Government reaches deal with NAM to end gas extraction plans in Friesland

Plans for gas drilling under the Wadden Sea near Ternaard in Friesland have been permanently cancelled. The government has reached an agreement with NAM, the gas company, Energy Minister Sophie Hermans announced Friday at the Wierum village hall.

Residents and regional leaders welcomed the announcement with applause. The government will pay NAM 163 million euros to cancel its gas extraction plans. According to the Ministry of Climate and Sustainable Growth, around 40 million euros will remain after taxes and contributions to state-owned EBN. NAM is jointly owned by Shell and ExxonMobil, each holding a 50 percent stake.

The agreement between the Cabinet and NAM brings clarity to the long-standing question of gas extraction at this site. NAM first applied for permission to extract gas roughly six years ago, and the government had no legal grounds to deny the request.

In 2024, a law was enacted banning new gas drilling under the Wadden Sea, after which Minister Hermans began negotiations with NAM to have the application withdrawn.

The initial application by NAM was submitted in 2019, and the issue has continued to attract attention over the years. From a legal perspective, the Cabinet initially lacked a valid reason to deny NAM’s application, which is why the dossier remained in limbo for years.

During this period, opposition came from many quarters: local residents and authorities, including the municipality of Noardeast-Fryslân, as well as nature and environmental groups, who highlighted the severe environmental consequences, the risks to the Wadden Sea’s unique ecosystem, and the area’s designation as a World Heritage site.

Furthermore, the Netherlands’ top administrative court, the Council of State (RvS), ruled that the minister must decide on NAM’s applications by January 1, 2025, a decision that could have permitted new gas extraction.