Saturday, September 27, 2014

‘Israel gas deal will save Jordan JD700m annually’ | The Jordan Times

‘Israel gas deal will save Jordan JD700m annually’

by Mohammad Ghazal | Sep 25, 2014 | 23:12

AMMAN — The government said Thursday the state-owned National Electric Power Company (NEPCO) is expected to buy 250-300 million cubic feet per day of natural gas from Noble Energy, which experts said will save around JD700 million annually of the energy bill.
Minister of Energy and Mineral Resources Mohammad Hamed said Thursday that NEPCO is in talks with the American company Noble Energy to determine the prices of gas it will buy from Israeli fields late 2017, expecting a deal soon.
The quantities, experts said, will help slash Jordan’s energy bill that exceeds JD4 billion a year and reduce the losses of NEPCO, which are expected to reach JD1.3 billion by the end of 2014.
“We will receive large quantities of gas from Israel, Cyprus and the Gaza Strip. The liquefied natural gas terminal, which will be ready early 2015, will also boost our reserves of gas,” said the minister at a meeting held by EDAMA Association under the title “The Alternatives of Resolving Gas Shortages in Jordan”.
“All the large quantities of gas we will receive will not only be used for power generation; we will encourage industries to use gas to increase their competitiveness,” the minister said.
Early this month, NEPCO signed a letter of intent with Noble Energy, which owns 39 per cent of the Leviathan natural gas field in Israel, to buy gas over a period of 15 years and at a total cost of $15 billion. The purchase agreement is expected to be signed in November.
Lawmakers at the EDAMA event warned against relying on Israeli gas, stressing that Jordan should tap its local resources including renewable energy and shale oil.
“There is always a conflict of interest with Israel. At a certain point, they might stop giving us gas. Although we have a peace treaty with Israel we remain at hostilities with the Zionist entity,” Jamal Gammouh, head of the Lower House Energy Committee, said at the meeting.
“We cannot look at Israel as an economic partner. This has serious social and economic consequences. We need to focus on alternatives,” said Gammouh.
Jawad Anani, chair of the Senate Energy Committee, said Jordan needs not to rely on the Israeli gas.
“We need to learn a lesson. We used to rely on Egyptian gas and it suddenly stopped and we were in trouble,” said Anani.
“We need political assurance that there will be no cuts. Relying on Israeli gas is risky,” said Anani. 
“Jordan should focus on local resources. We should never be dependent on external resources,” he added, referring to oil shale and renewable energy.
The minister stressed that the government is keen on diversifying energy resources and that it is going ahead with plans to build oil shale-run power plants as well as renewable energy projects.
Jordan is also considering buying gas from Cyprus.

Link to source: http://jordantimes.com/israel-gas-deal-will-save-jordan-jd700m-annually

Cyprus hosts regional meeting on safety of oil and gas operations | Famagusta Gazette

Cyprus hosts regional meeting on safety of oil and gas operations

“Such developments will be of significant benefit for the country, the region and Europe”, said Onoufriou.
“Such developments will be of significant benefit for the country, the region and Europe”, said Onoufriou.
FAMAGUSTA GAZETTE
• Saturday, 27 September, 2014
THE first Regional Network Meeting for Collaboration on ‘Safety and Environmental Protection of Offshore Oil and Gas Operations in the Eastern Mediterranean Region` took place on Friday in Nicosia.

Addressing the conference, Cypriot Energy Minister Yiorgos Lakkotrypis pointed out that for Cyprus, the safety and the protection of the environment from offshore hydrocarbons activities were priority issues.

As he said a major accident relating to offshore oil and gas operations in the Mediterranean Sea is likely to have significant negative consequences on the marine and coastal environment.

“This is a worst case scenario that we all need to be well prepared for. Particularly for Cyprus, as an island nation with a GDP that depends heavily on tourism, it is a scenario that in no way can be taken lightly”, he added.

In this respect, he said that Cyprus valued greatly the collaboration between the Eastern Mediterranean countries engaging in offshore oil and gas operations, especially in major accident prevention and response.

“This could be achieved by establishing a common policy, based on the exchange of information, expertise and best available techniques in promoting the protection of the environment and the enhancement of safety from these kinds of activities”, he added.

Speaking at the meeting, British High Commissioner Ric Todd said that the gas finds in the Eastern Mediterranean had the potential to transform the economy of Cyprus and the region and could also be an additional energy source for Europe and contribute to greater prosperity and security for all.

“We therefore support Cyprus and the countries in the region in coming together to find ways of collaboration in a sector that it is by its nature complex and technologically challenging”, he said.

He pointed out that health and safety issues were central to the way the industry operated. He noted that collaboration of all stake holders on the health and safety aspect of the industry was not just important, but absolutely necessary.

Todd pointed out that the Minister’s of Energy presence demonstrated the emphasis the government placed on matters of safety, security and environmental protection in developing its oil and gas resources.

The meeting was organized by the Department of Civil Engineering and Geomatics in Cyprus University of Technology in the context of a research program (Joint Industry Programme – JIP), coordinated by Vice Rector for Academic Affairs of the Cyprus University of Technology (CUT) and President of Cyprus Hydrocarbons Company, Professor Toula Onoufriou.

Onoufriou highlighted the potential for Cyprus to develop to into a regional hub for energy.

