(Adds quotes from ruling, gas prices, analyst comment)
By Anthony Deutsch and Toby Sterling
THE HAGUE, Nov 18 (Reuters) - A Dutch court on Wednesdayordered more cuts in gas production at Groningen, Europe'slargest gas field, saying the government had given too littleconsideration to the stronger and more frequent earthquakesextraction had caused.
Output at the field, the world's 10th largest, will now becapped at 27 billion cubic metres (bcm) per year from 33 bcm,the court said, adding that the government had failed tosufficiently weigh public safety risks.
The spate of earthquakes has caused extensive damage in theNetherlands' northernmost province.
Groningen, along with a few smaller Dutch fields, suppliesabout 15 percent of the Europe's gas and proceeds made up morethan 5 percent of government revenues for the national budgetduring recession years 2011-2013.
"Although the minister (economy minister Henk Kamp) wasentitled to attach great importance to the security of supply,he permitted a higher level of extraction than the average thatis required," a summary of the 70-page ruling said.
Kamp had argued that 33 bcm was the minimum needed toguarantee supply in a cold winter. The court said 27 bcm wasenough for an average winter, but added: "Should it turn out tobe a relatively cold year, the maximum gas extraction can beraised to 33 billion cubic metres."
The order applies to production through October 2016.
The court also rejected Kamp's calculations of safety risksfrom earthquakes and said he would have to incorporate a betterassessment by October 2016.
The government has twice this year reduced production fromits original target of 39.4 bcm, sending regional prices higher.
But British gas prices for delivery next summer and next winter fell by more than 3 percent to34.60 pence per therm and 38.40 pence/therm respectively.
Point Carbon analyst Oliver Sanderson said the announcementwas not a great surprise.
"Healthy supply from other sources such as LNG (liquefiednatural gas) from Qatar, as well as piped imports from Russiaand Norway have eroded any bullish impact of Groningenproduction cuts over the past 10 months," he said.
In February, Kamp ordered production cut to an annualisedrate of 33 bcm for the first half of the year. In June Kampordered a further cut to 13.5 bcm for the second half of theyear. (Additional reporting by Nerijus Adomaitis in Oslo; editing bySusan Thomas)
