Tuesday, September 3, 2019

Total: 20-25% chance of success on Lebanon first exploratory well - LEBANON GAS NEWS

03.SEPT.2019

Total is the lead company in a consortium that won contracts in 2017 to explore for oil and gas in Lebanon’s maritime block’s 4 and 9. The other two companies are ENI and Novatek.

The consortium is contractually obliged to drill a minimum of two exploratory wells per block, starting with Block 4, where the first drill location has been set off the coast of Beirut.

What are the chances of drilling before the end of 2019?

Monday, September 2, 2019

Egypt Kuwait Holding’s NSCO begins production from second North Sinai well - ENTERPRISE

Monday, 2 September 2019

Egypt Kuwait Holding’s (EKH) NSCO Investments started production from its second North Sinai natural gas well on 29 August with an output of 20 mcf/d, the company said in a press release.

The new well brings the company’s total production to 75 mcf/d, a 200% increase compared to the first six months of 2019.

The company is now drilling its third well, which it expects to complete during 4Q2019. EKH started production from its first North Sinai well in July.

Sunday, September 1, 2019

Cyprus runs the risk of being trapped into an expensive undertaking with gas deal - CYPRUS MAIL

September 1, 2019
Charles Ellinas

Gas alone will not reduce carbon emissions to the levels required by the EU. This would require a substantial increase in the share of renewables and biofuels in Cyprus energy mix

DEFA announced on 23 August its decision to award the tender for the construction of an LNG import terminal at Vasilikos. This will comprise a floating storage regasification unit (FSRU), a jetty for the mooring of the FSRU, pipelines, port and other facilities.

The winner is a consortium comprising China Petroleum Pipeline Engineering Co Ltd (CPPE), Aktor SA and Metron SA, Hudong-Zhonghua Shipbuilding Co. Ltd and Wilhelmsen Ship Management Ltd.

Announcing its decision DEFA said “we believe that the future of the country is aligned with natural gas and we expect it to play a major role in the economic development of the country in years to come.

“The establishment of the natural gas market will boost the development of the whole energy and industry sectors of the Republic.”

EGAS cancels LNG tender for three cargoes due to low bids - ENTERPRISE

Sunday, 1 September 2019

EGAS has canceled an LNG tender for three cargoes from the Idku gas liquefaction plant near Alexandria, market sources told Reuters. 

The tender, which closed on 28 August, was canceled due to low bids, the sources said.

Friday, August 30, 2019

Zohr soars, Nour not sure - PETROLEUM ECONOMIST

30 August 2019
Gerald Butt

The super-giant Zohr gas field, in the Shorouk concession with at least 30tn ft3 of gas in place, keeps on breaking records. After first production was achieved in less than two-and-a-half years post-discovery, Italy's Eni now says that production has reached more than 2.7bn ft3/d (76.4mn m³/d)—five months ahead of plan.

A second 216km (134-mile) 30in pipeline connecting the offshore subsea production facilities to the onshore treatment plant just west of Port Said became operational in August. With this and the completion and optimisation of the plant treatment capacity, Eni says that, by end-2019, Zohr's potential production rate will reach 3.2bn ft3/d (90.6mn m³/d), up from the 2.7bn ft3/d plateau envisaged in the development plan.

Gas from Zohr already accounts for around one-third of Egypt's 6.5bn ft3/d output, and this extra production is enabling the resumption of LNG exports from the Idku plant—after a period when the country was forced to import LNG. The Damietta facility remains closed, pending the resolution of a dispute between the Egyptian government and operator Union Fenosa Gas, a joint venture between Eni and Spain's Naturgy.

Thursday, August 29, 2019

Superpowers Are Vying For Power In This New Oil & Gas Frontier - OIL PRICE

Aug 29, 2019, 3:00 PM CDT
Vanand Meliksetian

The Eastern Mediterranean has become a hotbed for tensions between regional and great powers due to the discovery of major energy deposits. The littoral states could potentially earn billions in gas exports while at the same time ensuring a level of energy security, which is rare to the region. However, the on-going activities create a level of complexity, which is an opportunity for countries such as the U.S. and Russia to exert influence.

Secretary of State Mike Pompeo has warned of "revisionist powers like Iran, Russia, and China trying to take major footholds in the East and West." The U.S. wishes to create an alliance of countries connected through multilateral interdependence. The backbone of the coalition is to be formed by Greece, Cyprus, and Israel.

The most critical driver for Washington’s assertiveness is Russia’s resurgence as a major force which can project power in the wider region. Moscow's relatively successful policy in the Middle East and its presence in the Eastern Mediterranean through its military intervention in Syria are making the U.S. wary of Russian influence.

Wednesday, August 28, 2019

Israeli Energy Exports Won’t Make Europe More Pro-Israel - FOREIGN POLICY

AUGUST 28, 2019, 6:57 AMCHARLES ELLINAS

The natural gas discovered in the Eastern Mediterranean is so expensive to bring to market that it might never reach European consumers, let alone change the policies of EU governments.

Ever since the discovery of the Leviathan gas field off the coast of Haifa, Israel has been dreaming of riches and political influence. A recent Foreign Policy article has taken this to the realms of the unimaginable—arguing that future European dependence on Israeli gas exports could both change the political views of European countries toward Israel and make the EU pro-Israel.

But the article overlooks a more basic question: Can Israeli gas ever make it to Europe or to global markets at a competitive price? With Leviathan about to come onstream, Israel, Noble Energy (as the operator), and its partners are looking for gas sales beyond this first phase of development. As much as 9-10 billion cubic meters per year of gas could be available for export. This is about the same amount as the Southern Gas Corridor pipeline from Azerbaijan to Italy that will be delivering 10 billion cubic meters per year to Europe by 2020.

