Eni to drill tenth well in Egypt’s Zohr field next January - ENTERPRISE

Monday, 3 December 2018

Italy’s Eni will begin drilling its tenth well in the Zohr gas field in January 2019 at a cost of USD 300 mn. 

The addition of the tenth well is expected to boost output production by 200 mcf/, and is predicted to take two months to complete. 

Production from the tenth well remains dependent on Eni’s sixth treatment plant, which is currently under construction and expected to be completed by 1Q2019. 

The company recently had to close the ninth well in Zohr after drilling due to lack of capacity at its treatment plants.

EastMed gas pipeline increasingly doubtful - CYPRUS MAIL

December 2, 2018
Charles Ellinas

So far it has been easier finding gas in the region than exporting it. The story behind the much-vaunted EastMed pipeline explains why

The EastMed gas pipeline from Israel through Cyprus and Greece to Europe is back in the limelight.

It was reported on November 24 that the governments of Israel, Cyprus, Greece and Italy reached agreement on the construction of this pipeline based on the results of a feasibility study funded by the EU. However, government sources from Cyprus said that even though an inter-governmental agreement is in sight, a few weeks are still needed to complete the process and obtain approval by the European Commission (EC).

The project is being performed by Edison, an EDF Group company, and Greece’s Depa with about €35 million in funding from the EC, as a project of common interest (PCI). In a recent presentation Depa reported the capacity of the pipeline to be 10-16 billion cubic metres per year (bcm/yr). The project is currently designed to initially carry 10bcm/yr from the East Med to Greece, about 1900km, where it will connect to the Poseidon pipeline in Italy, about 300km.

Even though for the East Med region exporting 10bcm/yr gas is quite important, it is only about two per cent of annual European gas consumption. This should put into context exaggerated claims from the region that the EastMed pipeline will “to some extent minimise Arab influence on Europe!”

The EastMed pipeline so far has the support of the four governments and the EC, but no international oil company (IOC) or investor has yet expressed interest to join.

The four governments and the EU cannot fund the project. This requires IOC and investor participation, and above all it requires buyers for its gas.

Rosneft applies for natural gas import license - ENTERPRISE

Sunday, 2 December 2018

Rosneft applies for natural gas import license: Russian energy giant Rosneft has begun the process of acquiring a license to import natural gas, sources told Al Mal on Thursday. The company has apparently received preliminary approval from the government to form a JV with a local entity for the activity, they added. If true, the move indicates that not only is the government jump starting the process of issuing gas import licenses, but that it has drawn the appetite of oil and gas majors.

Background: After being formed in 2017, the Natural Gas Regulatory Authority — the country’s regulator overseeing a newly liberalized gas import and distribution market — has not moved to issue licenses as quick as some in the industry had hoped. The regulator had postponed in September the issuance of natural gas import licenses to private sector companies, ostensibly because the private sector was “unprepared.” This all appeared to change following the signing of an agreements paving the way for gas imports from Israel. The Oil Ministry is ready to consider permit requests from the private sector to help Egypt become a regional hub for gas trading, Oil Ministry spokesperson Hamdi Abdel Aziz had said at the time. EGAS has renewed preliminary approvals giving Qalaa’s TAQA Arabia, BB Energy and Fleet Energy the import licenses.

East Mediterranean partnership signals an energy revolution - JERUSALEM POST

Tsipras (L), Netanyahu (R)

DECEMBER 1, 2018 22:24
EMMANUEL NAVON 

Natural gas has turned Greece from a rival to an ally just as relations between Israel and Turkey started deteriorating.

The announcement in November that Israel, Cyprus, Greece and Italy have agreed to build a natural gas pipeline (the longest in the world) from Israel’s offshore gas fields to Europe, clearly indicates that Israel has chosen the Greek option over the Turkish one. In the past, Israel had considered a pipeline to Europe via Turkey, but the idea was dropped in favor of the Greek option. Building a natural gas pipeline via Turkey would have been cheaper and more viable economically, but it became politically unfeasible due to Turkey’s hostile policy toward Israel, Cyprus and Greece.

Natural gas has turned Greece from a rival to an ally just as relations between Israel and Turkey started deteriorating. Israel discovered the huge Leviathan gas field in 2009, shortly before the 2010 MV Marmara incident, which contributed to the rift between Israel and Turkey. In 2010, Benjamin Netanyahu became the first sitting Israeli prime minister to visit Greece, and the Israeli and Greek air forces started their first joint military exercises. In September 2011, Israel and Greece signed a security cooperation agreement. Israel now uses Greek airspace for training purposes.

ExxonMobil's VP, Tristan Aspray, interviewed in Cyprus - SIGMA LIVE

30 November 2018 - SigmaLive TV

ExxonMobil Commences Drilling Despite Turkey's Verbal Threats - FORBES

Nov 29, 2018, 11:54am

Antonis Antoniou

ExxonMobil XOM +0.56% continues its exploratory offshore drilling in Cyprus’ Exclusive Economic Zone (EEZ) and — contrary to the Cypriot government’s fears — no Turkish ships appeared on the horizon.

Drillship Stena IceMax entered Block 10 of Cyprus’ EEZ and began drilling a couple of days ago. So far, there has been no actual response from Turkey, even though the government of Recep Tayyip Erdoğan had said that it would “react” to any kind of exploration activity in the Cypriot EEZ.

Turkey has vocally laid claim to parts of Cyprus’ EEZ and even though Block 10 does not fall within one of those areas, Turkey has nevertheless repeatedly warned (or, perhaps, threatened?) that it would react in order to protect the rights of Turkish Cypriots.

But there has been no action by Turkey so far to prevent ExxonMobil’s exploration effort.

Ministers of Energy, Foreign Affairs, US ambassador and ExxonMobil VP visit Stena Icemax - CYPRUS NEWS AGENCY

.NICOSIA 29/11/2018 17:56
Gregoris Savva

Ministers of Energy, Foreign Affairs, Georgios Lakkotrypis and Nicos Christodoulides, Kathleen Doherty, the US Ambassador to Cyprus, and ExxonMobil’s Vice President Tristan Aspray visited earlier today the drillship that carries out an exploratory drilling at the Deflini target in block 10 of Cyprus Exclusive Economic Zone on behalf of the ExxonMobil and Qatar Petroleum.

