§ Mr. Barry JonesTo ask the Secretary of State for Wales if he will make a statement on the prospects for the oil and gas industries in the waters around the coastline of Wales. [35735]
§ Mr. BattleI have been asked to reply.
In addition to the oil and gas fields currently in production in Liverpool Bay, exploration programmes are continuing in areas off the north and west coasts of Wales, both of which have proven hydrocarborn potential.
New licences will be offered to the north of Wales in the 18th Seaward Licensing Round, which I hope to announce very shortly, and to the west of Wales in the following round. In both cases, the advice of interested departments and environmental authorities has been or will be taken as to the suitability of areas for licensing and unsuitable blocks will be excluded from offer. Further safeguards for the environment will be offered by the forthcoming introduction of regulations that will require appropriate assessments to be carried out on offshore petroleum projects that are likely to have a significant effect on the environment.
Exploration does not always lead to discovery, nor discovery to development, but there are proven hydrocarbons off the Welsh coast and continuing work and new licensing opportunities will help to ensure that their economic potential is properly assessed and, where possible, exploited.