As Onoufriou pointed out, Cyprus could develop to a regional hub by processing and exporting gas to Europe thus contributing significantly to Europe’s energy security and facilitating collaborations with neighbouring countries at various levels. At the same time Cyprus could become a centre for education, training, research and technology development serving the region and Europe in key strategic technological areas for the future. Cyprus could also contribute in promoting safety and environmental protection of offshore oil and gas operations in the Eastern Mediterranean Region.

“Such developments will be of significant benefit for the country, the region and Europe”, said Onoufriou.

Regarding the Joint Industry Programme, the process aims at developing a set of recommendations for development and implementation of the appropriate safety regime for offshore oil and gas exploration in Cyprus in accordance to the new EU directive.

“It is at the same time a collaborative effort”, said Marios Kyriakides, Research Associate in CUT “between the various players in the industry, benefiting from the combined and diversing experiences”. At the same time, he said it was an opportunity to develop an initial network of contacts to provide the basis for cross-border collaboration in the area of safety and environmental protection.

The meeting was attended by oil and gas companies, operating in Cyprus Exclusive Economic Zone (EEZ) and the Eastern Mediterranean, internationally recognized experts on the issue, the Cypriot Government with the participation of seven Ministries and the British High Commission that co-finances the meeting.
 — (KYPE)


Link to source: http://famagusta-gazette.com/cyprus-hosts-regional-meeting-on-safety-of-oil-and-gas-operations-p25771-69.htm

Friday, September 26, 2014

Cyprus starts new natural gas drilling in offshore field | Shanghai Daily


Cyprus starts new natural gas drilling in offshore field

NICOSIA, Sept. 25 (Xinhua) -- Cyprus started a new drilling on Thursday in an offshore field prospecting for natural gas which experts believe lie in abundance under the sea in the Levantine basin of the eastern Mediterranean.
The drilling is done by a joint Italian-South Korean venture made up of ENI and KOGAS energy companies in a field of Cyprus's exclusive economic zone.
A total of four drillings have been planned by ENI-KOGAS in 2015 in two other fields for which it has acquired concessions.
Texas-based Noble Energy, in association with two Israeli state companies, has already tapped a gas field estimated to contain about 5 trillion cubic feet of natural gas in a nearby field.
Energy Minister Giorgos Lakkotrypis, who visited by helicopter the drillship about 70 kilometers off the south-east shores of the eastern Mediterranean island, said it will take up to 80 days to complete the drilling and first indications about any hydrocarbon reserves will become known in December.
But he cautioned against too big expectations, saying that despite encouraging indications the risk of failure is high.
Experts believe that the Cypriot exclusive economic zone may contain up to 62 trillion cubic feet of natural gas, enough to meet the needs of the bailed out island for the next 200 years.
Israel has taped rich gas reserves in two fields next to the Cypriot sites and is considering options on how to develop its reserves.
Possible positive indications as to Cypriot reserves may lead to a decision to set up a natural gas liquefaction plant on Cyprus, with a gas pipe to Europe either through Greece or Turkey as an alternative option.
Though Cypriot gas is not expected to start flowing before 2018 or even later, Egypt and Jordan have asked to be among Cyprus's clients for early delivery.
The European Union is also closely watching developments in gas exploration in the eastern Mediterranean island as it is eager to find alternative sources of energy to Russian gas on which many EU countries currently depend.



Link to source: http://www.shanghaidaily.com/article/article_xinhua.aspx?id=243303