The exploratory deep-water drilling began on November 16 and is expected to be concluded by the end of the year.

Sources told CNA that during their visit to Stena Icemax, the two Ministers accompanied by Doherty, Aspray and other officials toured the drill ship's various installations and talked to the captain and crew as well as to the technical crew associated with the drilling.

Bulgaria eyes stake in planned LNG terminal in Alexandroupoli - KATHIMERINI

WEDNESDAY NOVEMBER 28, 2018, 09:22

Sofia plans to take a minority stake in a liquified natural gas (LNG) terminal near Greece’s northern city of Alexandroupoli, Bulgarian Energy Minister Temenouzhka Petkova has said, according to reports.

In comments made earlier this week, Petkova reportedly said that LNG offers Bulgaria an opportunity for further diversification of natural gas supplies, on top of the one billion cubic metres of gas from Azerbaijan, for which the Balkan state signed a contract several years ago.

“When we talk about the Greece-Bulgaria [gas] inter-connector, we must note the importance of another opportunity for diversification of gas deliveries and that is our participation in the Alexandroupoli terminal,” Petkova was quoted by the Independent Balkan News Agency (IBNA) as saying.

“It is a project of extreme importance to the entire region. It is in full synergy with the Greece-Bulgaria inter-connector and that is why the Bulgarian government discussed the prospect and took the decision to participate in this project as a shareholder, so that we have the opportunity for gas deliveries from various LNG sources, including the US, Qatar and Algeria,” she said, according to the report.

The TurkStream Opportunity - CENTER FOR STRATEGIC & INTERNATIONAL STUDIES

November 28, 2018

Nikos Tsafos

As the battle for the Nord Stream 2 pipeline project continues, the offshore section of the TurkStream gas pipeline, from Russia to Turkey, was inaugurated on Monday, November 19. Two broadly similar projects have triggered sharply different responses—no one is threatening sanctions over TurkStream, there are no grand legal or diplomatic chess moves to stop the project, and the op-eds and conferences denouncing the project are few and far between. That is good news—no one needs more Nord Stream 2-like controversy. But it is also good news because TurkStream can enhance energy security; but only if Europe acts. For a continent bitterly—and, often, needlessly— divided by pipelines, TurkStream offers an opportunity to depoliticize gas and show that new infrastructure can be a win-win for Russia and Europe.

TurkStream will have two parallel lines: the first to deliver gas to Turkey, the second for onward sale to Europe (although markets will determine the actual volume split). Like other Russian pipelines, the short-term impact will be to change how Russian gas is sent to Europe: rather than flowing through Ukraine, Russian gas will be shipped straight to Turkey and, later, Europe through the Black Sea. Over time, as Russian exports grow, the pipeline will be delivering new gas rather than acting purely as a substitute route. This evolution takes time: gas transit through Ukraine fell by approximately 40 percent between 2011 and 2014, after the Nord Stream 1 pipeline came online, but it had largely recovered by 2017 (2017 volumes were about 10 percent lower than 2011).

EastMed gas pipeline must overcome major barriers - GLOBES

27 Nov, 2018 12:37

Gabriel Mitchell

Governments may be enthusiastic about the idea of an underwater pipeline linking Israel to Europe, but it is unclear how the financial and engineering challenges can be met.

Israel's Minister of National infrastructures Energy and Water Resources Yuval Steinitz has announced that the governments of Israel, Greece, Cyprus, and Italy have reached an agreement to build a pipeline that would transport Israeli natural gas to the European market. Diplomatic cooperation is a necessary component to realizing large-scale, multinational energy projects, but there is a point in every process where politicians need to step aside and make room for the entrepreneurs, corporations, and engineers who will determine the commercial and technical feasibility of this vision.

Israel, Cyprus, and Greece have demonstrated an enduring interest in collaborating on an ambitious undersea pipeline that would deliver Israeli and Cypriot gas to Europe. Since 2011, heads of state from these three East Mediterranean states have met on a regular basis and signed MOUs pledging future energy cooperation (in addition to other areas), if and when the climate is right. Italy's deepening participation in these dialogues only adds to the general sense of enthusiasm surrounding the appropriately named "EastMed pipeline".

Neither consensus between multiple governments nor the European Union's commitment of $100 million in a feasibility study - a number that sounds significant, but in comparison to the estimated $7 billion pipeline costs, is a drop in the ocean - promises that this vision will become reality. After all, the average Israeli family invests a larger percentage as a down payment for an apartment.

ENERGY: Total and ENI seek to expand Cyprus oil & gas search - FINANCIAL MIRROR

26 November, 2018

Energy giants Total and Eni have submitted a joint bid for another license to explore and exploit oil and gas offshore Cyprus despite warnings from Turkey, Cypriot authorities said Monday.

In October, Cyprus decided to invite France’s Total, Italy’s Eni and ExxonMobil to bid for unclaimed block 7 of its exclusive Economic Zone (EEZ).

“An application was received on November 26, as part of the procedure for a Hydrocarbon Exploration License for Block 7, by Total / Eni,” said a Cyprus Energy Ministry statement on Monday.

“In the coming days, the application will be examined by the Advisory Committee, which will prepare an Introductory Report for the Minister for Energy. Subsequently, the Minister will present a proposal to the Council of Ministers, where the relevant decisions will be taken,” it added.

Last month, Cypriot Energy Minister George Lakkotrypis said that, due to its geology, firms have expressed an interest in block 7 and so it was decided to invite companies, that already have licences in neighbouring offshore blocks, to express an interest.

Israel, Cyprus, Greece and Italy agree on $7b. East Med gas pipeline to Europe - THE TIMES OF ISRAEL

24 November 2018, 10:03 pm

Greece, Italy, and Cyprus have reached an agreement with Israel to lay a pipeline connecting the Jewish state’s gas reserves to the three countries, in a major project estimated at costing over $7 billion that will supply gas from the eastern Mediterranean to Europe, as the continent seeks to diversify its energy supply.

