According to the agreement, joint works will be carried out under Wejherowo license held by PGNiG at the pads: Kochanowo, Częstkowo, Tępcz (KCT project), where the presence of shale gas has been confirmed in preliminary research. Cooperation between the companies under the Wejherowo license will be taking place on a territory of approx. 160 km2. Each of the investors will have an agreed percentage share in the KCT project’s budget and total estimated expenditures are to reach up to PLN 1.72 billion. The companies will share control over project execution through participation in the operating committee established for this purpose.
In line with the agreement, PGNiG will be the operator at the stage of exploration and evaluation. If the works are on schedule and turn out to be successful, extraction may commence within three years. At the extraction stage, an SPV will be established that will hold a license for exploration and act as the field operator.
Mikołaj Budzanowski, Minister of State Treasury
“Thanks to cooperation between the mining and the energy sectors we can benefit from the effects of scale and find out about the deposit efficiency faster. It is also a way to achieve long-term goal, i.e. development of new ideas and innovations. Otherwise, we would not be able to meet the challenges of the EU climate policy and the requirement to reduce CO2 emissions. The entire economy may benefit from the shale gas, and our power system may become more advanced and competitive in the European perspective. By involvement in exploration now, power utilities gain access to cheaper domestic fuel for gas-fired units that are under construction.”
Dariusz Lubera, President of the Management Board at TAURON Polska Energia
“The TAURON Group in cooperation with PGNiG is building a gas-fired unit at Stalowa Wola and we are preparing to launch similar investments at Kędzierzyn-Koźle and Katowice. In several years we will be using large volumes of gas. We plan to use almost 2 billion m3 of this fuel per year, and that is why we decided to get involved in its extraction. Experience shows that having own energy sources is a major competitive edge. To guarantee the TAURON Group fuel supply for energy generation and uninterrupted electricity supply to our customers, first of all we plan to use our own assets such as mines, power plants and combined heat-and-power plants as well as diversify supplies of gas fuel.”
Grażyna Piotrowska-Oliwa, President of the Management Board at PGNiG
“Today’s agreement brings us closer to achieving a strategic goal, i.e. increased independence and competitiveness of Polish economy. Thanks to shale gas extraction it will be possible to guarantee uninterrupted energy supply at prices acceptable to the market. Combining our partners’ economic potential, PGNiG’s licenses, and our employees’ knowledge and experience guarantees joint success. I believe that in the near future we will share major profits.”
Herbert Wirth, President of the Management Board at KGHM
“Today, having fossil fuels is one of the crucial indicators of economic position of companies that exploit them, but also countries that control them, either directly or indirectly. Security of fossil fuels’ supply in global economy is the future of KGHM. Polska Miedź is one of a few Polish companies with actual access to fossil fuels on the global market. At the same time, we are involved in projects aimed at acquisition of cheaper sources of energy. Access to own gas supply is significant to us for economic and environmental reasons. We hope that this project will be our joint success.”
Krzysztof Kilian, President of the Management Board at GK PGE
“Fuel diversification is among PGE’s priorities. PGE decided to participate in the project because the research carried out so far makes business success seem highly probable. Access to own fossil fuels’ resources would reduce insecurity connected with decisions taken under the climate policy.”
Maciej Owczarek, President of the Management Board at ENEA
“We see a great opportunity in this significant alliance of the Polish power sector. Not only in terms of a permanent and long-term change in the fuel mix and declining share of hard coal but also in terms of higher independence from external gas supplies, which would mean a step forward on the road to strengthening Poland’s energy security. At the ENEA Group, we are constantly watching the market and searching for projects and investments in pursuit of the best fuel mix and development of the Group on several levels. Today’s agreement indicates an actual alternative for the Polish power system and our clients, and our voice in this matter should definitely be heard. Gas is a significant source of energy and thanks to shale gas Poland would have energy security and independence guaranteed. And that is important to us – representatives of the sector, and our customers.
The cooperation agreement between PGNiG, KGHM, ENEA, PGE and TAURON Polska Energia allows for future expansion of the territory beyond the pads of Kochanowo, Częstkowo and Tępcz. However, terms and conditions of further cooperation will be subject to a separate agreement.
The Wejherowo license, under which the joint project will be carried out, is one of 15 licenses for shale gas exploration currently held by PGNiG. Experts say it has the greatest potential, which has also been confirmed by fracturing works conducted in September 2011 by PGNiG at Lubocino 1 drill that resulted in gas flow. Analyses of Silurian and Ordovician shale gas confirmed its good parameters for energy-related purposes, lack of hydrogen sulfide and low nitrogen content.
