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The Netherlands tries to avoid earthquakes, closes the largest gas field in Europe

2024-04-26 11:47:12Kosova&Bota SHKRUAR NGA REDAKSIA VOX

The Netherlands tries to avoid earthquakes, closes the largest gas field in

The Netherlands officially shut down the Groningen gas field after authorities approved a permanent suspension of drilling operations in the country to limit seismic risks in the northern region.

As of October 2023, the gas field produces only a fraction of its full capacity after several years of production cuts to reduce the risk of process-induced earthquakes in the region, which have damaged thousands of buildings over the years.

However, its 11 "reservoirs" remain open in case of a harsh winter and due to the uncertain international situation related to the conflict between Russia and Ukraine. A few days ago, the Dutch senate passed a law to permanently close the gas field, after the government promised that production would never resume to limit seismic risks in the region.

The move angered the government and local officials in the northern province. Mining Minister Hans Vijlbrief, who pushed for the closure, said he would resign if it led to long delays and further uncertainty about earthquake risks for people living in the region. Groningen authorities have accused parliament of reneging on a promise to end gas drilling.

The largest gas field in Europe was opened in 1963, it has become a major contributor to the Dutch economy and still has large gas reserves. It produced more than 50 billion cubic meters of gas at its peak ten years ago.

However, the region has recorded more than 1,600 earthquakes since 1986, damaging 85,000 buildings. It is not clear whether shutting down production is enough to prevent seismic activity in the region, as empty cavities remain underground.

In February, the joint venture between Shell and Exxon, which operates the Groningen field, asked an arbitration court to decide whether the government should provide compensation for shutting down gas production. The Netherlands' profit from gas has brought in 363 billion euros since production began, while Shell and Exxon's profits from Groningen reached almost 66 billion euros in the same period.

Before the launch of the Special Military Operation in Ukraine, a quarter of Dutch gas imports came from Russia, according to the country's statistics agency. In 2023, the share of Russian natural gas accounted for less than 9% of the country's imports. Meanwhile, liquefied natural gas from the US rose to two-thirds of the country's gas imports last year.


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