According to Hadashot TV, the European Union agreed to invest $100 million in a feasibility study for the project before the agreement was reached over the laying of the longest and deepest underwater gas pipeline in the world.

As part of the agreement, Israel and Cyprus will be granted preference over other countries in exporting gas to the European market, according to the report.

The EastMed Pipeline Project is to start about 170 kilometers (105 miles) off Cyprus’s southern coast and stretch for 2,200 kilometers (1,350 miles) to reach Otranto, Italy, via Crete and the Greek mainland.

The pipeline will have the capacity to carry up to 20 billion cubic meters (706 billion cubic feet) of gas yearly. Europe’s gas import needs are projected to increase by 100 billion cubic meters (3.5 billion cubic feet) annually by 2030.

Work on the project is expected to begin within a few months, and to conclude within five years, Hadashot TV reported.

EastMed pipeline to be ready in 2025, if all goes well - IBNA

23 November 2018, 11:09

Nefeli Tzanetakou

According to the Israeli Foreign Ministry, final decisions on the EastMed pipeline will be made in 2019, once a study on the project’s commercial feasibility is complete, while Israel, Cyprus and Greece are expected to sign an intergovernmental agreement in the upcoming period.

If, according to the study, gas demand in Europe and energy market forecasts justify the need to complete the project, in this case the 2,000-kilometer underwater pipeline – worth an estimated 6.75 billion dollars – we be ready for operation in 2025.

The political feasibility of the project is undoubtable, as the East Med pipeline will connect – at all levels - the Eastern Mediterranean with Europe.

Energy Min Stathakis inaugurates LNG expansion project in Revithousa - ANA-MPA

22 Νοεμβρίου 2018, 20:21:26

Greece on Thursday officially inaugurated the third tank of LNG in Revithousa. Environment and Energy Minister George Stathakis, addressing the inauguration ceremony said the project was creating new data in the natural gas market.

Presenting the government’s policy on natural gas, Stathakis said it was focusing on preserving networks under state control and their expansion in 18 regional cities, strengthening interconnections in the Balkans with projects such as the IGB pipeline and an intention to interconnect with FYROM, transforming Greece into a natural gas hub. He added that DESFA is playing a strategic role in this policy.

The Revithousa LNG terminal is one of the 13 operating in Europe and the only one in the Balkans. With the addition of the third tank the terminal’s capacity rises from 130,000 to 225,000 cubic meters, or 1,000-1,400 cubic meters per hour. The project also included an upgrading of port installations allowing biggest ships to dock (260,000 dwt from 180,000 currently). The project’s budget totalled 143 million euros, using community funds (35 pct), loans worth 80 million euros from the European Investment Bank and DESFA’s own capital.

Eni finishes drilling ninth well in Zohr field - ENTERPRISE

Wednesday, 21 November 2018

Italy’s Eni has completed drilling work on Zohr’s ninth deepwater well at a cost of USD 300 mn, according to an industry source. Early tests put initial production levels at 150 mcf/d.

The well was closed after the company finished drilling due lack of capacity at the treatment plant, but will enter production by the end of the year once the sixth gas treatment plant is completed. 

Production from the ninth well will increase Eni’s Zohr production to 2.25 bcf/d. Zohr’s total output will reportedly reach 2.95 bcf/d by the time the field’s development is complete in July 2019. 

Eni had previously estimated the field’s final output would reach 2.7 bcf/d.

Israeli Gas Exports to Egypt Will Initially Flow Through pan-Arab Pipeline - HAARETZ / REUTERS

Nov 20, 2018 4:19 AM

Ora Coren

When exports of Israeli natural gas to Egypt being sometime in the first half of next year, they won’t be going through the EMG pipeline in Sinai but through Israel’s domestic network and then on to the so-called pan-Arab pipeline.

Yossi Abu, chief executive of Delek Drilling, a partner in the two Israeli gas fields that will be selling energy to Egypt, said the EMG pipeline would only be used at a later stage. Later still, he said, gas from Israel’s Tamar and Leviathan fields would be delivered directly to EMG, thereby avoiding the Israeli domestic pipeline network altogether.

Speaking at an energy conference, Abu expressed optimism regarding exports not only to Egypt but to elsewhere in the region. Apart from exports to Egypt, he said the pipeline between Israel and Jordan would begin pumping in May or June next year and be fully operational by the end of 2019, ahead of schedule.

“We’ve succeeded in opening up the Egyptian economy, but that’s just the start,” Abu said. “There’s a lot to do on a regional level and that way become a global player.”

Abu spoke as Ron Adam, a Foreign Ministry official, told the conference that a decision on a Mediterranean gas pipeline linking Israel to Italy via Cyprus and Greece would be made next year after a market survey was completed.

If the survey reveals there is demand from European customers, the projected 2,100-kilometer, 25-billion-shekel ($6.75 billion) pipeline would come on line in 2025. An agreement between all the countries involved is expected to be signed at the end of the month.

Mathios Rigas' presentation at the 16th Israel Business and Energy Convention - ENERGEAN OIL & GAS

 

TurkStream: Who profits, who loses out? - DW

19.Nov.2018

Nik Martin

As Turkey and Russia inaugurate the sea section of the TurkStream gas pipeline, President Recep Tayyip Erdogan can boast of Ankara's new geopolitical influence. DW asks why the pipeline is causing such a fuss.

Russian President Vladimir Putin and Turkish President Recep Tayyip Erdogan on Monday marked the completion of the offshore phase of TurkStream, a natural gas pipeline connecting the two countries.

Erdogan told reporters TurkStream would be ready to operate in 2019 after tests are carried out, while Putin said the pipeline would make Turkey a "major European hub." The tie-up with Moscow would "without a doubt influence the geopolitical standing of the Turkish Republic."

The new energy cooperation comes despite Moscow severing ties with Ankara three years ago after a Turkish fighter jet shot down a Russian warplane on the Syrian border.