Damietta liquefaction plant to reopen in 3Q2019? - ENTERPRISE

Wednesday, 28 August 2019

Deja vu: Damietta LNG plant to reopen in 3Q2019? The Damietta liquefaction plant will reopen by the end of 3Q2019 after being offline for the past six years, an unnamed oil industry source tells Youm7. The facility, which produces around 5 mn tonnes of liquefied natural gas per year when operational, has been closed amid a long-running dispute between the Egyptian government and operator Union Fenosa Gas (UFG).

We’ve heard this one before: An oil ministry source said back in February that the plant would reopen in April following an agreement with UFG. This was proved wrong just two days later when UFG publicly denied reaching a settlement. Then last month Eni (a joint partner in UFG with Union Fenosa) said that the facility should open “soon this year”, and another source claimed that the facility would be operating at full capacity by 4Q2019. For the latest claim to be realistic, there needs to be a resolution to the five-year UFG dispute within the next four weeks. Forgive us if we keep our eyebrows raised on this one.

Tuesday, August 27, 2019

DLA Piper advises Natural Gas Public Company of Cyprus on terminal - HYDROCARBON ENGINEERING

Tuesday, 27 August 2019 11:30

DLA Piper has advised the Natural Gas Public Company of Cyprus (DEFA) on its tender process for the selection of the contractor for the design, construction, procurement, commissioning, operation and maintenance of an offshore LNG import terminal and associated infrastructure, located in Vasilikos, Cyprus.

DEFA announced today the outcome of its tender process, selecting as the first ranked tenderer a consortium led by China Petroleum Pipeline Engineering Co. Ltd, and includes AKTOR S.A., Metron S.A., Hudong-Zhongua Shipbuilding Co. Ltd and Wilhelmsen Ship Management Ltd. As per the terms of the announcement, the tender is for the next stage of the development of a natural gas market in Cyprus and that major companies involved in the European gas markets also participated in the tender process.

The DEFA Chairman, Symeon Kassianides, commented: “We are pleased to see the successful outcome of the process. Here at DEFA we believe that the future of the country is aligned with natural gas and we expect it to play a major role in the economic development of the country in years to come. The establishment of the natural gas market will boost the development of the whole energy and industry sectors of the Republic.”

Cyprus to adopt new strategy for exploiting Aphrodite gas by 2025 - FINANCIAL MIRROR

27 August, 2019

A multi-billion-dollar revised development and production plan for exploiting the Aphrodite gas field within six years is expected to be received by the government within days, said Energy Minister Giorgos Lakkotrypis.

According to the timeframes given by the consortium, the gas field is expected to produce natural gas by 2025.

Cyprus expects to earn $9.3 bln over 18 years from exploiting its Aphrodite gas field after Nicosia renegotiated the contract in June.

A re-working of the production contract ensures Nicosia receives an average yearly income of 520 million dollars over the lifespan of the gas field. The figures are based on the average price of oil being around $70 a barrel.

Previously the consortium - Texas-based Noble Energy, which is the operator, British-Dutch giant Shell and Israel’s Delek - had no obligation to stick to a timeline, now natural gas is expected to flow from Aphrodite and be pumped to Egypt via a pipeline.

Egypt's EGAS offers three LNG cargoes for September - sources - ZAWYA / REUTERS

Ships are docked in front of Suez Canal Authority in Port Said,
Egypt July 29, 2018.REUTERS, Amr Abdallah Dalsh
27 AUGUST, 2019Jessica Jaganathan, Reuters News

SINGAPORE - Egyptian Natural Gas Holding Co (EGAS) has offered three liquefied natural gas (LNG) cargoes for loading from the Idku plant in September, two industry sources said on Tuesday.

The cargoes are offered on a free-on-board (FOB) basis for loading over Sept. 9-11, Sept. 24-26 and Sept. 30 to Oct. 2, they said.

The tender closes on Aug. 28, they added.

Ratification of hydrocarbon licenses within August - ENERGY PRESS

27 AUG 2019

Four offshore hydrocarbon exploration and production licenses signed by three groups of investors for areas off Crete, in the Ionian Sea and west of the Peloponnese are expected to be ratified in Greek Parliament within the next few days, possibly before the end of August, energypress sources have informed.

These licenses are significant for the reputation of the recently elected conservative New Democracy party, keen to underline its willingness to cooperate in the energy sector and draw major investments to the country.

Oil majors are involved. France’s Total heads a consortium that includes US giant ExxonMobil and Hellenic Petroleum (ELPE) for the two licenses off Crete, south and southwest of the island.

ELPE has joined forces with Spain’s Repsol for a license in the Ionian Sea, while ELPE is the sole participant in the offshore license west of the Peloponnese.

Shell to drill Montu well at West Delta concession this month - ENTERPRISE

Tuesday, 27 August 2019

Shell is set to begin drilling at the Montu well in its West Delta deep marine concession in the Mediterranean Sea this month, the company said in a statement. 


The Discoverer India drillship will drill 6k meters below the water’s surface, setting a new record as the deepest well in Egypt. 

The well is estimated to have a reserve of 4.7 tcf of natural gas and will take five months to drill.

BP to drill new wells in Atoll, Katameya fields in Nile Delta - ENTERPRISE

Tuesday, 27 August 2019

BP is preparing to drill two new wells in the Atoll and Katameya natural gas fields in its North Damietta offshore concession in the Nile Delta, according to an Oil Ministry statement. 


