U.K. TO SEE FIRST COALBED GAS SEARCH
Britain's first exploration for coalbed methane is to get under way.
Two companies-Kirkland Resources (Holdings) plc and Evergreen Resources (U.K.) Ltd.-were awarded licenses covering parts of Britain's extensive undeveloped coal reserves.
As part of the fourth onshore licensing round, Kirkland received a 610 sq km area that included most of the South Wales coal field.
Evergreen received seven licenses in South Wales, Yorkshire, the West Midlands, Cheshire, Merseyside, and North Wales.
A total of 20 exploration licenses went to 26 companies in the licensing round. Apart from Kirkland and Evergreen, all awards were for traditional oil and gas exploration.
Kirkland estimated its South Wales license area contains 18 tcf of coalbed methane, of which 5-8 tcf can be produced.
Kirkland, the U.K. subsidiary of Kirkland AS of Norway, holds a 55% interest in the license in partnership with J. Makowski (CBM) Ltd. 30%, Resources Enterprises Ltd. 7.5%, and Ashdown Resources Ltd., Hagley Resources (U.K.) Ltd., and Ayrshire Production Co. (U.K.) Ltd. 2.5% each.
Makowski is an international gas utility and power company that is developing a cogeneration project in Poland using coalbed methane.
Resource Enterprise is a research based company with experience in coalbed production in the U.S.
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