Turkish claims in East Med unveiled in maps - KATHIMERINI

18 NOVEMBER 2018 : 21:16

Angelos Syrigos, Vassilis Nedos

With drilling under way in Cyprus’s exclusive economic zone, Kathimerini has seen seven maps outlining Turkey’s claims in the Eastern Mediterranean, revealing its intentions in the region.

The maps, which have been cited in recent weeks by Turkish Defense Minister Hulusi Akar, suggest that any others in the region considering the demarcation of maritime regions would have to consult with Turkey first.

However, the delineations on the maps only take into consideration Turkey and the mainlands of other countries facing its shores – ignoring the islands in between, such Rhodes, Karpathos and Crete, not to mention Cyprus.

The maps were created between 2010 and 2012, before Cyprus’s demarcation agreements with Egypt in 2003, Lebanon in 2007 and Israel in 2010.

These deals allowed Cyprus to delimit its exclusive economic zone in its southern and southeastern seas. Subsequently, it divided most of its maritime areas into 13 parts and proceeded with international tenders for their exploration and exploitation.

Undersea gas fires Egypt’s regional energy dreams - TIMES OF ISRAEL

NOVEMBER 18, 2018, 11:00 am

Mona Salem

Newly flowing gas from four Mediterranean fields, including the vast Zohr field, as well as deals with Israel and Cyprus, has helped ease Cairo’s financial woes

CAIRO, Egypt (AFP) — Egypt is looking to use its vast, newly tapped undersea gas reserves to establish itself as a key energy exporter and revive its flagging economy.

Encouraged by the discovery of huge natural gas fields in the Mediterranean, Cairo has in recent months signed gas deals with neighboring Israel as well as Cyprus and Greece.

Former oil minister Osama Kamal said Egypt has a “plan to become a regional energy hub.”

In the past year, gas has started flowing from four major fields off Egypt’s Mediterranean coast, including the vast Zohr field, inaugurated with great ceremony by President Abdel-Fattah el-Sissi.

Geopolitics: How an energy-friendly future will bolster the region - THE JERUSALEM POST

November 17, 2018 00:37
Eytan Halon

National Infrastructure, Energy and Water Minister and security cabinet member Yuval Steinitz has held a wide range of senior ministerial and Knesset committee positions during nearly two decades in Israel’s parliament. Yet overseeing what can only be described as a revolution in Israel’s energy sector since 2015 might prove to be his most memorable task.

Until major discoveries of natural gas off Israel’s coastline in recent years, few would have dreamed of natural resource-poor Israel supplying former adversaries Jordan and Egypt with natural gas valued at $26 billion.

With ambitious plans to construct a 2,000-kilometer pipeline to supply eastern Mediterranean gas to Europe, and with scientific predictions of additional vast natural gas fields still to be discovered in the Levantine Basin, Israel’s unexpected gas boom to date may be only the tip of its national energy iceberg.

Energy supply and dependence, particularly Arab oil, has always had an important impact on diplomatic relations worldwide. Now, for the first time, Israel is enjoying the fruits of its role as an energy supplier, both domestically and abroad.

Speaking to The Jerusalem Post in early November ahead of his appearance at the Post’s Diplomatic Conference on November 21, Steinitz, who worked as a University of Haifa lecturer in philosophy prior to entering politics, spoke not of theorems or logic but of his vision for Israel’s energy future.

Repsol, ELPE nearing finalized deal for new Ionian Sea block - ENERGY PRESS

16 November 2018

EDEY, the Greek Hydrocarbon Management Company, and a consortium comprising Spain’s Repsol and ELPE (Hellenic Petroleum) have completed negotiations for exploration and production rights at a new Ionian Sea block on offer.

The two sides have delivered a draft agreement to the energy ministry. It will also be forwarded to a supervisory committee within the next few days for approval before being signed by all sides involved and submitted to parliament for ratification. The agreement could be finalized by the end of the month, sources informed.

ENERGY: ExxonMobil begins hydrocarbon exploration off Cyprus - FINANCIAL MIRROR

16 November, 2018

US giant ExxonMobil has begun exploration for oil and gas in block 10 of Cyprus’ Exclusive Economic Zone (EEZ), Energy Minister George Lakkotrypis said on Friday.

Lakkotrypis confirmed test drilling has started offshore Cyprus following a meeting with US Assistant Secretary of State for Energy Resources Francis Fannon in Nicosia.

Fannon is on a regional tour – that includes Israel and Egypt - to meet officials and private sector representatives to discuss energy security and regional cooperation on energy issues.

“His trip will highlight the economic opportunities in the energy sector for Eastern Mediterranean gas development and related exports and encourage discussions on how countries can harness this potential for increased regional stability and economic growth,” the State Department said.

Lakkotrypis said he discussed Cyprus-US energy cooperation, East Med hydrocarbons potential and the strategic significance of US companies active in the Cypriot EEZ.

Egypt pays Dana Gas USD 111 mn in arrears in 9M2018 - ENTERPRISE

Thursday, 15 November 2018

Egypt paid Dana Gas USD 111 mn in arrears owed in its Financial Results For 9M & Q3 2018, the company said in its earnings release on Wednesday. 

The story comes as Egypt has been stepping up payments to international oil companies (IOCs), with arrears to oil producers have fallen to their lowest levels yet, coming in at USD 1.2 bn at the end of FY2017-18. 

The company noted that its production output in Egypt fell to 34,500 boepd in 9M2018, from 39,600 boepd in 9M2017.

The Company's 9M 2018 revenue increased 6% to $351 million (AED1,287 mm) from $330 million (AED1,210 mm) over the same period last year. Correspondingly, Q3 2018 revenue increased 6% to $115 million (AED422 mm) from $108 million (AED396 mm). The increase in revenue, driven by higher realised hydrocarbon prices, helped offset production decreases in Egypt and the UAE.