The drilling work will cost USD 280 mn. 

The Atoll field is expected to produce 100 mcf/d of gas when it comes online in 4Q2020, while the Katameya field will produce 60 mcf/d of gas from 2Q2020.

Egypt- First well of Baltim South West gas field to start production within days: Petrobel - MENAFN

8/27/2019 6:08:03 PM

(MENAFN - Daily News Egypt) Belayim Petroleum (Petrobel) completed the construction of 18 km-long, 26-inch-diameter offshore production line and 25 km-long, 26-inch-diameter onshore line, as well as the manufacture and installation of the offshore production platform within the development of the Baltim South West gas field, three months ahead of schedule.

Atef Hassan, chairperson of Petrobel, said the field's first well is expected to enter production in the coming days, and it is planned to complete drilling five more wells in 2019/20, bringing the total production of the field to about 500m cubic feet per day (scf/day).

The financial results of the company presented to the Minister of Petroleum and Mineral Resources, Tarek El-Mulla, showed that Petrobel succeeded in implementing an integrated action plan supported by all partners to achieve its objectives as an operating company and achieved positive performance indicators and results.

Monday, August 26, 2019

GUPCO plans to inject $1.2bn investments within two years - DAILY NEWS EGYPT

Monday August 26, 2019
Mohamed Farag 

Gulf of Suez Petroleum Company (GUPCO) plans to bring total investments in the fiscal years (FY) 2019/20 and 2020/21 up to $1.2bn to expand research, exploration, and development activities. The company aims to drill 13 new wells and carry out 12 repair operations, which will contribute to increasing production to targeted rates.

Geologist Khaled Hamdan, chairperson of GUPCO, said during his meeting with the Minister of Petroleum and Mineral Resources, Tarek El-Molla, that an ambitious work plan is being implemented to expand the activities of oil and gas research and development in Ras Shuqair (Ras Shukheir) area in the Gulf of Suez, which also include developing the quality of infrastructure and production facilities in the region.

The results of GUPCO operations showed that the average production from its fields in Ras Shuqair amounted to about 61,700 barrels of crude oil per day during FY 2018/19, and that there is a plan to increase production from Ras Shuqair fields during the current fiscal year to about 73,000 barrels per day.

Saturday, August 24, 2019

Lebanon’s High Risk Offshore Oil & Gas Boom - OIL PRICE / YAHOO

August 24, 2019
Cyril Widdershoven

The least known offshore oil and gas frontier in the East-Mediterranean, Lebanon is preparing itself for a possible entrance into the producer’s league.

At the end of 2019, most probably November – December, offshore drilling is expected to start, targeting some prolific basins. The offshore success stories in Israel, Cyprus and Egypt, have supported the appetite of Beirut to take the plunge too. Nada Boustani, Lebanon’s Minister of Energy and Water, also reiterated that the country’s second licensing round is receiving lots of interest. Lebanon estimates its natural gas reserves at 25 trillion cubic feet (tcf) based on seismic studies, but these have not been confirmed by drilling and may not amount to reserves that are commercially viable.

In an interview given to the international press this week, Boustani showed extreme optimism about the expected results, hoping that an offshore gas discovery would give a big boost to the currently struggling Lebanese economy.

Friday, August 23, 2019

Multinational consortium named for LNG construction - CYPRUS MAIL

August 23, 2019
George Psyllides

Α multinational consortium of JV China Petroleum Pipeline Engineering Co Ltd, Aktor S.A. and Metron S.A., with Hudong-Zhonghua Shipbuilding Co. Ltd and Wilhelmsen Ship Management Limited ranked first in the evaluation for the construction of the infrastructure required for the introduction of natural gas in Cyprus, it was announced on Friday.

It followed a lengthy and complex tender process overseen by the state natural gas company, Defa, in cooperation with external industry experts.

The top ranked bidder had to satisfy a series of qualitative, quantitative and financial criteria, so as to be able to demonstrate an ability to perform at the high standards set by Defa regarding the development of the Cyprus natural gas market infrastructure.

Thursday, August 22, 2019

Zohr natural gas field production rises to 2.7 bcf/d - ENTERPRISE

Thursday, 22 August 2019

Production from the Zohr natural gas field has reached the 2.7 bcf/d mark four months ahead of schedule, Oil Minister Tarek El Molla said in a statement. 

This is significantly higher than the figures provided by Rosneft, which last week said production was currently averaging 2.4 bcf/d. 

The oil ministry’s figures mean that output has increased by 600 mcf/d since February, when the production stood at 2.1 bcf/d. 

Twelve wells in the field are now producing gas, the statement said. Field operator Eni originally estimated that production would peak at 2.7 bcf/d, but the ministry later said that output would rise above that to 3 bcf/d. 

Reuters also picked up the story.

Wednesday, August 21, 2019

Eni: Zohr gas production reaches 2.7 bcfd - ENI

21/08/2019 15:15

San Donato Milanese (Milan), 21 August 2019 - Eni announces that the production from Zohr field has now reached more than 2.7 billion cubic feet per day (bcfd), about 5 months ahead of the Plan of Development (PoD).

This remarkable result has been achieved following the completion of all eight onshore treatment production units – the last one commissioned in April 2019 – and all Sulphur production units in August, the production start-up of two wells in the southern culmination of the field (in addition to the ten wells already drilled in the northern culmination) as well as the start-up on August 18th 2019 of the second 216 km long 30” pipeline connecting the offshore subsea production facilities to the onshore treatment plant.

