RIA Novosti cited Mr Vladimir Chuprov the energy program director of Greenpeace Russia as saying that gas extraction from shale deposits, seen as an alternative to conventional gas production, still remains commercially unprofitable.

He said that "Shale gas extraction needs different technology and large amounts of investment. In terms of reserves, it is comparable with high-pressure gas and is present everywhere, but the question is whether the shale gas extraction technology can advance to a commercially advantageous level."

The Russian business daily Kommersant reported recently that Poland could become the largest gas supplier for Europe following the discovery of large reserves of shale in the Central European country.

The paper said if Poland gas resources are proved, total gas reserves in Europe will jump 47% and European shale gas extraction projects would pose a serious threat to Russian energy giant Gazprom in the next ten years.

The Greenpeace official said that the US and Canada had long been developing the technology of shale gas extraction.

Mr Chuprov said "It is believed that the technology of shale gas extraction reaches profitability level at the gas price of USD 300 per 1,000 cubic meters, adding that the whole of Europe, including Germany, France and Poland, were shale gas bearing provinces.”

The expert said "If a commercially beneficial technology is found, the issue will be raised about the need for Russian gas exports to Europe, which may create serious problems for Gazprom."

(Sourced from RIA Novosti