US State Department backs Cyprus’s right to drill in EEZ - KATHIMERINI / KNEWS

WEDNESDAY NOVEMBER 14, 2018 - 08:42

Hours after Turkish President Recep Tayyip Erdogan urged all parties engaging in gas exploration activities in the Eastern Mediterranean not to pressure it over Ankara’s own energy plans in the region, the US State Department said Washington “discourages any actions or rhetoric that increase tensions in the region.”

“The US policy on Cyprus’s exclusive economic zone is longstanding and has not changed: the United States recognizes the right of the Republic of Cyprus to develop its resources in its EEZ,” a spokesperson said in response to a question by the Hellas Journal website.

In what was seen as a warning aimed at Greece, Cyprus and the US, Erdogan was quoted as saying on Tuesday, “we tell our friends: Don’t push us, don’t press us.”

Exxon expected to start drilling by week’s end - CYPRUS MAIL

TEKMOR Note: Welcome, USA!

November 14, 2018

Evie Andreou

The Stena Icemax drillship leased by ExxonMobil, is expected to begin drilling in Cyprus’ offshore block 10 by the end of the week, it was reported on Wednesday.

The drillship arrived on location in block 10 on Sunday and is preparing to begin drilling in the site dubbed by Exxon as ‘Delphine’ after the Greek mythology dolphin-shaped sea daemon that was in the service of god Poseidon.

Cyprus News Agency (CNA), said, citing sources, that at the moment the exact time of when the drilling will start cannot be determined due to technical and environmental factors.

The same is true for the duration of the drilling, which is expected to last around two months. Progress, sources told CNA, will depend on the speed of winds, pressure as well as hard rock that can be found during drilling.

The drilling rig will descend about two kilometres to the bottom and about two to three km further.

Israel looks to new Arab allies to export gas in volatile region - FINANCIAL TIMES

Jerusalem, 13 November 2018
Mehul Srivastava 

Netanyahu seizes on natural gas to turn Egypt and Jordan into economic partners

When Yuval Steinitz was doing his military service in the Israeli army, Egypt was an enemy and Israel lived in fear of having its oil supplies choked off by Arab rivals. But in recent years, as Israel’s energy minister, Mr Steinitz, 56, found himself in hush-hush meetings with Egyptian officials.

On the agenda: Israel’s gas conundrum. Since the late 1990s, it has discovered huge natural gas reserves off its coast. The initial finds allowed the tiny nation to wean itself off some energy imports, but additional discoveries — which could fuel Israel for 50 years, according to some estimates — have unlocked the potential for exports. “This was unthinkable just a decade or two ago,” Mr Steinitz told the Financial Times.

His problem is getting the gas out of an often hostile neighbourhood. Israel’s long-term goal is to fuel energy-hungry nations in Europe. But in the meantime Mr Steinitz has helped smooth a lucrative place holder agreement with Egypt — which has had a peace treaty with Israel since 1979.

Shell processing 300 mcf/d of gas at Idku liquefaction plant -sources - ENTERPRISE

Monday, 12 November 2018

Royal Dutch Shell’s Idku liquefaction plant is reportedly processing 300 mcf/d of natural gas, compared to 250 mcf/d last month, sources close to the matter said yesterday. 

Natural gas earmarked for exports also increased by around 50 mcf/d due to lower local consumption levels during winter. 

Shell and the Oil Ministry had agreed back in 2016 to gradually ramp up production at the Idku LNG plant.

Eni sells to Mubadala Petroleum a 20% stake in the Nour North Sinai Offshore concession in Egypt - ENI

Abu Dhabi (UAE), 12 November 2018

Eni further strengthens its ties with Mubadala Petroleum, building on the successful partnership in the Shorouk concession. The Chief Executive Officer of Petroleum & Petrochemicals, Mubadala Investment Company, and Chairman of Mubadala Petroleum, Musabbeh Al Kaabi, and the Chief Executive Officer of Eni, Claudio Descalzi, signed an agreement today for the sale of a 20% participating interest, out of Eni’s share, in the Nour North Sinai Offshore concession, in Egypt, to Mubadala Petroleum, a wholly owned subsidiary of Mubadala Investment Company.

BP to Invest $1.8B in Egypt - EGYPT OIL & GAS

Monday, 12th November 2018

BP will invest $1.8 billion in Egypt next year, according to BP’s chief executive Bob Dudley, The National reported.

“We’ve spent in the last two years $6.8bn in Egypt and it will be about $1.8bn dollars next year,” Dudley told The National in an interview in Abu Dhabi.

BP’s regional president of North Africa, Hesham Mekkawy, previously said that the company will invest $2 billion in Egypt during 2019.

BP’s latest spending plans are a substantial decrease from the $4 billion invested in Egypt in 2017.

Dudley also confirmed that the company will be investing significantly in Abu Dhabi, promising $1 billon each year. The company has already discussed investing in the Ruwais downstream facility with the Abu Dhabi National Oil Company (ADNOC). The Emirate is planning to invest $45 billion in the facility over the next five years in collaboration with international partners.

“We’ve reviewed and we’re part of the process with Ruwais. That’s yet to be decided”, Dudley said.

Oil Ministry expects USD 10 bn in new oil and gas investment during current fiscal year - ENTERPRISE

Sunday, 11 November 2018

INVESTMENT WATCH- Oil Ministry expects USD 10 bn in new oil and gas investment during current fiscal year. 

Oil Minister Tarek El Molla said on Saturday that his ministry expects some USD 10 bn in new investment in the sector in 2018-19. The figure includes both funding for both exploration and production activities. 

The minister said high appetite among international oil companies (IOCs) for Egyptian opportunities underscores their confidence in Egypt’s improved investment climate. 

The minister expects IOCs to bid in an upcoming sale of exploration blocks in the Red Sea region, saying it would be the first time blocks would be on offer in that region.

Factbox: Greece’s territorial waters and Turkey - KATHIMERINI

10.11.2018 : 17:35

Angelos Syrigos

Following his resignation from the post of foreign minister, Nikos Kotzias said that Greece was ready to extend its territorial waters in the Ionian Sea to 12 nautical miles. This came as surprise to Greece’s political parties and drew a strong reaction from Turkey, which claimed that any extension of Greece’s territorial waters in the Aegean would be considered a casus belli. Here I would like to examine some of the most important questions related to a possible extension of Greek territorial waters.