The new pipeline, in conjunction with the completion and optimization of the plant treatment capacity, paves the way to increase, by the year end, the field potential production rate up to 3.2 bcfd against the POD’s plateau rate of 2.7 bcfd.

Wintershall DEA to begin natgas production at Raven field next month - ENTERPRISE

Wednesday, 21 August 2019

Wintershall DEA will begin natural gas production from its Raven field in September, unnamed sources told Amwal Al Ghad. 

The field is expected to produce up to 900 mcf/d of natural gas, and between 20k to 25k bbl/d of condensates.

Tuesday, August 20, 2019

US urges Turkey to seize all activity in Cyprus’ EEZ - KATHIMERINI

Foreign Minister Christodoulides (L) & Secretary of State Pompeo
20.08.2019 : 10:48

The US State Department on Tuesday called on Turkish authorities to cease immediately any “unlawful activities” in Cyprus’ territorial sea and remove its drillship, Yavuz.

Turkey has already established a presence in the region with its Yavuz and Fatih drillships and the Barbaros research vessel.

On Monday, Turkish Foreign Minister Mevlut Cavusoglu announced that a fourth Turkish ship, the Oruc Reis research vessel, is on its way to the region.

“This provocative step raises tensions,” the State Department said responding to questions from Hellas Journal and Cyprus News Agency, adding that only Cyprus, acting through its government, can consent to activities such as drilling within its territorial sea.

It also said that resource development in Eastern Mediterranean should promote cooperation, provide foundation for durable energy security and economic prosperity.

Sunday, August 18, 2019

Egypt plans to expand household natural gas supply network by 950 km - ENTERPRISE

Sunday, 18 August 2019

The government is planning to expand Egypt’s natural gas supply network into the households by 950 km by the end of 2023, Oil Minister Tarek El Molla said, according to Mubasher. 

This would bring the length of the network to 8750 km. 

El Molla did not mention the expected cost of the expansion, nor the expected increase in the percentage of households with access to natgas.

Wednesday, August 14, 2019

Arbitration court rules against Nostra Terra in Egypt oil payments dispute - ENTERPRISE

Wednesday, 14 August 2019

Arbitration court rules against Nostra Terra in Egypt oil payments dispute: Nostra Terra Oil & Gas has been found in default of the joint operating agreement (JOA) governing its East Ghazalat joint venture in Egypt with North Petroleum International, the company said on Monday. The London Court of International Arbitration ruled against the UK-based oil and gas company, finding subsidiary Nostra Terra Inc. in default for the non-payment of November and December 2015 cash calls to North Petroleum of around USD 1.06 mn, along with an estimated USD 125k in interest. The company’s failure to make the payments could result in the transfer of Nostra Terra’s 50% stake in the East Ghazalat concession to North Petroleum. Nostra Terra has described the concession as “non-core” to its operations. The company is considering seeking damages from North Petroleum for allegedly breaching the JOA.

Rosneft says gas output at Zohr in Egypt surges to 11.3 bcm in H1 - REUTERS

AUGUST 14, 2019 / 2:00 PM

MOSCOW, Aug 14 (Reuters) - Natural gas production at Zohr, the largest gas field in the Mediterranean Sea, more than tripled in the first half this year to reach 11.3 billion cubic metres (bcm), Russian energy giant Rosneft said on Wednesday.

The field is an important asset for Kremlin-controlled Rosneft in its global expansion strategy and natural gas production programme. Rosneft bought a 30% stake in the project from Italy’s Eni in 2017.

The company said daily gas output at the offshore project would reach 76 million cubic metres (2.7 billion cubic feet) by the end of the year from 68 million cubic metres currently.

“After the field’s start-up in December 2017, its development is going ahead of schedule,” Rosneft said in a statement.

Eni controls 50% of the project, while BP and Mubadala Petroleum each have a 10% stake in Zohr. 

Reporting by Maria Kiselyova and Vladimir Soldatkin, editing by Deepa Babington and David Evans

Tuesday, August 13, 2019

US-Greece-Cyprus-Israel want oil, gas as much East Med peace - NEW EUROPE

AUGUST 13, 2019 - 16:32

ATHENS – Meeting in Athens, the energy ministers of Greece, Cyprus, and Israel – Kostas Hatzidakis, Georgios Lakkotrypis, and Yuval Steinitz, as well as US Assistant Secretary of State for Energy Resources Frank Fannon – have discussed their cooperation in the field of energy, while affirming their shared commitment to promoting peace, security, and prosperity in the Eastern Mediterranean region.

The four met in Athens on 7 August and agreed to establish a High-Level Working Group (HLWG) that will highlight specific energy projects and propose ways of promoting their implementation.

“The ministers and the United States agreed to support their countries’ energy independence and the establishment of an Energy Corridor of the Eastern Mediterranean, contributing thus to the energy security of the European Union by actively promoting the diversification of import sources and routes,” the US Department of State said in a statement.

Saturday, August 10, 2019

Energy cooperation boosts growing trilateral alliance between Egypt, Greece and Cyprus - AHRAM ONLINE

Saturday 10 Aug 2019

The first tripartite gathering between Egypt, Greece and Cyprus was held in 2014 and quickly turned into a broad alliance fostering cooperation across a range of economic, political and strategic interests.

Last week’s visit by Foreign Minister Sameh Shoukri to Greece and Cyprus lent impetus to the process, boosting relations and enhancing cooperation between the three states, especially in the energy field.

