Greece’s Energean said on May 28 it signed contracts to supply up to 23 billion cubic meters of natural gas to private Israeli power stations from the Tanin and Karish gas fields offshore Israel.
The deals were signed with Dalia Power, which operates Israel’s largest private power station, and Or Power, which is planning to build new power plants, Energean said in a statement.
Financial details of the deals were not disclosed.
Energean, a private E&P company in the eastern Mediterranean, bought the Karish and Tanin licenses from Israel’s Delek Group in December 2016 for an upfront cost of $40 million and $108.5 million in contingent payments.
Delek and its partner Noble Energy, who together control two huge gas fields nearby, were until now the only group to sign gas supply deals in Israel. The Israeli government had forced them to sell the smaller Tanin and Karish fields to open the market.
“The agreement is a substantial step toward bringing competition and cheaper energy to the market for the benefit of Israeli consumers and the country’s economy,” Energean CEO Mathios Rigas said.
The company expects to begin production in 2020.
Recommended Reading
NOV Announces $1B Repurchase Program, Ups Dividend
2024-04-26 - NOV expects to increase its quarterly cash dividend on its common stock by 50% to $0.075 per share from $0.05 per share.
Repsol to Drop Marcellus Rig in June
2024-04-26 - Spain’s Repsol plans to drop its Marcellus Shale rig in June and reduce capex in the play due to the current U.S. gas price environment, CEO Josu Jon Imaz told analysts during a quarterly webcast.
US Drillers Cut Most Oil Rigs in a Week Since November
2024-04-26 - The number of oil rigs fell by five to 506 this week, while gas rigs fell by one to 105, their lowest since December 2021.
CNX, Appalachia Peers Defer Completions as NatGas Prices Languish
2024-04-25 - Henry Hub blues: CNX Resources and other Appalachia producers are slashing production and deferring well completions as natural gas spot prices hover near record lows.
Chevron’s Tengiz Oil Field Operations Start Up in Kazakhstan
2024-04-25 - The final phase of Chevron’s project will produce about 260,000 bbl/d.