Saipem starts drilling in block 9 | Cyprus Mail

 20 Comments

Saipem starts drilling in block 9

Saipem starts drilling in block 9
By Elias Hazou
THE Saipem 10000 ultra deepwater drillship was yesterday poised to start drilling the seabed as it prospects for natural gas offshore Cyprus.
“Drilling operations are to all intents and purposes underway,” Energy minister Giorgos Lakkotrypis told reporters a few hours after returning from a visit aboard the vessel.
It was a matter of hours before the drill was lowered into sea, Lakkotrypis said.
The Saipem is prospecting on behalf of the ENI-KOGAS consortium at a reservoir dubbed ‘Onasagoras’ in offshore block 9. The vessel arrived on Tuesday.
Lakkotrypis said the ship’s operations at ‘Onasagoras’ would last about 80 days. After that, it would take anywhere from days to weeks to analyse the initial results; in the meantime the drillship would likely move to another drill site.
The Italian-Korean joint venture is contractually obligated to drill a minimum of four wells during the next 12 to 18 months.
Lakkotrypis said the companies will decide where to prospect next, depending on how each drill goes.
The consortium holds concessions on offshore blocks 2, 3 and 9.
Asked whether Cyprus is now shifting its attention to regional exports – such as Jordan and Egypt – the minister said this was one of the options on the table.
“It is an option that has both its pros and cons, but certainly it also comes within the context of closer cooperation between Cyprus and regional nations,” he noted.
Lakkotrypis deflected another question – as to whether Cyprus can secure good prices for its gas from these countries – saying that it was too early to begin discussing this issue.
It’s understood that ‘Onasagoras’ is not the largest reservoir in Block 9; there is another, far larger potential reservoir.
However, as energy expert Charles Ellinas explained, ENI is going ahead with ‘Onasagoras’ first because it is the site for which it has the most accurate geological data to date.
The larger reservoir, lying north of ‘Onasagoras’, may hold gas on the order of magnitude of Israel’s Leviathan (some 19 trillion cubic feet).
But, cautioned Ellinas, it’s a very rough-and-tumble estimate, based on preliminary seismic surveys.
“Due to the structure of the geology, the reservoir there is less obvious than, say, Aphrodite or Leviathan. You need to drill first, otherwise it’s all speculation,” Ellinas told the Cyprus Mail.
According to the former head of the national hydrocarbons company, ENI will likely be drilling four exploratory wells and two appraisal, or follow-up, wells.
“Basically they will drill four wells, and come back to the two more promising sites out of the four. Block 9 looks especially promising,” he said.
Putting matters into perspective, Ellinas cites 2023 as the earliest date ENI would be in a position to export.
Assuming their drilling schedule wraps up by early 2016, it next takes two to three years to develop export plans and development designs, find buyers and secure financing. Construction of the infrastructure might begin in 2019 or 2020, and then need four more years to complete.
By comparison, Noble Energy – lying ahead of ENI – might be ready by the year 2021 or 2022 with an FPSO (floating production, storage and offloading) unit.
Of Cypriot sales overtures to Egypt and Jordan, Ellinas said these are not necessarily premature; rather, questions hang over the feasibility of such plans.
Egypt needs to buy gas in the short run – over the next five years or so – meaning Cyprus would not be ready by then. The Egyptians may be facing shortages now, but have huge domestic gas reserves on tap.
And the Jordanians – whom Nicosia has been sounding out – may be looking at the longer term, but they’ve already signed a preliminary deal to buy gas from Israel, satisfying most of their energy demands.
Jordan is pressing ahead with plans for an FSRU (floating storage and regasification unit) at the Gulf of Aqaba.
However demand for gas will spike as Jordan’s population is forecast to grow significantly in coming years, due to the continued influx of refugees from neighbouring countries in turmoil.
That might leave a window for Cypriot gas, but not much, says Ellinas.
“Because of their deal with Israel, which I expect will go through, the quantities we’d sell to Jordan would be small, so the question becomes how we’d find a cost-effective way of doing that.
“I think that, in the best-case scenario of us finding substantial quantities, the regional market would not be able to absorb everything. So we must not lose sight of the global gas market and, above all, we need to monetise our gas as fast as possible as natural gas prices are dropping,” the expert said.



Link to source: http://cyprus-mail.com/2014/09/26/saipem-starts-drilling-in-block-9/

The Launch of the Modified Southern Gas Corridor | Natural Gas Europe



September 26th, 2014


The Launch of the Modified Southern Gas Corridor


image source: wikipedia
image source: wikipedia

The construction of the second branch of the Baku–Tbilisi–Erzurum gas pipeline began on 20 September in Baku. Azerbaijan announced that this is the official inauguration of the construction of the Southern Gas Corridor. The presidents of Azerbaijan and Bulgaria, the prime ministers of Georgia, Greece and Montenegro, the energy ministers of Turkey, the United Kingdom and Italy, and a US representative were all present at the ceremony.
There are plans to build the second branch of the Baku–Tbilisi–Erzurum gas pipeline, the trans-Anatolian route TANAP running through Turkey and the trans-Adriatic gas pipeline TAP from Greece to Italy as part of the new gas supply route to Europe and Turkey. Along with TAP, Azerbaijan has an overwhelming majority of shares in the planned infrastructure, and will have full control of it. In turn, Nabucco, the project the EU was lobbying for and which for years was seen as a key element of the Gas Corridor, will not be built.
Commentary:
  • The infrastructure currently being planned would make it possible to export small amounts of Azerbaijani gas (10 billion m3 annually starting from 2019) to the European market and would in this context fulfil part of the assumptions of the EU’s Southern Gas Corridor concept devised in 2008. The fact that this goal of the EU’s policy is being implemented allows Azerbaijan to refer to the planned infrastructure elements as the Gas Corridor, although its transport capacity is much lower than what had been envisaged in Brussels’s ambitious plans (60 billion m3) and despite the fact that the EU is not in fact participating in its construction. It is Azerbaijan (and in the case of TANAP, also Turkey) who is the main constructor of the new gas export route and who will control the greater part of the infrastructure being built, and not the EU as had originally been planned by the European Commission. Contrary to Baku’s expectations, no European firm (with the exception of BP) has joined the project.
  • The present shape of infrastructure for transporting gas to Europe has been determined by Baku and Ankara, whose energy policy has become much more assertive with regard to the West partly because the regional position of the two countries has improved. The planned routes will above all serve the interests of Baku and Ankara. Baku will be pleased due to the diversification of routes and gas export independent of Russia, and those of Ankara because it is interested in increased gas supplies from Azerbaijan and in building a gas hub in Turkey in the future. Thus the infrastructure which is referred to as the Gas Corridor is to a very limited extent an instrument of the EU’s policy with regard to these countries. The absence of an EU representative during the inauguration of the project spoke volumes (the only sign of the EU’s presence was a video message from the president of the European Commission, Jose Manuel Barroso).
  • The fact that Azerbaijan, and to a certain extent Turkey, have taken control of the corridor and that this project is no longer treated as a priority issue by the West may prove to be a mistake, with Azerbaijan and Turkey having overrated their own capabilities. Since Western firms are not participating in the construction of the transport infrastructure and have been withdrawing from Azerbaijani fields, the cost-effectiveness of this project is dubious (most investment costs will have to be incurred by Baku). At the same time, Moscow is putting more pressure on Azerbaijan, as it still sees the corridor as Baku’s tool to liberate itself from Russian influence. In this context, Russia is likely to make attempts to take control of or join the projects planned by Azerbaijan.
Aleksandra Jarosiewicz is a Senior Fellow with OSW in the Department for Turkey, Caucasus and Central Asia
The Centre for Eastern Studies is a research institution dealing with analyses and forecast studies of the political, social and economic situation in the countries neighbouring Poland and in the Baltic Sea region, the Balkans, the Caucasus and Central Asia.  


