IGAS Energy PLC (LON:IGAS) shares rose 12% in Friday afternoon’s deals as the path was cleared to allow shale gas Cuadrilla to start a fracking campaign in Lancashire.
It comes as the High Court in London dismissed a ‘last minute’ request made by protestors for an interim injunction to block the project.
Justice Supperstone concluded that there was no evidence to support the contention that LCC had breached any of the relevant duties concerning emergency planning, Cuadrilla said in a statement.
Hydraulic fracturing operations at its Preston New Road shale gas exploration site, near Blackpool, will now get underway tomorrow (Saturday 13 October).
“We are delighted to be starting our hydraulic fracturing operations as planned,” said Francis Egan, Cuadrilla chief executive.
“We are now commencing the final operational phase to evaluate the commercial potential for a new source of indigenous natural gas in Lancashire.
“If commercially recoverable this will displace costly imported gas, with lower emissions, significant economic benefit and better security of energy supply for the UK.”
Egan added: “The hydraulic fracturing process will take approximately three months to complete for both horizontal exploration wells.
“Cuadrilla will then test the flow of natural gas from those two wells with initial results expected in the New Year.”
Cuadrilla’s Preston New Road project is at the forefront of the UK shale gas push, which has stalled somewhat due to frustrations in planning and permitting processes.
The legal greenlight is a boon for IGas Energy which also holds shale gas assets in North West England.
IGas shares were up 13p or 12.21%, changing hands at 119.53p.