Netherlands lowers Groningen output

The Dutch government has further cut production from the giant Groningen gas field in order to limit damage to the buildings in the region

In early July set a cap of 30bn cubic metres (cm) on this year’s production from the giant, flexible Groningen gas field, meaning that the operator NAM may produce just 13.5bn cm in the second half of the year. Gas marketer GasTerra may need to import more gas to meet domestic demand and export commitments. GasTerra, which is owned 25% each by the majors ExxonMobil and Shell (who are also the 50-50 shareholders in NAM) and 50% by the Dutch state, has exclusive rights to Groningen gas. The government was acting on the advice of the state mining oversight agency, which called for lowering the output as far as realistically possible, but it allowed an upper limit of 16.5bn cm for the second hal