Link to source: http://www.naturalgaseurope.com/launch-modified-southern-gas-corridor-bte-tanap-tap

Thursday, September 25, 2014

Bulgaria, Greece and SOCAR Team Up | Natural Gas Europe




September 25th, 2014


Bulgaria, Greece and SOCAR Team Up



image source: trend.az
image source: trend.az

The governments of Greece and Bulgaria seem to be forging stronger ties with Azerbaijan and its national gas champion, SOCAR, through mid and long term capabilities for its expansion in Southeast Europe.
More specifically, the finalization of the privatization of Greece's national transmission network company (DESFA) seems to be heading towards its final stages - an issue that has been ongoing since late 2013. The whole process, which included SOCAR buying 66% of shares for €400 million, was obstructed by the European Commissions's DG Competition, citing the provisions of the Third Energy Package. Nevertheless, during the Greek Prime Minister Antonis Samaras' last visit to Baku, Azeri authorities publicly claimed that assurances of the strictest provisions had been submitted to Brussels and it is a matter of a few weeks before DESFA is formally a part of the Azeri company.
It is of importance to note that the acquisition of the Greek corporation provides access to the Azeris both in interconnections with Bulgaria and IGB in particular, as well as to the domestic LNG terminal in Revythousa, coupled with the Trans-Adriatic Pipeline (TAP), which is scheduled to traverse Greece en route to Albania and Italy by late 2019.
Concurrently, Bulgaria recently signed two agreements with Azerbaijan that stipulate supplies by the latter via Greece from 2018 onwards. The Memorandums of Cooperation were signed by Bulgartransgaz and SOCAR and also include the upgrade of the country's underground gas storage facility in the vicinity of Chiren. The whole plan rests on the assurances that by 2016 the IGB pipeline will connect and be functional with reverse flow capacity Greece and Bulgaria, along with a new and similar infrastructure between Bulgaria and Turkey. In the meantime similar projects will connect Bulgaria with Romania and Serbia, thus enabling the Azeris to expand their customer base throughout most of the Balkans. Greek commercial gas company, DEPA, which is still under state control, also envisages the Aegean-Baltic interconnection route that will ship Azeri gas up to Poland by 2020 onwards. DEPA already has signed an agreement for a future imports of 1 bcm per year from SOCAR and is in the process to increase that amount, most likely for deliveries that will take place after TAP is established.
An important aspect to all the above that is closely related to the Athens-Sofia gas nexus, is the advance of the floating storage & regasification unit, currently being designed offshore Alexandroupoli by the Greek Copelouzos Group, aiming to supply with LNG the tri-border region of the aforementioned countries, plus Turkey and add to the boosting of energy security for the whole region. The budget is estimated at 350 million and it has already received the status of a Project of Common Interest by the EU, citing its strategic nature in that respect.
The company formed for that purpose is named GasTrade and aims to have by 2018 a 170,000cubic metre storage capacity of LNG that will be connected with DESFA's national system through a 17km underwater pipeline. Presently, talks are underway with prospective investors, thus pushing along the process to attract potential clients in a consumer base stretching from Greece to Hungary.
The owners of the company are also confident that the project may take a substantial amount of subsidies directly from the EU's structural funds since it is already a candidate for the allocation of EU capital to such works.
Lastly, it should be noted that the owners of the company own another entity named Prometheus Gas that has for years teamed with Gazprom and supplies a substantial amount of the gas flow yearly to Greece via the already established pipeline running from Bulgaria. It receives the necessary amounts from the gas network transiting Ukraine.



Link to source: http://www.naturalgaseurope.com/bulgaria-greece-socar

Ενθαρρυντικά τα μηνύματα λέει ο υπουργός Ενέργειας | ΦΙΛΕΛΕΥΘΕΡΟΣ

Πέμπτη, 25 Σεπτεμβρίου 2014 8:47 μμ
  • Ενθαρρυντικά τα μηνύματα λέει ο υπουργός Ενέργειας
  • Έγιναν οι πρώτες δοκιμές, θέμα ωρών να αρχίσει η γεώτρηση
Λευκωσία: Τις πρώτες δοκιμές έκανε σήμερα το γεωτρύπανο της εταιρείας ENI-KOGAS, ενώ είναι θέμα ωρών να κατέβει στο βυθό και να αρχίσει τη γεώτρηση, ανέφερε ο υπουργός Ενέργειας, Γιώργος Λακκοτρύπης ο οποίος επισκέφθηκε το πρωί το πλοίο -γεωτρύπανο Saipem 10000.

