Energy company Cuadrilla has said it will not frack in Balcombe "now or in the future".
A letter was sent to residents of the village.
During the summer hundreds of anti-fracking protesters gathered while the firm carried out test drilling.
The protestors feared it could lead to hydraulic fracturing, also known as fracking.
Cuadrilla chief executive Francis Egan said the rock where hydrocarbons had been found was "naturally fractured".
Earlier this week Sussex's Police and Crime Commissioner said the total cost of the fracking operation was around £4m.