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Seeking Alpha: Dutch regulator wants Groningen gas production cut faster than planned

|About: Royal Dutch Shell plc (RDS.A)| By , SA News Editor

Production at the Groningen natural gas field in the Netherlands needs to be cut faster than planned, Dutch gas sector regulator SodM says after a 3.4 magnitude earthquake hit the region last week.

“From a safety perspective, SodM recommends that not more than 12B cm be extracted from the Groningen gas field in the following gas year in the event of an average winter,” the regulator says.

The Dutch government has pledged to end production from the field by 2030 and to lower it as quickly as possible in coming years, with output already set to fall to 19.4B cm in the year through October 2019, down from a peak of 54B cm in 2013.

Gas company NAM, which runs the Groningen field, is a joint venture of Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM).


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