Shale gas production could reduce Europe's dependence on Russia

Rising shale gas production in the US and Canada as well as potential natural gas supplies from Iraq could reduce European energy dependence on Russia, according to a new study released today by Rice University's Baker Institute for Public Policy.

The study examines Russia's evolving energy relations with neighbouring countries in the Caspian Basin, and considers potential scenarios for Russian and Caspian oil and natural gas strategies.

"Maintaining favorable tax conditions to support investment in onshore shale gas resources in the US can play an important role of containing Russia's leverage over an increasingly global natural gas market," said Kenneth Medlock, researcher at Baker Institute and author of the study. "In addition to North