What are territorial waters?

Territorial waters (also known as territorial sea) are a belt of sea adjacent to the shores of a state. This zone includes the water column, seabed below and airspace above it. States have full sovereignty in this area. The only restriction to this sovereignty is the right of innocent passage enjoyed by all ships without prior notification of the coastal state. Since the 1970s, all coastal states in the world (except Greece) have expanded their territorial waters to 12 nautical miles. This customary rule is stipulated by the 1982 United Nations Convention on the Law of the Sea.

Cyprus issues navtex for ‘Delphini’ target as Exxon’s drill ship set to arrive - CYPRUS MAIL

NOVEMBER 10, 2018 

THE Cyprus government issued a navigational telex (navtex) notification to seafarers on Saturday ahead of the arrival next week of Stena IceMax, a drilling ship commissioned by Exxon Mobil to explore for hydrocarbons in block 10 of Cyprus’ exclusive economic zone.

The drillship is expected to arrive within the next two days in the port of Limassol, with the competent authorities issuing the navtex marine advisory valid until February 25 for the target “Delphini”.

“The drilling rig is expected to arrive within the timeframe set, according to schedule, tomorrow or the day after,” a source told the Cyprus News Agency. According to the same source, “everything proceeds smoothly, according to plan.”

The navtex 376/18 issued by Cyprus at 6.00 am local time (4.00 am GMT), informs mariners about the drilling operations of Stena IceMax at the “Delphini” target. Drilling operations are expected to commence on November 15.

U.S. Assistant Secretary of State for Energy Resources Francis R. Fannon to visit Israel and Egypt - JERUSALEM POST

An Israeli gas platform is seen in the Mediterranean sea,
some 15 miles west of Ashdod (photo credit AMIR COHEN/ REUTERS)

NOVEMBER 10, 2018 07:38
Hagay Hacohen

US Assistant Secretary of State for Energy Resources Francis R. Fannon will travel to Israel and Egypt, arriving on Sunday and departing on November 20, the US State Department Spokesperson announced Saturday.

Fannon is scheduled to meet government officials and representatives from the private sector to discuss regional cooperation and energy security.

In September, Houston-based Noble Energy Inc., together with Israeli gas operator Delek Drilling and Egyptian partner East Gas, have reached agreements worth approximately $518 million to support the delivery of natural gas from the Leviathan and Tamar gas fields to Egypt.

The agreements represent a significant step toward fulfilling a $15 billion decade-long deal signed in February which will see Noble Energy and Delek Drilling supply 64 billion cubic meters of natural gas to Egypt from the gas fields, located off Israel.

ExxonMobil Could Be In For A Naval Battle - FORBES

Nov 10, 2018, 12:43pm
Antonis Antoniou

As the Stena IceMax — the drillship that will conduct offshore explorations in Cyprus’ Exclusive Economic Zone (EEZ) on behalf of ExxonMobilXOM -0.02% — approaches its target, anxiety is mounting as to how Turkey will react.

Over the last couple of years, Cyprus has granted specialized companies drilling rights to explore its EEZ, in the hopes of discovering hydrocarbons and, more specifically, natural gas and petroleum. Some of the biggest exploration companies in the world — such as Italy’s ENI, Korea’s KOGAS, France’s Total , and even the U.S.’ Noble Energy NBL -1.41% — expressed interest in this pursuit and received licenses.

Now, ExxonMobil is expected to begin drilling in Block 10 of Cyprus’ EEZ in the coming weeks and Turkey has already warned that it will react to such an action.

Turkey invaded Cyprus in 1974, still illegally holds 36% of the country’s landmass (Note: after chasing away the area's 90% majority Christian population & colonizing it since with Anatolian Muslim settlers) and doesn’t recognize its EEZ, even laying claim to parts of it. Turkey claims that parts of Blocks 1, 4, 6 and 7 fall within its own EEZ and that the Turkish Cypriot community can rightfully claim any possible discoveries within Blocks 1, 2, 3, 8, 9, 12 and 13. Though Block 10 does not fall within one of the aforementioned areas, Turkey has nevertheless warned that it will “react” to any kind of exploration activity.

East Med pipeline ‘sustainable and competitive’ - IBNA

08-NOV-2018, 09:20

Nefeli Tzanetakou

The implementation of the East Med pipeline project appears to be progressing with the support of Washington, at a crucial time in terms of safeguarding balances in the Eastern Mediterranean.

According to the Cyprus News Agency, the fact that the talks between the Foreign Minister of the Republic of Cyprus, Nikos Christodoulides and US Secretary of State Francis Fannon in Washington focused on Eastern Mediterranean energy prospects demonstrates and confirms the lively interest of the US in developments in the wider region.

As IBNA exclusively revealed, the advantages offered by the strategically important East Med pipeline and the presence of US firm Exxon Mobil in Cyprus’ Exclusive Economic Zone are the reasons Washington wants to participate in the next summit between Greece, Cyprus and Israel.

ExxonMobil to expand oil and gas activities in Egypt - ENTERPRISE

Thursday, 8 November 2018

ExxonMobil is looking to shore up its oil and gas activities in Egypt, company President Bryan Milton said during a meeting with Oil Minister Tarek El Molla, according to an Oil Ministry statement (pdf) (Arabic). 

No further details were provided, but the company said earlier this year it is planning to invest 60 mn in Egypt and is particularly interested in opportunities in the gas-rich East Mediterranean.

US and Cyprus sign deal on security cooperation - KATHIMERINI

07.NOV.2018 : 11:04

Cyprus and the United States have agreed to enhance bilateral cooperation in the area of security, according to a statement by the Cyprus Foreign Ministry, which said that the two sides have signed a Statement of Intent on security issues.

The agreement refers to issues relating to combating terrorism, strengthening security at sea and borders and promoting regional stability.