Professor of political science Tarek Fahmi says the tripartite gathering is already working for the benefit of the three countries, and for the region in general, especially after the East Mediterranean Gas Forum (EMGF) was established.

Egypt is seeking to become a major regional hub for the production, processing and trading of natural gas.

Friday, August 9, 2019

Mytilineos Group overtakes DEPA as major LNG importer in 2019 - KATHIMERINI

WEDNESDAY AUGUST 9, 2019

Private Greek industrial group Mytilineos has overtaken incumbent DEPA to become the country’s biggest LNG importer this year, the first time in history that an independent company has knocked the state-owned company from the top spot, ICIS an information platform on petrochemicals and specifically on energy issues, fertilisers and other commodities said in a report.

Mytilineos imported over 370,000 tonnes of LNG from January to July, or 39 percent of the national total supplies, according to LNG Edge. DEPA took 273,000 tonnes, or 29 percent.

DEPA’s market share was 92 percent last year, and has never previously fallen below 50 pct. The shift indicates the progress made in one of the last countries in the European Union to liberalize its gas market.

The market began opening back in 2005, but momentum picked up from 2018 when the retail market was fully liberalized, leaving consumers free to choose their supplier. DEPA has been losing customers ever since.

With demand from the electricity power sector as well as industrial needs in aluminium manufacturing, Mytilineos is at the forefront of the market.

Wednesday, August 7, 2019

ExxonMobil considers logistics support center in Damietta Port - ENERGY EGYPT / DAMIETTA PORT AUTHORITY

AUGUST 7, 2019 AT 3:18 PM

Damietta Port Authority (DPA) Chairman, Cpt. Tarek Shahin met with ExxonMobil delegation to discuss their interest in exploring the possibility to establish a logistic support center in Damietta Port for servicing oil and gas fields.


Both sides looked over port capabilities particularly its unique location near recent oil discoveries and gas fields in the Mediterranean, the available multimodal transport facilities which translate into a competitive edge setting Damietta in front of other national ports.

Shahin welcomed the delegation and confirmed readiness to offer all possible facilities to support the new project stressing the fact that Damietta Port does entertain a wonderful package of strong infrastructure tied with wide expertise in such projects. He also pointed out that global enterprises are currently working in Damietta Port in projects serving recently discovered oil fields in the Mediterranean.

JOINT STATEMENT following the Ministerial meeting between Greece-Cyprus-Israel and the United States Regarding cooperation in the field of Energy - MINISTRY OF ENVIRONMENT & ENERGY, GREECE

Athens, August 7th, 2019

The Energy Ministers of the Hellenic Republic, Mr. Kostas Hatzidakis, the Republic of Cyprus, Mr. Georgios Lakkotrypis, the State of Israel, Mr. Yuval Steinitz, and the Assistant Secretary of State for Energy Resources of the United States of America, Mr. Francis Fannon, met today in Athens regarding cooperation in the field of energy, while affirming their shared commitment to promote peace, stability, security and prosperity in the Eastern Mediterranean region.

Mr. Fannon underlined the increasing and tangible support of the US government for the establishment of a structured quadrilateral mechanism for cooperation that focuses on energy matters.

The Ministers and the United States identified several significant areas of common interest, including, inter alia, infrastructure projects, renewable energy and energy storage, emergency preparedness, environmental protection and cyber security, while agreeing to establish a High Level Working Group (HLWG) that will highlight specific energy projects and propose ways of promoting their implementation. The Ministers have agreed to work towards signing an agreement for a joint emergency preparedness and response mechanism for offshore oil and gas operations. The HLWG will report its progress to the Ministers of Energy on a regular basis.

Egypt update - ROCKHOPPER EXPLORATION

07 August 2019 07:00

Rockhopper Exploration plc (AIM: RKH), the oil and gas company with key interests in the North Falkland Basin and the Greater Mediterranean region, provides the following operational update in relation to the Abu Sennan concession, Egypt ("Abu Sennan"). Through Rockhopper Egypt Pty Limited, Rockhopper holds a 22% working interest in Abu Sennan.


Al Jahraa-7
The development well, Al Jahraa-7, was spudded on 25 May 2019, and reached total depth of 3,970m MD in the Kharita formation on 23 June 2019. Initial petrophysics indicated pay in the following intervals:
  • Abu Roash-C / Net Pay: 7m
  • Abu Roash-E / Net Pay: 4m
  • Upper Bahariya / Net Pay: 9m
  • Lower Bahariya_1 / Net Pay: 6m
  • Lower Bahariya_2 / Net Pay: 5m
A series of well tests of the Abu Roash-E and Bahariya reservoirs has commenced, initially with the rig on location and subsequently following release of the rig. These operations remain ongoing.

Monday, August 5, 2019

Energy ministers to meet in Athens - KATHIMERINI

MONDAY AUGUST 5, 2019 : 21:02

Greece is hosting officials from Cyprus, Israel and the United States at a ministerial meeting on energy issues on Wednesday.

Environment and Energy Minister Kostis Hatzidakis, Cyprus’ Minister of Energy, Commerce and Industry Georgios Lakkotrypis, Israeli Energy Minister Yuval Steinitz and US Assistant Secretary at the State Department’s Bureau of Energy Resources Francis R. Fannon will meet at the Hilton Athens to discuss areas of potential cooperation and to advance construction of the EastMed natural gas pipeline.

The officials plan to set up a working committee of high-level officials to identify specific cooperation projects and ways to implement them.

