SHARE
CEO of Rose Petroleum Matt Idiens. Image courtesy of ProactiveInvestors Stocktube/Youtube.

UK-based independent Rose Petroleum will exit two of its German unconventional gas plays less than a year after winning the licenses.

Rose is dropping its Konstanz and Biberach exploration licences citing a lack of political support for shale gas exploration.

The company  said the “current current political situation for exploring unconventional hydrocarbons in Germany remains unclear and the directors consider that this will remain the case in the near future.”

The two licenses were set to expire in 15 months.

Konstanz and Biberach are located in the southwestern part of the country in the the Baden-Wurttemberg state and cover 635,000 acres.

The company will hold on to its third licenses in the Weidden state because the license holds conventional targets and has a longer license term.

The Weidden license is located in Bavarai and covers 657,000 acres.

“Despite promising preliminary results for exploration showing unconventional targets, the company does not see any benefit in pursuing the licences,” Rose Petroleum said.

The German government has proposed fracking restrictions that would bar drilling wells with depths less than 9,842 feet.

Germany’s federal environmental agency called fracking a “risky technology” and recommended it be banned under the country’s clean water regulations.

Unconventional drilling in Germany is currently under a moratorium but has not been banned outright.

CEO Matthew Idiens said the company will focus on developing the 230,000 net acres in Utah it acquired earlier this year.