraulic fracturing in unconventional reservoirs bears a new range of risks, stemming from an increased number of wells and a related increase in water consumption, the use of chemical substances, and increased traffic. Additionally, many potential gas shales are present at shallower depths than is the case for conventional reservoirs in Germany.Hydraulic fracturing in unconventional reservoirs should be developed slowly and cautiously – however, there is no factual reason for a ban of the technology.
Related Reading: Transparency and Trust: ExxonMobil and Shale Gas Germany
This article by Theresia Petrow, GFZ German Research Centre for Geosciences and Stefan Ladage, Federal Institute for Geosciences and Natural Resources (BGR) is courtesy of SHIP - Shale Gas Information Platform