Sunday, August 4, 2019

Eni continues oil and gas initiative in Libya - OIL REVIEW MIDDLE EAST

Sunday, 04 August 2019 04:30

Fayez al-Sarraj, head of the presidential council of the Libyan Government of National Accord, met in Tripoli with Eni’s CEO Claudio Descalzi to discuss the general situation of Libya, with a particular focus on the introduction of renewable energy in Libya and Eni's activities in the country

The meeting was also attended by the chairman of the National Oil Corporation (NOC) Mustafa Sanalla.

Claudio Descalzi assured Sarraj the full commitment of the company to its operational activities and projects in the country and reiterated Eni’s commitment in the social area, particularly in reference to the initiatives undertaken in the power generation sector.

Following the Memorandum of Understanding (MoU) signed last year with GECOL and NOC, Eni has contributed greatly for the improvement of the power sector, supplying much needed spare parts and technical assistance that allowed the recovery of 425MW of power output in the Tripoli area.

Understanding the Israel-Lebanon Maritime Border Dispute - HONEST REPORTING

August 4, 2019
Griffin Judd

International border disputes are very common, and in the normal course of events rarely draw any attention. But what happens when one of the countries in the dispute refuses to acknowledge the other’s existence? This complicates things, because the two countries then cannot negotiate directly. After all, negotiation implies recognition.

That is the dilemma currently facing Israel and Lebanon, who, since 2011, have been arguing over an 856 sq km piece of ocean.

But why is this area of the sea worth fighting about? What are the problems? And more importantly, what are the possible solutions?

History of the Israel-Lebanon Maritime Dispute

To understand this dispute, one must understand the international laws behinds it. At the root of the problem lies is the jurisdiction of the United Nations Convention on the Law of the Sea (UNCLOS). Under this treaty, states are entitled to a 200-nautical mile Economic Exclusion Zone (EEZ) off their coast. Within this zone, states have exclusive rights to exploit natural resources, such as fish and oil.

Lebanon ratified UNCLOS and submitted its proposed border to the UN in 2011; Israel never ratified the treaty, but generally adheres to it, and submitted its proposed border to the UN at the same time.

And here the dispute arose.

BP eyes natgas output of 500 mcf/d from Baltim South West by mid-2020 - ENTERPRISE

Sunday, 4 August 2019

BP aims to increase natural gas production to 500 mcf/d by the middle of 2020 when it completes the development of its Baltim South West field, a source from EGAS told the press. 

Work is still ongoing to develop the field and link it to the national gas grid. Eni estimated the field to hold 1 tcf of natural gas after it was discovered in 2016. 

Six wells in the development lease were originally slated to be linked to production in 2H2017. Little has been heard of the field since then. 

Eni (through its Italian Egyptian Oil Company subsidiary) and BP both hold 50% stakes in the field.

Friday, August 2, 2019

Leviathan Partners Considering FLNG for Israel’s Offshore Field - NATURAL GAS INTEL

August 2, 2019
Tim Daiss

Partners in the Noble Energy Inc.-operated Leviathan project offshore Israel are considering a floating liquified natural gas (FLNG) vessel to enable exports from the massive natural gas field.

Delek Group and Houston-based Noble are negotiating with Golar LNG Ltd. and Exmar NV for a binding long-term charter agreement to finance, build, operate and maintain the facility in Israel’s exclusive economic zone.

Noble two weeks ago said it was only months away from delivering commercial gas from the field, with sales scheduled to start by the end of the year. The company expects to sell an average of 800 MMcf/d from Leviathan in 2020.

An FLNG facility would allow liquefaction capacity of 2.4-5 million metric tons/year. Processed gas could be piped from the Leviathan production platform to the FLNG facility offshore Israel, where it would be liquefied and transferred to LNG vessels.

Thursday, August 1, 2019

Egypt Says Offshore Gas Discoveries Bolster Ties with Cyprus - THE NATIONAL HERALD / ASSOCIATED PRESS

Sameh Shoukry (L) and Nikos Christodoulides meet in Nicosia on July 31
August 1, 2019

NICOSIA (AP) — Egypt’s foreign minister says hydrocarbon finds in the eastern Mediterranean have bolstered an already “strong partnership” with neighboring Cyprus.

Minister Sameh Shoukry said after talks Wednesday with Cypriot counterpart Nikos Christodoulides that Egypt looks forward to working with Cyprus in fully utilizing energy reserves.

Egypt’s top diplomat said he’s hopeful the establishment of the Eastern Mediterranean Gas Forum will help open new avenues of cooperation and policy coordination between the two countries.

Shoukry said a trilateral partnership between Egypt, Cyprus and Greece serves as an “important catalyst” for regional prosperity and stability. He said Egypt will host the seventh summit of the three nations’ leaders later this year.

Christodoulides said European Union member Cyprus would continue to advocate for stronger EU-Egypt ties in order to more effectively address regional challenges.

Wednesday, July 31, 2019

Four Further Licences Awarded to Energean for Oil and Gas Exploration in Israel’s Exclusive Economic Zone (“EEZ”) - ENERGEAN OIL & GAS

Wednesday, July 31 2019

Energean Oil and Gas plc (LSE: ENOG, TASE: אנאג ( is pleased to announce that Israel’s Petroleum Council has awarded the Company four new licences for oil and gas exploration in the Israeli EEZ. Energean submitted its proposal in partnership with Israeli Opportunity (20%). The awarded Licences were granted for Block D, located 45 km off the Israeli coast – and include Licences 55,56,61,62 (“Zone D”), offered in the recent Bid Round published by the Israeli Ministry of Energy. Energean has identified a prospect within Zone D analogous to the prolific Tamar Sand fields (Karish, Tamar, Leviathan etc) offshore Israel. The prospect is believed to extend towards the SW of the license contingent to further seismic processing. A relatively shallow Mesozoic prospect was also identified (four way closure).