Μιλώντας στους δημοσιογράφους ύστερα από συνάντησή του στο ΔΗΣΥ, ο κ. Λακκοτρύπης ανέφερε ότι ουσιαστικά οι διαδικασίες της γεώτρησης έχουν ξεκινήσει από τη στιγμή που σταθεροποιήθηκε το πλοίο στο σημείο της γεώτρησης στο κοίτασμα «Ονασαγόρας», του τεμαχίου «9» της κυπριακής ΑΟΖ.

«Είχαμε την ευκαιρία σήμερα να ενημερωθούμε από πρώτο χέρι από την εταιρεία, η οποία μας προσκάλεσε να επισκεφθούμε το γεωτρύπανο, να ενημερωθούμε για τα μέτρα ασφαλείας, για τα μέτρα προστασίας του περιβάλλοντος, για τις διαδικασίες που ακολουθούν για να αρχίσει η γεώτρηση», ανέφερε ο υπουργός Ενέργειας.

Turkey and the EU: a relationship with more energy | ABO (About Oil)

Nicoló Sartori September 25, 2014

The stalemate of negotiations for the accession of Ankara to the EU should not prevent the interweaving of new business and energy relationships between the two parties, particularly for the strategic role of the red crescent country in the realization of the Southern Gas Corridor.
Turkey and the EU: a relationship with more energy


The relationship between Turkey and the European Union is definitely one of a kind. The first attempts at integration actually go back to 1959, with the request to join the European Economic Community, which had a positive outcome with the Ankara Agreement in 1963. This first step, however, did not lead to the completion of the process of joining the EU, which in spite of the perseverance of the Turkish government, remains on stand-by since as far back as 1999. Despite official negotiations having been at an impasse for so long, mutual energy interests have promoted bilateral cooperation in key sectors such as the liberalization and integration of electricity and gas markets, the development of infrastructures for transporting natural gas, and the promotion of renewable energy and energy efficiency.

Lately, however, the energy partnership between the EU and Turkey seems to have petered out – as a result of different strategic priorities and a rebalancing of bilateral relations – risking jeopardizing the energy security of both Brussels and Ankara.

The key role of Turkey

“Contributing to European energy security‘ is one of the four main priority actions defined by the Ankara government in its national energy strategy. Thanks to its position as a bridge between European markets and reserves located in the Middle East and in the Caspian Sea, Turkey actually plays a key role in the European policy of energy procurement diversification. After the construction of the Baku-Tbilisi-Ceyhan oil pipeline – which will transport Azeri oil in the Mediterranean by-passing travelling over Russian soil and through the Bosphorus – Turkey is the key element of the Southern Gas Corridor, an initiative launched by Brussels in an attempt to relieve European dependency of Russian gas supplies.

The extraordinary economic growth and exponential increase in domestic energy consumption, however, have gradually changed Ankara’s position in the regional energy scenario. From a simple transit country for flows of gas from the Caspian Sea to Europe, Turkey currently aspires to become a true energy hub, which would guarantee the country better trading conditions and greater procurement security to deal with the continued expansion of demand for gas.

Turkey energyNew Turkish requirements risk placing Ankara and Brussels in different positions, and competing increasingly over access to new energy resources. This eventuality is made even more likely by the developments of the crisis in Ukraine and by the possible suspension of supplies by Moscow, on which Ankara - like the EU - depends for a good part of its consumption. In this context, the deadlock in negotiations for joining the EU definitely makes energy cooperation with Brussels conditional on the urgent Turkish national priorities.

Difficult negotiations on Chapter 15
In previous years, the (presumed or actual) connection between cooperation in the sphere of energy and progress in the process of joining the Union has fueled great expectations on the part of the Turkish government. However, the timid approach of the Commission to the dossier turned into total hostility from (some) Member States, which are actually preventing the start of negotiations on Chapter 15 regarding energy and, through this, any type of progress relating to joining.

In an attempt to overcome these obstacles without compromising cooperation regarding energy, Brussels has launched two major institutional initiatives. The first is negotiations for Turkey to join the Energy Community, an organization created in 2006 to promote the adoption of the energy Community acquis in European countries which are not members of the Union, in order to extend the creation of a single energy and gas market. The second is the launch of the Positive Agenda, a package of proposals launched by the Commission with the aim of resuming negotiations between Turkey and the EU revolving around the vetoes of Member States (first and foremost Cyprus) on the opening of Chapter 15. Both initiatives, however, have essentially come to a standstill as a result of the resistance of the Turkish authorities, skeptical of European moves considered practical for European interests without offering certainty in exchange on the outcome of the membership process.

The most surprising consequence of this cooling down is definitely the agreement between Turkey and Azerbaijan for the construction of the Trans-Anatolian Pipeline (TANAP). The new pipeline – which marked the end of the European Nabucco project – actually weakens the position of the EU with regard to Azerbaijan, which will have total control over the transportation of gas as far as the south-east borders of the Union. For its part, Ankara, thanks to alignment with the interests of Baku, has obtained significant discounts on the price of the gas extracted from the Shah Deniz II offshore field in the Caspian Sea.


The Eastern Mediterranean resources
Although the stalemate in the membership process has led Turkey and the EU to conflicting positions in the development of the Southern Corridor, Ankara and Brussels are not short of opportunities for starting bilateral talks again. The liberalization of the Turkish energy market and its progressive integration with the European one are a compulsory step for achieving Ankara’s goal of transforming the country into an energy hub and crossroads between Russia, the Caspian Sea, the Middle East, the Mediterranean and Europe. Added to this is the need for Turkey to attract investment and promote technology in the sectors of renewable energy and energy efficiency, in which a partnership with the EU represents added value to deal with the exceptional growth in Turkish consumption in coming years.

