Fracking adds further £2m to Lancashire economy

Caudrilla has reported that its hydraulic fracturing has added a further £2m to the Lancashire economy during the last quarter of 2018.

The firm’s latest Putting Lancashire First tracker, which it is mandated to publish each quarter, revealed that direct spend with suppliers in the county rose to £1.8m during the three months to 31 December. The amount of money suppliers sub-contracted to other businesses in Lancashire stood at £188,000.

The figures cover a period which saw the first hydraulic fracturing into shale rock in the UK for seven years.

Since the tracker was launched in 2016, Cuadrilla and its Lancashire suppliers have invested more than £13m into the local economy, and 765 local businesses have registered their interest to supply the county’s nascent shale gas industry via the Supply Chain Portal hosted by two local Chambers of Commerce.

Jill Overland, finance and business services director at Cuadrilla, said: “The final quarter of last year was a landmark few months for shale gas exploration in the UK, with the first hydraulic fracturing taking place in horizontal shale wells at our Preston New Road site.

“During this period we remained true to our Putting Lancashire First commitment with our local spend standing at nearly £2m. This local investment during our exploration phase is just the tip of the iceberg in terms of the benefits the industry could deliver for the county going forward.”

Miranda Barker, CEO of East Lancashire Chamber of Commerce, said: “The continued investment by Cuadrilla with the local supply chain is an indication of what could come from this nascent industry. It is very positive to see very different businesses from right across the county wanting to support the sector in Lancashire.” Babs Murphy, chief executive at North & Western Lancashire Chamber of Commerce, added: “It is also encouraging to see that more and more companies are registering via the Shale Gas Supply Chain Portal to provide their services.”