Selected implications of shale gas extraction in Europe

According to the 2011 International Energy Agency data, 60 % of natural gas production in the US comes from unconventional sources. Currently in Europe the commercial production of shale gas has not yet been developed. However, the European Commission estimates that conventional production in those countries which have already made some progress could already start as early as 2015. The 2013 A.T. Kearney report outlines that European resources constitute 7 % of world resources, but the success of shale gas exploration in Europe will depend on a series of economic, political and geographical factors. This paper analyses the potential impact of the development of the shale gas industry in Europe, particularly recoverable potential of shale gas, its impact on the economy, overall EU energy mix, energy prices and the European job market. In addition, the paper briefly discusses the potential impact of shale gas extraction on gas imports and security of supply.