France’s Total Weighs Bid for U.K. Shale Gas

French energy major Total SA (TOT, FP.FR) is considering bidding for rights to explore for shale gas in Britain and is “frustrated” by a lack of information on a licensing round to be held next year, the Daily Telegraph reported Wednesday.

The company is also understood to have held talks with several companies about buying a stake in their existing exploration blocks in the U.K., according to the Telegraph.

The enthusiasm of one of the world’s biggest energy companies to join the search for U.K. shale is the latest sign of the nascent industry’s growing momentum following the 160-million-pound ($247 million) deal for British Gas owner Centrica PLC (CPYYY, CNA.LN) to buy a 25% stake in Cuadrilla’s Bowland shale license area, the newspaper wrote.

Ministers are preparing to unveil details of incentives for communities affected by “fracking” in a further attempt to encourage swift exploration of Britain’s shale resources, which they believe have the potential to provide an important new source of gas to the U.K., the Telegraph reported.

Total is understood to have held talks with Cuadrilla over buying into its licenses but is now focusing on other opportunities.

Source: Market Watch