Oil/gas exploration and drilling end on land and inland waters
Today marks a historic milestone in Danish energy and climate policy. Exploration and drilling for oil, gas and shale gas within Denmark has officially ended. Denmark has a history of more than 80 years of oil and gas exploration and drilling. Yet, the move reflects declining public support and commercial importance.
The recent application to search for oil and gas at Lolland-Falster was rejected, due to concerns within the local community. Energy, Utilities and Climate Minister Lars Chr. Lilleholt (V) has now closed the permit application for exploration and recovery of oil and gas on land and inland waters of Denmark.
"For the Danish government, it is crucial that there is local and national support for energy and climate policy, whether it concerns oil and gas exploration or the layout of, for example, wind turbines. We listen to local concerns and we want to give citizens opportunities to be heard and influence the process. By closing oil and gas exploration, we clearly demonstrate to Danes that they no longer have to worry about drilling for oil and gas in their local areas. This applies especially to Lolland-Falster, where there is currently a great deal of concern. They can now breathe easy" states Energy, Utilities and Climate Minister Lars Chr. Lilleholt (V).
Oil and gas exploration will in the future be focused in the North Sea, where there is still great potential that can support the government's ambitions for a green energy transition in Denmark.
The government will present its energy play in the spring, which will contribute to the green transformation of 2030.
"It's time to end drilling for oil, gas and shale gas on land and in the inland waters of Denmark. For this, we now say that oil and gas exploration on land belongs to the past. All exploration and drilling for oil and gas will take place in the North Sea in the future. There is significant potential that guarantees revenue to the great benefit of our well-being and prosperity that is an important contribution to the government's aspirations to bolster Denmark's green energy transition,” states Energy, Utilities and Climate Minister Lars Chr. Lilleholt (V).
- Investigations have been made for oil and gas on land and inland waterways in Denmark for 70 years, but commercial foundations have never been made.
- Since the establishment of the current open door procedure for oil and gas in 1997, 27 permits have been issued (of which 17 on land and inland waters). All permits have been returned because it was not been possible to find oil or gas of commercial importance.
- There is currently only one application for exploration for oil and gas on land in Denmark. It is from a Dutch company, who has applied for permission to investigate at Lolland-Falster. With the government's decision, the application will now be rejected
- GEUS (Geological Survey of Denmark and Greenland), and the Danish Energy Agency have made an updated assessment of the oil and gas potential on land and inland waters. They consider that there is no potential for societal benefit in Denmark.
- Only two areas of Denmark have an oil and gas potential on land and inland waters. The first area is in South Denmark, where the potential is estimated to be limited and uncertain. The second area is North Jutland, where it is not likely to provide significant societal benefits. The estimates contain uncertainties. Therefore, oil/gas exploration and drilling of land and inland waters in Denmark can be rejected on the principle of insufficient commercial value.
- The decision means that all future exploration and extraction of oil and gas in Denmark will be limited to the North Sea, where there is significant potential.
Press Chief, Jesper Caruso
Phone: 41 72 91 84