web analytics
July 31, 2015 / 15 Av, 5775
At a Glance

Posts Tagged ‘Tamar’

Security Cabinet Unanimously Approves Moving Quickly to Develop and Expand Israel’s Gas Fields

Friday, June 26th, 2015

(Communicated by the Prime Minister’s Media Adviser)

The Security Cabinet unanimously decided on Thursday, that at this time, it is of decisive importance to move quickly to develop and expand the natural gas fields that have been discovered off Israel’s coasts, out of concern for state security and the foreign relations of the State of Israel.

The Security Cabinet also adopted Economy Minister Aryeh Deri’s proposal to transfer his authority under Article 52 of the 1988 Restrictive Trade Practices Law for Government approval. The outline will be published in the coming days and submitted for a public hearing

US Secy of State Kerry is Shareholder in Noble Energy’s Israeli Gas Group

Thursday, June 25th, 2015

An emerging compromise between the government and the natural gas group that discovered Israel’s offshore reservoirs is being discussed by the political-security cabinet Thursday (June 25) just as news is revealed the U.S. Secretary of State John Kerry is one of the shareholders in Noble Energy.

In a 2013 declaration of assets published on opensecrets.org, Kerry’s shares in Noble Energy totaled an estimated $500,000 to $1 million.

The revelation comes as the cabinet mulls a compromise that would eliminate the need to break up the energy group formed by Noble Energy and Delek, Ltd.

Also on the table is the issue of what will happen with gas agreements Israel has with customers in Egypt if this issue is not sorted out quickly. A regulatory quagmire has stalled the process of setting up a pipeline to supply the gas from Leviathan to the British Gas liquefaction facility at Idku, Egypt.

Last June, the Leviathan partners had signed a letter of intent with BG in a $30 billion deal to supply 105 BCM of gas to the facility for 15 years. One sixth of the reservoir’s gas field would be exported in the deal, which is designed to make its development worthwhile.

In May 2014, the Tamar partners had signed a letter of intent with Spanish company Union Fenosa, which has a gas liquefaction facility in Damietta, Egypt. The Tamar group would supply the facility in Damietta with 70 BCM over 15 years, a deal worth nearly $20 billion. Union Fenosa Fenosa would pay for a gas pipeline to connect the Tamar reservoir to the Egyptian facility.

But Israel’s infamous snarl of political red tape got in the way, and everything came to a halt.

Last December, Israel Antitrust Authority director-general Prof. David Gilo ruled the gas sector must be restructured. Israel’s Antitrust Authority accused the Noble Energy – Delek Ltd. group of forming an illegal monopoly, raising red flags for others who called on the state to nationalize its gas reserves.

As a result of the regulatory quagmire, negotiations with Union Fenosa stalled – and then stopped. A senior company executive told Globes the firm has continued to hold talks with the Tamar group, but said “the situation between us and the Tamar partners is complicated and difficult. The negotiations between us have reached an impasse.”

Since Egypt does not have infinite patience or time to wait for gas to supply its local economy, it is now exploring other options. According to a report by Ernst & Young, it appears likely that Royal Dutch Shell will sell gas to the British Gas liquefaction facility in Idku. Another possible option is the Aphrodite reservoir in Cyprus.

Likewise, Jordan – which also is in process of negotiating a contract to import gas from Israel – has no time to waste in obtaining affordable natural gas for her citizens. She, too, is now seeking other alternatives thanks to Israeli red tape and political games. One possibility under discussion is the Gaza marine reservoir.

If that happens, Israel’s nascent gas export industry will drown.

Last December (2014), Kerry spoke with Prime Minister Benjamin Netanyahu in an effort to help resolve the issue. At the time, State Department spokesman Jeff Rathke said in a statement, “We continue to engage and we support all parties to move forward with the natural gas deal signed between Noble Energy and entities in Jordan and Egypt. We strongly believe that these deals would enhance energy security in the region.”

Since that time, Netanyahu appointed National Economic Council chairman Eugene Kandel to try to reach a compromise solution.

The energy group has been negotiating with the government ever since. The group hopes to continue operating as is, pointing out that unless the companies can make a profit, there will be no reason for them to explore or drill.

Israel to Export Gas to Egypt

Sunday, October 19th, 2014

The consortium that owns the huge off-shore Tamar natural gas field has signed a seven-year memorandum of understanding with the Egyptian Dolphinus Holdings to export of up to 2.5 billion cubic meters of gas to private Egyptian customers, Globes reported.

The deal is in addition to other sales by the owners of the Tamar and the Leviathan energy fields that have turned Israel into an energy exporter. Previously, Israel was dependent on Egypt for natural gas and had signed a long-term agreement with the regime of Hosni Mubarak. During and after the revolution that ended with his ouster and subsequent arrest and conviction for corruption.

Terrorists in the Sinai routinely blew up the pipeline through which gas flowed to Israel and Jordan.

Delek Drilling chairman and Avner CEO Gideon Tadmor, whose companies are part of the consortium, said, “The Tamar and Leviathan partnerships have so far signed a series of agreements designed to enable the supply of natural gas to the Palestinian Authority, to Jordan, and for export as liquid natural gas via the existing installations in Egypt. The MOU with Dolphinus is a further, important link in the series of agreements, allowing the supply of gas to the Egyptian domestic market as well. I have no doubt that these agreements will lead to a strengthening of Israel’s relations with its neighbors.”

The sale price of the gas will be dependent on the price of crude oil on the world market.

The Dolphinus Holding company reportedly represents large non-government industrial and commercial gas consumers.