This comes as Cyprus Foreign Minister Nikos Christodoulides visited Washington for a meeting with US Secretary of State Mike Pompeo on Tuesday (Video).

Christodoulides also met with Assistant Secretary of State for European and Eurasian Affairs Wess Mitchell and Assistant Secretary of State for Energy Resources Francis Fannon.

In statements after the meetings at the State Department, Christodoulides said the discussions with the two officials concentrated on three issues.

“First, our bilateral relations and the mutual desire to strengthen bilateral relations at all levels. The statement of intent was signed within this framework, as it sets the outline of cooperation and how we should proceed next,” the minister said.

Jumbo Offshore wins contract from TechnipFMC for Leviathan field - OFFSHORE TECHNOLOGY

7 NOVEMBER 2018

Jumbo Offshore has secured a contract from TechnipFMC to deliver transportation and installation services at the Leviathan development, located in the eastern Mediterranean region offshore Israel.

TechnipFMC is working on a project that comprises a subsea production system connecting subsea wells to a fixed platform located 10km off the coast of Israel.

Under the terms of the contract, Jumbo is responsible for lowering a 410t subsea production manifold onto the seabed at a water depth of 1643m.

The company is also required to install various other subsea isolation valves (SSIVs) and valve skids at a water depth of 86m.

“Jumbo will appoint one of her offshore heavy-lift crane vessels (HLCVs) to complete this project in early 2019.”

The scope of the contract also includes transportation of various equipment from the US Gulf Coast to Eastern Mediterranean.

Cypriot Foreign Minister Hosted by Secretary Pompeo - US DEPARTMENT OF STATE

This afternoon, @SecPompeo welcomed Foreign Minister Nikos @Christodulides of #Cyprus to the State Department. @CyprusMFA @USEmbassyCyprus @CyprusinUSA pic.twitter.com/xMco9yEBtb

— Department of State (@StateDept) November 6, 2018

Israel to offer 19 blocks for oil & gas exploration in second offshore bid round - OFFSHORE ENERGY TODAY

5 November 2018

Israel will offer 19 offshore blocks as part of its second offshore bid round to grant exploration licenses for natural gas and oil in Israel’s economic waters in the Eastern Mediterranean.

The upcoming bid round is pursuant to an earlier round which began two years ago and granted six licenses. Some of these are expected to start drilling in the upcoming months, Israel’s Ministry of Energy said on Sunday.

Israel’s Energy Minister, Dr. Yuval Steinitz, said: “It is my pleasure to announce the launch of our new bid round for exploration and production of natural gas reservoirs in the East Mediterranean. This bid is intended to continue the development of the natural gas market in Israel, increase competition by the entry of new international energy companies and broaden Israel’s energy security. These efforts correlate with the progress of the subsea pipeline between Israel and Europe, which will allow us to export the gas to Greece, Italy and the rest of Europe.”

Israel announces new oil and gas exploration round in eastern Mediterranean - REUTERS

NOVEMBER 4, 2018 / 4:32 PMReporting by Ari Rabinovitch; Editing by Mark Heinrich

JERUSALEM (Reuters) - Israel will tender off 19 new offshore blocks to oil and gas companies, its energy ministry said on Sunday, hoping to rebound from a disappointing bidding round a year ago.

Israel discovered in 2009 that it had large reserves of natural gas off its Mediterranean coast.

It will publish details of the tender by the end of the month and, about half a year later, choose the winning companies, said Udi Adiri, the ministry’s director general.

Last year’s auction elicited bids from only two groups of companies, and the ministry said it expects more to compete this time as conditions have improved.

In 2017 the energy market was weaker and companies in general were investing less. There was also concern over where to sell any newfound gas, since Israel is a small market.

Tsipras-Netanyahu talks focus on EastMed pipeline - KATHIMERINI

03.11.2018 : 12:19

Stavros Papantoniou

PHOTO: (L-R) Bulgarian Prime Minister Boyko Borissov, Serbian President Alexander Vucic, Greece's Prime Minister Alexis Tsipras, Romanian Prime Minister Viorica Dancila, and Israeli Prime Minister Benjamin Netanyahu pose for a picture after a press briefing during the Quadrilateral Summit Greece-Bulgaria-Romania-Serbia at Evsinograd Palace in Varna, Friday.

The “large geopolitical significance” of the EastMed pipeline, which will transfer natural gas from the Eastern Mediterranean to Europe, was stressed by Prime Minister Alexis Tsipras during his meeting with Israeli Prime Minister Benjamin Netanyahu in the Bulgarian seaside resort of Varna on Friday.

Tsipras, who met the Israeli premier on the sidelines of a Balkan summit of Greek, Bulgarian, Romanian and Serbian leaders, said the project is of “financial and geopolitical high value.”

At the same time, Tsipras and Netanyahu also discussed the upgrade of the northern Greek port city of Thessaloniki into a Balkan hub of innovation with the participation of Israeli businesses which are already active there.

Tsipras also referred to the benefits to Southeastern Europe that will come from the Interconnector Greece-Bulgaria (IGB) natural gas pipeline, which will link Alexandroupoli to Bulgaria. In addition he spoke about other road and rail projects that will link countries in the Balkan region.

Cyprus urges Turkey to cooperate on energy, but peace first - THE WASHINGTON POST /ASSOCIATED PRESS

President Anastasiades, Republic of Cyprus

November 2, 2018
Menelaos Hadjicostis 

NICOSIA, Cyprus — Cyprus is ready to work with Turkey on exploiting the east Mediterranean’s potential oil and gas wealth, as long as the ethnically split island nation is reunified, the country’s president said Friday.

Big gas reserves have been found around Cyprus and the country, which is a member of the European Union, is already working with Egypt and Israel. Turkey says it’s entitled to its share of any potential gas reserves and has launched a search of its own. But Nicos Anastasiades insisted that the prerequisite for joining this regional energy cooperation will have to be the reunification of Cyprus, which has been split since 1974

Note: Formerly a 90% Christian area, the occupied northern part of Cyprus now comprises 100% of illegal Muslim Turkish settlers and the Turkish Cypriot minority; the colonization continues unabated.