Another open chapter is that of the development of resources in the Eastern Mediterranean, where Turkey plays a vital role in its future. The most promising fields are actually located in the territorial waters of Israel and Cyprus, whose relations with the Turkish government have deteriorated and risk hindering the extraction of resources (specifically those of Cyprus), and above all preventing new supplies from reaching European markets. However, it is precisely Turkey’s need to extend and diversify its own energy portfolio thanks to Eastern Mediterranean gas that could push Ankara toward closer cooperation with Brussels, in an attempt to overcome (or at least get around) the wall of the Cypriot conflict and convince Israel to choose Turkey to sell the gas extracted from the Leviathan field and transport it to Europe.
Link to source: http://www.abo.net/oilportal/topic/view.do?contentId=2305292

Egypt's Natural Gas Looks For Stability | Forbes



 637 views
Christopher Coats
Christopher Coats

Egypt's Natural Gas Looks For Stability


Adding to the host of challenges for a post-Arab Spring Egypt, this week saw regional media reporting a sharp decline in natural gas exports, chipping away at vital revenue for a beleaguered economy in need of positive news. According to press reports, Egyptian gas exports saw a 73.4 percent decline July alone, citing the Information and Decision Support Centre (IDSC). That dramatic reduction meant about $70 million less in energy sector revenue compared to the same period in 2013. Not relegated to natural gas, the decline also hit crude oil exports, reducing it to $350.7 million for the summer month from $398.8 million the year before.
Egypt’s export decline can be traced to a damaging combination of increasing domestic consumption during the hot summer months, which made up 65.2 percent of local natural gas, and lower production levels that have plagued the country since the collapse of the government of Hosni Mubarak in early 2011. Vital foreign participation has been difficult to ensure since 2011 due to political uncertainty and unease about the country’s sizable energy sector debt, amounting to billions owed to the very firms Cairo needs to revive lagging production numbers.
Despite these dour numbers, Cairo appears sure if can address the country’s energy challenges with new exploration efforts. On September 19, Reuters reported that Egypt’s government had moved on an earlier pledge to auction concessions, announcing the signing of $187 million in exploration agreements with a number of Western firms, as well as a Tunisian company. In December, the Egyptian government announced plans to auction 22 oil and gas concessions through this month. Promoted by Egypt’s General Petroleum Corporation and Natural Gas Holding Company, the concessions are spread across the country, including opportunities in the “Suez Canal, Egypt’s western desert, the Mediterranean sea and the Nile Delta”. The announcement comes despite reports that exploration and production firms had been hesitant about entering into Egyptian projects because of unfavorable financial requirements.
Egypt has a long history of energy challenges, though they have grown especially daunting over the last three years. With the collapse of the long-standing government of Hosni Mubarak, the country of over 80 million found itself economically isolated, which served to reduce its foreign reserves and with it, the ability to keep up payments to oil and gas importers. Despite official efforts to draw down debts to foreign firms, Cairo still owes about $5.9 billion, with most owed to BG and BP.
The possibility of addressing the country’s energy needs through a possible trade agreement with Israel is an issue ripe with controversy. Over the last three years, the possibility of buying Israeli gas has become a political land mine as critics were quick to cite investigations that allege years of selling Egyptian gas to Israel for far less than market prices. Revealed in the weeks after the collapse of the Mubarak government, the allegations included payments to Mubarak officials in exchange for low cost gas, including a now-cancelled 20-year agreement.



Link to source: http://www.forbes.com/sites/christophercoats/2014/09/25/egypts-natural-gas-looks-for-stability/

Tuesday, September 23, 2014

Στο σημείο «0» του «Ονασαγόρα» έτοιμο για τη γεώτρηση | ΦΙΛΕΛΕΥΘΕΡΟΣ

Στο σημείο «0» του «Ονασαγόρα» έτοιμο για τη γεώτρηση

Έφτασε και ρίχνει άγκυρα το SAIPEM 10000

 
Λευκωσία: Στο σημείο όπου θα πραγματοποιήσει την πρώτη γεώτρηση στο κοίτασμα «Ονασαγόρας» του Τεμαχίου «9», έφτασε ακριβώς στις 4.00 το απόγευμα, μετά από πλεύση 17.000 χιλιομέτρων από την Μοζαμβίκη μέχρι την Κυπριακή ΑΟΖ, το πλοίο – γεωτρύπανο SAIPEM 10000. Σε όλη τη διαδρομή που διήρκεσε σχεδόν δύο μήνες, πραγματοποίησε μόνο ένα σταθμό ανεφοδιασμού στο Λας Πάλμας.