The Leviathan consortium last month signed an agreement worth $15 billion with Jordan to export $45 billion worth of natural gas over a 15-year period.

Jordan has turned to Israel for gas because of the interruptions in the flow from Egypt.

In February, Tamar partners also announced an agreement to sell natural gas to Jordan through a new pipeline.

The exports of natural gas have played a major role in the increase of the value of the shekel until the shekel-dollar rate touched below 3.40 in the summer. It since has rebounded to nearly 3.75 shekels to the dollar because of reports of slower than expected growth on Israel, a cut in the interest rate and anticipation that the U.S. Federal Reserve Bank will raise the prime rate by early next year.

 

Leviathan Natural Gas Field 16% Larger Than Expected

Wednesday, July 16th, 2014

Israel has received good news from the energy sector despite the missile fire aimed at its civilians by Gaza terrorists. The Leviathan gas field was found to be even bigger than previously expected.

The estimated size of the natural gas reserve was raised Sunday by 16 percent after an updated analysis by consultant Netherland Sewald & Associates (NSAI) estimated the field to hold 21.93 trillion cubic feet (620 billion cubic meters, or bcm.)

NSAI raised its estimate based on expansion of Leviathan’s database, which included 3D seismic surveys and a laboratory analysis.

Along with Leviathan, the Tamar field holds 303 bcm and began production a year ago. Two other, smaller sites hold an additional 58 bcm.

The Leviathan field is operated by Texas-based Noble Energy, which holds 39.66 percent of the rights to the reserve. Israel’s Avner Oil and Delek Drilling, both subsidiaries of the Delek Group – hold a combined 45.34 percent stake. Ratio Oil holds the remaining 15 percent of the shares.

Israel to Sell $500 Million of Natural Gas to Jordan

Wednesday, February 19th, 2014

The Nobel Energy consortium developing Israel’s offshore “Tamar” natural gas fields has signed a half a billion dollar deal to export gas over the next 15 years to Jordan’s Arab Potash Co. and Jordan Bromine Co.

The exports could grow to $30 billion over a longer period of time.

Nobel and its Israeli partners Delek, Isramco and Alon Natural Gas. Will build a pipeline from the Dead Sea Works to the Jordanian side of the Dead Sea.

U.S. Deputy Assistant Secretary for Energy Diplomacy at the State Department Amos Hochstein has held more than a dozen meetings with Jordanian and Israeli businessmen and political leaders over the past 18 months to help negotiate the Jordan’s King Abdullah II and Prime Minister Binyamin Netanyahu were involved.

Jordan is increasingly dependent on Israel, which already supplies the kingdom with water, and the significance of Israel’s recent oil and gas discoveries has been under-exaggerated, both economically and financially.

The consortium operating the Tamar gas field previously have signed a 20-year contract to sell $1.2 billion worth of natural gas to the Palestinian Authority.

The purchases by Jordan and the Palestinian Authority come at the expense of Egypt, which has been a totally unreliable supplier thanks to terrorists who frequently blow up the pipeline that brings gas from El Arish to Israel and Jordan.

The deal with Jordan “will pave the way for additional export projects which could enhance regional cooperation as well as provide additional supply to the domestic market and enhanced security of supply through development of additional reservoirs and infrastructure,” said Noble Energy VP Eastern Mediterranean Lawson Freeman.

The new natural gas industry in Israel is creating thousands of jobs for laborers and engineers and also has helped turned the shekel into one of the world’s strongest currencies against the dollar.

Politically, Israel’s energy sources and water resources , thanks to desalinization plants, are creating conditions that will make the Palestinian Authority and Jordan a lot less belligerent while leaving Egypt to wallow in its own economic and political anarchy that was hastened by the Arab Spring revolutions.

Haifa Mayor Tries to Annex Offshore Drilling Sites – Seriously!

Thursday, September 12th, 2013

At first we thought the article in Globes was a joke, but it turns out its not.

Haifa’s mayor, Yona Yahav, petitioned the Ministry of the Interior to expand his city’s boundaries an additional 90 kilometers west of the shoreline, which would then place the Tamar and Dalit gas field within his city limits, and thus subject to Arnona (city tax).

While the gas fields are inside Israel exclusive economic zone (EEZ), it’s considered to be outside the territorial boundaries of the state.

Yahav told Globes that he is still waiting for an answer.

More Natural Gas Found

Thursday, May 16th, 2013

On Wednesday evening, the Delek Group announced that they believe they’ve found an additional 57 billion cubic meters (2 trillion cubic feet) of natural gas at the Karish (“Shark”) 1 well. Updated estimates, on Thursday morning, are now saying there is possibly 80-100 billion cubic meters.

The drilling began in mid-March, and was expected to go on for 3 months.

The Karish well is 75 kilometers north west of Haifa. The waters depth is 1,740 meters, and they will be drilling down 4,900 meters.

This well is being drilled by Noble Energy (47.1%), Yitzhak Tshuva’s Delek Drilling (26.4%) and Avner Oil and Gas (26.4%).

The issue of what to do with the gas is a controversial subject in Israel, with some sides saying it should be exported, while other saying it should all be kept for domestic use.

Government profits from the gas are going to be put into a special fund, but JewishPress.com has been calling for Israel to follow the Alaska model introduced by Sarah Palin, where State income and sales tax have been cancelled, and citizens of Alaska personally receive checks from the oil revenue royalties and taxes.

Palin introduced the concept that the natural resources of the state belong to the citizens of Alaska, and they should profit from it directly.

Printed from: http://www.jewishpress.com/news/breaking-news/more-natural-gas-found/2013/05/16/

Scan this QR code to visit this page online: