British companies working in the fracking industry have told government they are “suffering” and struggling to secure finance, according to documents obtained via freedom of information. In a meeting last May with then-business minister Anna Soubry, the Onshore Energy Services Group (OESG) said raising the money needed to develop a widescale fracking infrastructure was proving difficult. “Industry are finding it a challenge to get support from British banks… all funding therefore comes from overseas and self-growth,” the group said, according to the government’s minutes of the meeting. “British banks are saying the companies are too small.” The trade association, which represents small and medium-sized oil and gas companies [SMEs] in Britain, also raised concerns that if fracking takes off, supply chain companies won’t be ready to provide the equipment needed to build the infrastructure to support the industry. It told government that “incremental gains” will be made in making individual fracking sites operational, but that the “social license will be more important when this industry scales up”. In other words, getting public support will be key.
Energydesk 14th July 2017 read more »