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Thursday, 26 October, 2000, 12:43 GMT 13:43 UK
Drilling impact report ordered
Whale
Environmentalists say drilling affects rare marine life
An assessment has been ordered into the environmental impact of oil and gas exploration between Shetland and the Faroe Islands.

The three-month consultation has been launched prior to the start of bidding for exploration licences.

UK Energy Minister Helen Liddell told MPs that the government wanted to look at the potential impact of oil and gas activity in the area, known as the White Zone.

Environmental groups fear oil development in the region would "vandalise" one of the most important areas in Europe for whales and coral reefs.

Mrs Liddell said that conditions may be imposed on any licences granted, or some areas ruled off-limits completely.

Magnus field
The UK already pumps 2.6m barrels of oil per day
She said: "Before any licences are awarded, I want to hear the views of the public and experts on the environmental impact that these activities might have."

While it was important, she said, to provide further opportunities for exploration by oil companies, the new changes would provide "a stronger legal and environmental framework".

"Maintaining oil and gas discoveries over the coming years is vital if we are to sustain an important industry and benefit the UK economy," she added.

The consultation will also seek views on draft regulations to implement a European Union directive which protects certain species against offshore oil and gas activity.

The UK Offshore Operators Association welcomed Mrs Liddell's statement, saying it would help remove uncertainty over the development of the north-east Atlantic.

'Double blow'

Oil companies have drilled almost 150 exploration wells in the north Atlantic, estimated to hold 1.5 billion barrels of potentially recoverable reserves.

The UK pumps about 2.6 million barrels per day, mostly from maturing offshore fields in the North Sea.

The area west of the Shetland is seen as a more technically challenging region for drilling.

Greenpeace has said oil drilling causes a double blow to the environment by damaging the wildlife when oil is extracted and damaging the planet by worsening global warming.

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See also:

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