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News : Plans for Proposed Preesall Gas Storage Facility Announced 

The next steps in the proposed development of an underground gas storage facility at the Preesall salt field were announced today (27.07.2010).

The company behind the project, Halite Energy Group Limited (‘Halite Energy’, previously known as Canatxx), said that it will not appeal against Lancashire County Council’s decision to turn down the planning application in January this year, but stated that it is preparing a modified scheme that will be submitted to the Infrastructure Planning Commission (IPC), or the body that replaces it, as required by the Planning Act 2008.

Bruce Gibson, Senior Project Manager at Halite Energy said: “We have reviewed all the feedback from the previous applications and as a result we have decided not to appeal against Lancashire County Council’s refusal of the latest application.

“Working with a team of experts with extensive experience in gas storage projects across the UK and globally, we are now developing new proposals with a view to consulting the public in the autumn.”

Halite Energy is a UK registered company, and a concerted effort is underway to transition the project leadership to the UK. As part of this effort, a comprehensive search for a UK-based chief executive is currently taking place.

Halite Energy has appointed a team of global industry specialists to work on the project and specifically to address the concerns that have been raised in previous applications by the planning authorities and the local community. The company is now developing plans for a new project design that could see a reduction in the initial area of gas storage development. The company said that it will consult closely with local authorities, statutory consultees and the local community around Preesall on a new scheme this autumn, with the aim of making a submission to the IPC in 2011.

The consultation will be extensive and include an interactive website, where local people can learn more about the project. Additional information will be added to this website as the consultation process progresses, including the facility to post questions online.

The consultation process will also include a series of exhibitions locally to consult on the new scheme. In addition, Halite Energy has recently hired a Community Liaison Coordinator who will be out in the area communicating information around the project and listening to the voice of local individuals and groups.

Speaking about current activity at the Preesall site, Mr Gibson added: “Halite Energy is undertaking activity on the site and is implementing a new long-term maintenance programme as a responsible owner of the site. This programme includes the ongoing inspection and maintenance of existing cavern wellheads and recurring ground level monitoring surveys.”

The D. E. Shaw group, a global investment firm, acquired a majority ownership in Halite Energy in July 2010.

Earlier this year a project development loan was secured from BNP Paribas S.A. and the D. E. Shaw group.  This arrangement will provide funding towards the new application.

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