Israel Electric Corp. will buy about $700 million worth of natural gas until June 2021 from the Leviathan Field in the Mediterranean, one of the partners in the field said June 12.
Delek Drilling said the Israeli state utility will buy about 4 billion cubic meters of gas from Leviathan, from the time it begins operation around Oct. 1, 2019, until June 30, 2021, or until the Karish Field comes online, whichever happens first.
Delek owns 45% of Leviathan while Texas-based Noble Energy and Ratio Oil are also partners in the field.
The parties must now renegotiate a deal that would transfer Breitburn's Permian reserves to investors including Elliott and WL Ross through their participation in a $775 million rights offering.
Oil major Exxon Mobil said Jan. 31 it would create three new separate E&P companies, effective April 1, in an effort to double its profit by 2025.
Crescent Point Energy's strategy to sell assets to reduce debt and use a part of the money to finance its expansion in oil and gas production is yet to pay off.