“We continue to upgrade our energy cooperation with countries in the eastern Mediterranean and in Europe and certainly, I underscore this, with Turkey in the event of a Cyprus settlement,” Anastasiades told a conference Friday.

Exxon Mobil drillship arrives in Limassol on November 12 - KNEWS / KATHIMERINI

01 NOVEMBER 2018 - 13:30

Preparations are underway for Exxon Mobil’s drilling at Block 10 in the Cypriot exclusive economic zone south of the island.

Already, four support vessels are awaiting for the drillship in Limassol port.

The drillship called Stena IceMAX is, according to Aberdeen based Stena Drilling, the world’s first dynamically positioned, dual mast ice-class drillship with a length of 228 meters. The Stena IceMAX is a harsh environment DP Class 3 drillship capable of drilling in water depths up to 3000 meters. The vessel operates under UK flag.

Its arrival is expected next Monday, November 12. The target is a location named ''Delphini’’ in Block 10.

Greece's Gastrade launches market test for Alexandroupoli LNG terminal - KATHIMERINI

WEDNESDAY OCTOBER 31, 2018, 10:41

Greek natural gas company Gastrade on Tuesday launched a market test for a liquified natural gas terminal it is developing in northern Greece.

Companies interested in seeking services and capacity in the terminal must submit non-binding expressions of interest within 45 days, it said.

Greece currently has one LNG terminal on an islet off Athens. Gastrade, part of Greek energy group Copelouzos, is planning Greece’s second LNG terminal near the northern city of Alexandroupoli.

The facility, with an estimated annual capacity of 6.1 billion cubic metres (bcm), will seek to supply gas to southeastern Europe via another natural gas pipeline scheme that will cross through Greece, the Interconnector Greece-Bulgaria (IGB).

The IGB and the LNG terminal would then fit with the Trans-Adriatic Pipeline (TAP), which has been under construction to transport Caspian gas to European markets.

Turkey begins oil and gas search that could stoke tensions - ABC NEWS /ASSOCIATED PRESS

ANTALYA, Turkey — Oct 31, 2018, 11:16 AM ET
LEFTERIS PITARAKIS AND MENELAOS HADJICOSTIS

Turkey embarked on a search for oil and gas in the east Mediterranean on Wednesday in a move that could stoke regional tensions, with the country warning it would thwart "unilateral, illegitimate and unfair" actions against its interests.

The drillship 'Conquerer' — named after Ottoman Sultan Mehmet, who conquered Constantinople — began exploratory drilling off Antalya, on Turkey's southern coast.

The country is asserting itself in the east Mediterranean to signal that it won't be left out of a potential offshore gas bonanza as neighboring Cyprus is poised to renew exploratory drilling off its southern shores. ExxonMobil is scheduled to start drilling in one of 13 blocks inside Cyprus' [declared] exclusive economic zone by year's end.

Turkey doesn't recognize Cyprus as a state and opposes its gas search, which it says infringes on its rights to oil and gas reserves and ignores the rights of breakaway Turkish Cypriots to the ethnically split island's natural resources. Turkey also says that its continental shelf overlaps part of Cyprus' exclusive economic zone.

Greece’s Energean on track for Israeli field development in Q1 2021 - NEW EUROPE

OCTOBER 30, 2018,14:30

Greece’s independent oil and gas exploration and production company Energean Oil and Gas announced on October 29 the first day of dealings of the Group’s shares on its secondary listing on the Tel Aviv Stock Exchange (TASE).

Energean is the first London listed, international oil and gas operator to list its shares on the TASE, the company said.

According to the company, delivery of the Karish and Tanin gas development, offshore Israel, remains on track for first gas in the first quarter of 2021. The fields would provide energy security and supplying gas to the Israeli domestic market, Energean said, adding that first steel cut for Energean’s floating production storage and offloading (FPSO), the only FPSO in the East Mediterranean, is scheduled for November 26, 2018.

Egypt to become energy center in Eastern Mediterranean: Min. - EGYPT TODAY

Mon, Oct. 29, 2018

CAIRO – Egypt is working to become a regional center for trading energy in the Eastern Mediterranean region during the upcoming period through the exploitation of its strong infrastructure, Minister of Petroleum Tarek el-Molla said.

El-Molla announced Egypt's readiness to cooperate with other countries in the region to receive gas, and then liquefy it and to re-export to Europe.

This came during Molla’s participation at the third Euro-Arab Summit under the theme "Horizons of Partnership" representing President Abdel Fatah al-Sisi, in the Greek capital Athens, which started today and lasts for two days.

The minister pointed out that despite the natural and human resources of the Arab region, the optimal use of these resources has not yet been achieved, which clearly demonstrates great disparity in the trade balance between Arab countries and the European Union.

Energean Oil & Gas starts trading in Tel Aviv after secondary listing - PROACTIVE INVESTORS

29 Oct 2018, 08:18 

Israel-focused Energean Oil & Gas PLC (LON:ENOG) has started trading on the Tel Aviv exchange through a secondary listing.

Energean raised £330mln when it floated on London’s main market in March and will maintain this as its primary listing, but said the Tel Aviv quote will broaden the shareholder base.

No new shares were issued in connection with the Tel Aviv listing but Energean expects its shares to be included within the TA-90 Index, which comprises the 36 - 125th most highly capitalised companies listed in Tel Aviv.

Shares will be fully transferable and interchangeable between the two stock markets.

Cyprus proceeds with its energy plans, Energy Minister says - CYPRUS NEWS AGENCY

CYPRUS/Nicosia 28/10/2018 14:00 

The Republic of Cyprus will proceed with its energy plans, exactly as foreseen, Minister of Energy Yiorgos Lakkotrypis has said. 

Asked if the Republic of Cyprus has taken any steps to address Turkish provocations in Cyprus` Exclusive Economic Zone, he said that the necessary measures have been taken in cooperation with the companies that have drilling licenses and the countries they come from.

The Republic of Cyprus will continue implementing its energy plans, exactly as foreseen, he concluded.