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Dutch court upholds Groningen gas production cap

Jan. 5, 2017 2:28 PM ET|By: Carl Surran, SA News Editor

A Dutch court today upheld a government decision to cap production at the Groningen gas field at 24B cm until Oct. 1, 2021, a step aimed at easing the risk of earthquakes triggered by drawing gas from the field.

The court was responding to requests for a preliminary injunction against the June decision, opposed by groups who sought a halt or a deeper cut to production at Groningen.

Output has been cut several times from 53.9B cm in 2013 amid criticism that Dutch authorities had failed to adequately assess the risk to citizens from earthquakes caused by gas production.

Groningen is operated by a joint venture between Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM).

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