Mathios Rigas, CEO of Energean, stated: “Energean has proven its ability and commitment to explore and develop resources in a timely and cost efficient manner in the East Med. The addition of the 4 new licenses contained in Zone D adds further upside potential to our portfolio”.

Tuesday, July 30, 2019

Cyprus backs Total-Eni partnership in offshore gas drilling - KATHIMERINI

TUESDAY JULY 30, 2019 : 19:07

Cyprus has licensed a consortium made up of France’s Total and Italy’s Eni to search for hydrocarbons in another area that the east Mediterranean island nation has exclusive economic rights, the country’s energy minister said Tuesday.

Energy Minister Georgios Lakkotrypis said the two oil companies will each have 50 percent rights to Block 7, one of 13 areas composing the country’s exclusive economic zone off its south coast.

Total will be the designated operator in the block which borders three others where deposits of natural gas have been discovered. It’s believed a gas field found in the adjacent Block 6 that also belongs jointly to Total and Eni may extend in to Block 7.

Lakkotrypis says the government has also approved Total’s participation in four other blocks where Eni had a license. Total’s rights to the four blocks range from 20 percent to 40 percent.

Sunday, July 28, 2019

Israel, Egypt mull Sinai LNG plant for Asian exports - GLOBES

28 Jul, 2019 18:40
Amiram Barkat

Building such a facility on the Red Sea shore for liquid natural gas exports would cost $10-15 billion.

Egypt and Israel are considering construction of a liquefaction facility on the shores of the Red Sea in Sinai through which natural gas can be exported to markets in Asia, sources inform "Globes." The initiative is similar to the one previously promoted by Eilat-Ashkelon Pipeline Co. (EAPC), which wanted the facility to be in Israeli territory near Eilat. The idea was shelved due to strong opposition, among other things by the Ministry of Environmental Protection.

This time, the idea is to construct the facility on the Egyptian side of the border, which will make it possible to overcome the opposition to the huge project. In Egypt, the ability to delay such projects for environmental reasons is much more limited. Furthermore, a liquefaction project on Egyptian territory can provide jobs for thousands of Egyptians during the construction stage and hundreds more during the operational stage.

Building the facility on the Red Sea is designed to open the option of exporting Israeli and Egyptian liquefied natural gas (LNG) to the East Asian market: India, China, Japan, South Korea, and other countries, which constitute 70% of the global liquefied gas market. The cost of building a medium-sized land-based liquefaction facility is projected in the $10-15 billion range.

UAE’s Dana Gas hires adviser to sell Egypt assets - MIDDLE EAST MONITOR

July 28, 2019 at 11:24 am

United Arab Emirates’ Dana Gas has hired investment bank Tudor, Pickering, Holt & Co. (TPH) to advise it on the sale of its Egyptian assets, worth over $500 million, two sources familiar with the matter said, as the company shifts its focus to its Kurdistan operation, Reuters reported in an exclusive on Sunday.

The Abu Dhabi-listed energy producer – whose main assets are in Egypt and in the Kurdistan Region of Iraq (KRI) – has been considering an alternative listing in London, and focusing on a single geographical area could be appealing to future investors in the company, said one of the sources. The sources did not wish to be identified because the information has not been made public.

A spokesman for Dana Gas declined to comment while TPH did not immediately respond to a request for comment, sent outside working hours.

Dana’s exploration and production assets in Egypt are onshore the Nile Delta except for Block 6 in the Eastern Mediterranean Sea.

In May Dana began drilling at the offshore Merak well in Block 6, saying it could hold up to 4 trillion cubic feet of gas.

On Sunday Dana said in a bourse filing that the drilling has not found commercial hydrocarbons and that the well is being abandoned. It added its operations in Egypt continue production normally.

Saturday, July 27, 2019

Eastern Med countries agree to move ahead with gas forum - THE ARAB WEEKLY

Saturday 27/JULY/2019

CAIRO - Energy ministers from the founding countries of the Eastern Mediterranean Gas Forum agreed to complete the basic structure of the group and enhance cooperation to promote the exploitation of natural gas reserves in the region.

During a meeting July 25 in Cairo, energy ministers of Egypt, Cyprus, Greece, Israel, Italy, the Palestinian territories and a representative of the energy minister of Jordan said they would form a committee to elevate the forum to the level of an international organisation that respects the rights of its members to their natural resources.

The meeting of the Eastern Mediterranean Gas Forum (EMGF) founders was almost six months after the forum was declared. EMGF is a new player on the international natural gas scene, deriving its force from numerous gas finds in the region in recent years.

The forum is an expression of the changing face of the region, in which political and military rivalries and animosities are overshadowed by economic interests, even as some regional countries, including Turkey, Lebanon and Syria, are yet to join.

Friday, July 26, 2019

Egypt, U.S. sign deal to boost oil, gas cooperation - XINHUA

2019-07-27 01:56:41|Editor: Mu Xuequan

CAIRO, July 26 (Xinhua) -- Egypt and the United States signed on Friday a memorandum of understanding (MoU) to boost bilateral cooperation in the oil and gas industry.

The MoU was signed in Cairo by Egyptian Minister of Petroleum and Mineral Resources Tareq al-Molla and U.S. Secretary of Energy Rick Perry, according to a statement released by the Egyptian Petroleum Ministry.

