WELSH company South Western Energy has not accepted the licence for gas exploration, known as ‘fracking’ in the areas along the River Wye.

The Bridgend-based South Western Energy was offered blocks SO50a, SO51a, the eastern border of which includes areas such as Llangrove, Whitchurch, Symonds Yat, Redbrook and Brockweir.

A spokesperson from the government’s Oil and Gas Authority said: “The OGA can confirm that some blocks offered under the 14th Onshore Licensing Round have not been accepted by those to whom they were offered. This means that the licences pertaining to these blocks will not be awarded.”

This was confirmed by Director of South Western Energy, Gerwyn Williams who cited financial reasons for the decision.

He said: “We have decided not to accept Wiltshire areas or Gloucestershire and South Herefordshire.

“The main reason is to minimise our financial exposure during a period of low energy prices and uncertain future energy prices.”

Mr Williams noted the changes since the process first began to now, when this decision has been made.

He said: “Now is not the time to be spending large amounts of money on exploration.

“We need to remember that this licensing round was launched in July 2014, over two years ago, a lot has changed since then.”

There has been fierce opposition against fracking across the country, with local group Frack Off Our Forest gathering a lot of support, but Mr Williams said they were not a factor in the decision.

“We haven’t encountered much objection in Wiltshire, Gloucestershire or Herefordshire. What communications we have had in all of these areas has been very well mannered.

“Public pressure is certainly not an issue, as can be demonstrated by our decision to give back areas in Wales that we have held for many years and have spent very substantial amounts of money on.”

While this decision rules out any exploration at the present time it does not exclude exploration in the future.

An OGA spokesperson said: “Where companies have informed the OGA that they do not wish to accept a licence offered for award, that licence and the acreage falling thereunder will not be awarded under the 14th Onshore Licensing Round.

“The acreage in question could become available for consideration in the future, but would be open for competition in line with the OGA’s licensing policy.”

Mr Williams did not rule out a return to the area either. He said: “We have been in this business for over twenty years onshore UK, we are not going away. If energy prices improve we may re-apply, out of round if necessary, for some of the areas in Gloucestershire and Wiltshire.”