US energy firm ConocoPhillips has signed a deal to explore for natural gas in PolandÔÇÖs shale acreage, according to a report by Reuters.
The agreement with Lane Energy Poland allows for joint assessment of LaneÔÇÖs six licenses in the northern Baltic basin region of Poland, near the Port of Gdansk.
Under the terms of the deal, Houston-based ConocoPhillips has the option to acquire an interest of 70 per cent in the concessions and to operate up to one million acres, though Lane will act as operator on the initial phase.
Acreage in northern Poland is flat, easily accessible and ideally positioned to supply gas to the European Union, where demand is strong.
Shale reserves hold large amounts of natural gas, which is accessed by the drilling of horizontal wells and then fracturing the rock deep below the surface.
ConocoPhillips has said it expects the first Polish well to be drilled in early 2010. A 3D seismic programme was started in July.
In a statement, 3Legs Resources, which owns Lane Energy Poland said: ÔÇ£The Lane Energy Poland agreement with ConocoPhillips represents a landmark transaction for the 3Legs Resources Group, which it believes will enable it to maximise the potential of its Baltic Basin licences.ÔÇØ
Poland has been increasingly keen to produce gas domestically. Last year it awarded ExxonMobil the right to search for gas in its eastern Mazowieckie and southeastern Lubelskie provinces.
Thirty-one per cent of the countryÔÇÖs gas demand is currently met by domestic producer Polish Oil and Gas Company (PGNiG).
 
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