London | The British government has thrown into doubt the future of shale gas explorer Cuadrilla Resources, refusing to budge on its stringent fracking regulations even after the company said its operations would struggle unless the rules were changed.

Cuadrilla, half-owned by listed Australian mining services company AJ Lucas, announced last week that initial test results from its Preston New Road site in northern England had revealed commercially viable levels of high-quality natural gas – and immediately called for a relaxation of the rules that are holding back any further work.