Natural Resources Minister Derrick Dalley made the announcement Monday in the house of assembly.
It comes amid a plan by Shoal Point Energy, with its partner Black Spruce Exploration, to use hydraulic fracturing to extract oil and gas on the west coast of the province.
Some area residents have expressed concern about fracking plans in the region.
UNESCO indicated that the World Heritage site status of Gros Morne National Park could be at risk if fracking proceeds near its boundaries.
Dalley acknowledged the interest and concern in the controversial exploration technique of extracting oil from shale rock.
But he said the government will do its homework before even looking at a formal proposal.
"I can assure Newfoundlanders and Labradorians that our government’s first and main consideration when exploring an economic development opportunity is the health and safety of our people and protection of the environment," Dalley said.
"These principles guide our decisions and remain our highest priorities."
He said the pause will give the province time to do a full review of regulations, rules and guidelines in other jurisdictions, and to complete the technical work needed to assess the geological impact on western Newfoundland.
Dalley said public consultations will also be a big part of the process.
"Our first consideration is the health and safety of our people. In making this decision, our government is acting responsibly and respecting the balance between economic development and environmental protection," he said.