Προκαλεί για άλλη μια φορά εντύπωση, το γεγονός ότι ο προγραμματισμός της ΕΝΙ – KOGAS όπως διαμορφώθηκε τελικά προ τριμήνου, μέχρι στιγμής, τηρείται ευλαβικά με ακρίβεια μέχρι και του τελευταίου λεπτού. Στην διαδικασία προσέγγισης του πλοίου – γεωτρύπανου στο σημείο της γεώτρησης – στο σημείο «Ο», όπως χαρακτηρίστηκε, λήφθηκαν μέτρα – που συνεχίζονται – για να παρακολουθούνται και να αντιμετωπιστούν τυχόν τουρκικές προκλήσεις. Ωστόσο, μέχρι στιγμής ενώ γίνεται αισθητή η παρουσία τουρκικών πολεμικών πλοίων στην ευρύτερη περιοχή, δεν έχει γίνει καμία παρενόχληση, αντίθετα, φαίνεται ότι η παρουσία αυτή ήταν μέχρι στιγμής «επιτήδεια διακριτική». Στην ευρύτερη περιοχή πλέουν και πολεμικά πλοία των ΗΠΑ και άλλων χωρών, λόγω της κατάστασης και των επιχειρήσεων στην Συρία και το Ιράκ.

Η διαδικασία γεώτρησης αναμένεται να ξεκινήσει εντός ελάχιστων 24ώρων, αφού το πλοίο – γεωτρύπανο θα σταθεροποιηθεί μόνο του και θα διατηρήσει την σταθερή του θέση με δικά του αυτόνομα υπερσύγχρονα ηλεκτρονικά συστήματα, χωρίς την ανάγκη σύνθετου συστήματος από άγκυρες όπως με τις ημιπλωτές μονάδες.  

Η άφιξη του SAIPEM 10000 στο σημείο της πρώτης από σειρά τουλάχιστον τεσσάρων διαδοχικών γεωτρήσεων στη περιοχή, έχει ιδιαίτερη σημασία, αφού θα ξεκαθαρίσει πάρα πολλά δεδομένα ως προς τον ενεργειακό πλούτου της Κύπρου, αλλά και τις διαδικασίες αξιοποίησης και ρευστοποίησης του.

Γράφει: Πέτρος Θεοχαρίδης
- See more at: http://www.philenews.com/el-gr/eidiseis-politiki/39/219776/eftase-kai-richnei-agkyra-to-saipem-10000#sthash.SMDEJyPZ.dpuf



http://www.philenews.com/el-gr/eidiseis-politiki/39/219776/eftase-kai-richnei-agkyra-to-saipem-10000

Υπό παρακολούθηση το πλοίο - γεωτρύπανο | ΦΙΛΕΛΕΥΘΕΡΟΣ

Τρίτη, 23 Σεπτεμβρίου 2014
Η τουρκική κορβέτα «TCG Bafra» πίσω από το Saipem 1000

Λευκωσία: Με προκλητική ανακοίνωση του το Τουρκικό Γενικό Επιτελείο Στρατού, παραδέχθηκε ότι τουρκικό πολεμικό σκάφος παρακολουθούσε το πλοίο – γεωτρύπανο της ENI Saipem 10000. Μάλιστα, οι τούρκοι στρατιωτικοί επικαλούνται δήθεν «παραβίαση περιοχών θαλάσσιας δικαιοδοσίας (της Τουρκίας) στα νότια της Κύπρου». Το τουρκικό πολεμικό ακολουθούσε σε απόσταση περίπου επτά ναυτικών μιλίων το Saipem 10000.

Η τουρκική κορβέτα TCG Bafra παρακολουθεί το πλοίο με σημαία Μπαχάμες, το οποίο σύμφωνα πληροφορίες θα κάνει ερευνητικές γεωτρήσεις για λογαριασμό της «Ελληνικής Διοίκησης Κύπρου», αναφέρει το τουρκικό επιτελείο. Το Saipem 10000, «αναγνωρίστηκε από μονάδες μας που συμμετέχουν στην Επιχείρηση Μεσογειακή Ασπίδα και άρχισε να παρακολουθείται αμέσως μετά την είσοδο του στις περιοχές θαλάσσιας δικαιοδοσίας της Τουρκίας. Το πλοίο συνεχίζεται να παρακολουθείται από την κορβέτα TCG BAFRA», αναφέρει η τουρκική προκλητική ανακοίνωση η οποία μεταδίδεται από τα κανάλια της Τουρκικής Κρατικής Τηλεόρασης.

Σύμφωνα με πληροφορίες του Philenews, ο Πρόεδρος της Δημοκρατίας που βρίσκεται στην Νέα Υόρκη, τηρείτο ενήμερος για την παρακολούθηση του γεωτρύπανου από τουρκικά πολεμικά και προέβη ήδη σε παραστάσεις τόσο στον Γενικό Γραμματέα του ΟΗΕ όσο και στον Υπουργό Εξωτερικών των ΗΠΑ.

Ως πλέον προκλητικό, που αφήνει έντονα εκτεθειμένη την τουρκική πλευρά, είναι η αναφορά σε περιοχές θαλάσσιας δικαιοδοσίας της Τουρκίας, κάτι που δεν έγινε σε κάμιά περίπτωση, ενώ ακόμα και ανοικτά της Τουρκίας να περνούσε, ήταν πλεύση σε διεθνή ύδατα, αφού δεν πραγματοποιούσε ερευνητικές ή άλλες εργασίες σε σχέση με τους υδρογονάνθρακες.

Παράλληλα, πρέπει να αναφερθεί ότι καθ’ όλη την διάρκεια της πλεύσης του Saipem 10000 στην Κυπριακή ΑΟΖ, η τουρκική κορβέτα ακολουθούσε αλλά διατηρούσε αποστάσεις που κυμάνθηκαν από εφτά έως τριάντα ναυτικά μίλια, ενώ σε καμία περίπτωση το Saipem 10000 δεν παρενοχλήθηκε, αλλά ούτε και απόπειρα επικοινωνίας με το πλοίο έγινε από το πολεμικό ναυτικό της Τουρκίας.

