Gas extraction from the Groningen gasfield in the northern Netherlands has led to localized earthquakes which are projected to become more severe. The social impacts experienced by local residents include: damage to property; declining house prices; concerns about the chance of dykes breaking; feelings of anxiety and insecurity; health issues; and anger. These social and emotional impacts are exacerbated by the increasing distrust Groningen people have towards the national government and the gas company, NAM, a partnership between Shell and ExxonMobil. The earthquakes have reopened discussions about the distribution of benefits from gas production and the extent to which benefits are retained locally. Mitigation of the impacts is attempted, but the lack of trust decreases the effectiveness of the mitigation measures. The extent of this experience of previously-unforeseen, unanticipated impacts suggests there needs for a new social and environmental impact assessment to be undertaken, and a new Social Impact Management Plan (SIMP) and Impacts & Benefits Agreement (IBA) developed, so that the project can regain its legitimacy and social licence to operate. In addition to conventional gas, this paper has wider relevance for unconventional gas developments, for example shale gas extraction by hydraulic fracturing methods (fracking).