The agreement is meant to facilitate the exchange of technical information, consultancy services and the transfer of technology in the fields of oil and gas exploration, production and refining, as well as petrochemicals, the statement said.

Thursday, July 25, 2019

U.S. says Turkey's exploration attempt in Cypriot waters discussed at Egypt gas forum - NASDAQ / REUTERS

Rick Perry meeting his Egyptian counterpart Tarek El-Molla 
July 25, 2019, 12:34:00 PM EDT

Cairo, July 25 (Reuters) - U.S. Energy Secretary Rick Perry told reporters on Thursday that countries participating in a gas forum in Egypt have discussed Turkey's exploration attempt in Cypriot territorial waters.

Perry, who was speaking on the sidelines of The Eastern Mediterranean Gas Forum in Cairo, did not elaborate. The United Sates participates in the forum as an observer.

EU member Cyprus has discovered natural gas in areas off the south of the island, though nothing has been extracted. Turkey disputes the rights of Cyprus to explore for gas, sending drill ships of its own to stake a claim around the island.

Nicosia rejects the claim, saying that the assertion is not only inconsistent with international law, but that Turkey would not accept any international dispute settlement mechanism where its claims could be put to the test.

Cyprus was divided in 1974 after a Turkish invasion triggered by a brief Greek-inspired coup. Several peacemaking efforts have failed and the discovery of offshore resources has complicated the negotiations.

Wednesday, July 24, 2019

Israel to begin gas exports to Egypt within four months: Minister - AL ARABIYA / REUTERS

Wednesday, 24 July 2019, KSA 14:11 - GMT 11:11

Israel will begin natural gas exports to Egypt within four months, Energy Minister Yuval Steinitz told Reuters on Wednesday.

He also said that a deal to buy stakes in the East Mediterranean Gas Company’s pipeline between the two countries will be completed “within weeks” and that more connections could be built between them.

Steinitz also said that more economic pressure should be applied on Iran, and that it “must be stopped.”

Tuesday, July 23, 2019

Qatargas Ships 1st Q-Flex LNG Cargo to Greek Revithoussa Terminal - WORLD MARITIME NEWS

Qatargas Ships 1st Q-Flex LNG Cargo to Greek Revithoussa
July 23, 2019

Doha-based liquefied natural gas company Qatargas has delivered the first LNG cargo on a Q-Flex vessel to Greece’s Revithoussa LNG Terminal.

This is the first time that a Q-Flex LNG vessel has called at the terminal ever since it underwent an expansion drive late last year, Qatargas said.

The cargo, which was loaded at the Ras Laffan Terminal in Qatar on July 3, 2019, arrived at the Revithoussa Terminal on board the 216,224 cbm Al Gharrafa on July 20, 2019.

The Q-Flex cargo is part of a multi-port delivery executed by Qatargas. It is being undertaken in cooperation with the European utility Engie, which will see the second cargo being delivered at the Cartagena LNG terminal in Spain later this month.

“This significant delivery is aligned with Qatargas’ strategy to continue growing the ever increasing number of terminals that our Q-Flex and Q-Max vessels can deliver into,” Khalid bin Khalifa Al Thani, Chief Executive Officer of Qatargas, commented.

Turkey’s “Fatih” drillship left without support after international companies withdraw - IN CYPRUS

July 23, 2019 at 11:34am
JONATHAN SHKURKO

Turkey’s drillship “Fatih”, currently located west of Paphos, was left without the specialised technical support necessary to conduct its operations, following the complete withdrawal of the last two international companies that had remained partly in support of its illegal activities.

According to Philelefteros sources, the last two specialized companies left on Friday, whereas other international companies decided to withdraw their support as soon as “Faith” started its illegal drilling operations.

The two companies had already recalled the majority of their staff from the operation, especially those who held European citizenship.

Monday, July 22, 2019

First exploitation licences set to be issued for Cyprus EEZ - CYPRUS MAIL

July 21, 2019
Katy Turner

The Council of Ministers is expected issue exploitation licences for the Aphrodite field, Energy Minister Giorgos Lakkotrypis said on Sunday.

“Regarding the agreements with Total and Eni, we are currently working on the legal details and they are expected to be brought before the Council of Ministers in the coming days for the relevant decisions,” he said.

As far as the Aphrodite field is concerned he said, “we are in negotiations with the consortium to come up with a jointly acceptable plan for development and production, which must be submitted to the Council of Ministers to issue exploitation licences for the Aphrodite field, marking the first time that such licences will be issued for the Cyprus EEZ (Excusive Economic Zone)”.

This is the third type of licence that is issued to interested companies. The first, a prospecting licence allows the geological evaluation of an area, while the second, an exploration licence allows for exploratory drilling to take place. If a discovery is made, the licensee then has the right be granted an exploitation licence.

Red Sea gas scramblers have until mid-September to submit bids to Egypt’s GANOPE - ENTERPRISE

Monday, 22 July 2019

Scramblers have until mid-September to submit bids for Red Sea exploration: The South Valley Egyptian Petroleum Holding Company (Ganope) has extended to mid-September the deadline for submitting bids in its tender for 10 oil and gas exploration blocks off the Red Sea, an unnamed Oil Ministry official said. The deadline, which was previously set for early August, was extended to give more companies a chance to join in.

Background: Ganope launched the tender last March for 10 oil and gas exploration blocks under new production sharing contracts. The new terms give producers a larger share of the output and allow them to sell their share to non-government entities of their choosing, provided they obtain approvals from each of Ganope, EGAS, and the EGPC.