Γράφει: Πέτρος Θεοχαρίδης

Link to source: http://www.philenews.com/el-gr/top-stories/885/219797/i-tourkiki-korveta-tcg-bafra-piso-apo-to-saipem-1000

Cyprus could supply liquefied natural gas to Europe by 2022 | ITAR-TASS News Agency

Cyprus could supply liquefied natural gas to Europe by 2022

 September 23, 10:09 UTC+4
The idea that Cyprus could offer Europe an alternative source of gas supplies reducing the region’s dependence on Russia is backed by Washington and Brussels amid the deteriorating crisis in Ukraine
© Archive/ITAR-TASS/Alexander Semyonov
NICOSIA, July 23. /Alexey Berezhkov, ITAR-TASS/. Cyprus hopes to begin exporting its liquefied natural gas /LNG/ by 2022, President of the Board of Directors of the Cyprus Hydrocarbons Company Professor Toula Onoufriou said in an interview with ITAR-TASS.
The company was set up in March 2014 as a state commercial arm that is responsible for the development of hydrocarbon resources in the exclusive economic zone (EEZ) and the sale of the share of resources which belong to Cyprus. It also participates in the management committees established for the reference of the contracts signed by the government with international companies operating in the republic.
The beginning of selling LNG overseas, primarily in Europe, would mean the realization of plans of the European Union and the United States which have been promoted the idea of establishing a regional energy hub in Cyprus able to offer an alternative corridor for energy supplies from the Eastern Mediterranean to the continent. These plans have been nurtured by the authorities of the republic for about two years and in recent months received strong support from Washington and Brussels due to the worsening of the crisis in Ukraine and a threat to gas supplies to Europe from Russia.
"We are pleased that the geopolitical situation in the region and some of the changes on the international scene, particularly in Europe, have led to increased interest in Cyprus," said Onoufriou. "We hope that it will help us to grow in the right direction. Hydrocarbon resources in the Eastern Mediterranean region are essential from the point of view of ensuring the energy security of Europe, which is increasingly concerned with the need to create alternative routes of supply and diversifying the energy sources. Given that Cyprus is a country of the EU and has its own natural gas reserves, the republic can contribute to energy security, becoming an energy hub in the region with the necessary infrastructure."
For these ambitious plans to be fulfilled, the government needs to build an LNG plant the cost of which can amount roughly to half of the GDP of the republic. The main priority and strategic objective of the Republic of Cyprus is the development of an onshore LNG plant, said the president of CHC as this provides added value and flexibility to the country. "This will help to achieve a number of important objectives. First, it will give us the opportunity to export gas to world markets without any obstacles. Secondly, it will create a large number of new jobs, which is very important for the country and its economy at present. Another key point is that this opens up opportunities for cooperation with neighbouring countries-Israel, Lebanon, Egypt - that brings us closer to the goal of transforming Cyprus into an energy hub in the region," Onoufriou said.
INFOGRAPHICSRussian gas in EuropeRussian gas in Europe
One-third of gas consumed in EU comes from Russia. Infographics ITAR-TASS
Onoufriou acknowledged that the decision to construct an onshore LNG plant can only be accepted if it is commercially justified. At this point it is not yet possible, as proven reserves of gas in Cyprus EEZ are limited to only the discovery by the American company Noble Energy deposits at Aphrodite site on block 12. Its volume is about 140 billion cubic meters of gas. Cyprus hopes to get concrete data on energy inventories in six of the thirteen blocks in its EEZ in the coming 6-12 months. Licenses to search and develop hydrocarbons from the Government besides Noble Energy have also a consortium of Italy's ENI and South Korean Kogason 2, 3 and 9 blocks and the French TOTAL at 10 and 11 blocks. According to Onofriou, ENI plans to start drilling of four wells in September of this year. TOTAL is in the process of processing seismic data since the company operates in an area that has a different geological structure from other blocks. It plans to start drilling in the year 2015, but the timing is not specified. Noble Energy is also exploring the possibility of drilling new wells. Now the company analyzes the data with the neighbouring Israeli fields, which became available due to the recent agreement concluded between Cyprus and Israel on the exchange of information. The results of this analysis would make possible for Noble Energy to incorporate the new data into their models that will enhance the reliability of their predicitons.Based on these studies, the company will decide on a further test drilling to "Aphrodite" or the beginning of a new field on the 12 block.

"Within 6-12 months period we will be able to make strategic decisions on further steps," Onoufriou said. "If we get confirmation on the availability of sufficient quantities of the gas, we will continue to develop plans for the construction of an onshore plant, if not - we will have to consider other alternatives which are currently being examined.. Among the alternatives, she said, there is the possibility of constructinga floating LNG plant, which has limitations as to production volume and flexibility in increasing their capacity, compared to an onshore plant. Other options include pipelines to the regional market which are currently being examined."
"Cyprus, of course, wants to develop this opportunity for the benefit of the country and we want to develop it as soon as possible. It is important not to rush things, we need to examine the various alternatives and work towards developing the right environment and preconditions for success in this area for the benefit of our country," Onoufriou said.



Link to source: http://en.itar-tass.com/economy/750800