Cyprus gas: is it too late for LNG? | Financial Mirror

Cyprus gas: is it too late for LNG?

17 May, 2014

 * Depends on Asia prices – 8-10tcf needed to make Vassiliko viable -
 * ENI-Kogas to drill in August – could be searching for oil

 



By Fiona Mullen, Director Sapienta Economics

At the Energy Stream CMG conference on May 8 and 9 in Nicosia, it became clear that the natural gas market is becoming more complex by the day, with competing suppliers, changing priorities of buyers and lots of politics in between.

This raises a number of questions about the ideal gas export options for Cyprus and whether land-based LNG is still a viable option.

LNG: time is money

The government’s official line is to build a land-based liquefied natural gas (LNG) plant as Vassilikos. The main argument for LNG is that it provides flexibility. With an LNG plant you can export to anywhere that has regasification facilities.

The second argument for is that bolsters Cyprus’ position as a regional hub.

The third and probably most important argument is that it allows for exports to Asia, where prices can be around USD 7 per MMBTU higher than in Europe.

But an LNG plant will cost at least USD 6 bln to build. Add other costs, such as pipeline from Block 12, liquefaction costs, transport costs, and so on, and you are looking at a cost to the producer of approaching USD 30 bln.

To make that kind of expenditure commercially viable you have to sell an awful lot of gas.

It is no longer a secret that the estimated 3.6 to 6 trillion cubic feet (tcf) in Cyprus’ Block 12 is not enough to make an LNG plant viable. Last week the energy minister, George Lakkotrypis, admitted that 2020 was no longer a likely date for finishing the plant.

If the price moves we need even more than the 6 to 7 tcf that industry sources generally is needed to make it viable.

My own estimates, to be published in a report by PRIO on May 28, suggest that if the Asia price drops by 10% you need 8 tcf. If the price drops by 20% you need 10 tcf. And if you want to sell to Europe, the volume threshold is even higher.

Noble is due to do more drilling in Block 12 this year and we learned at the conference that the ENI-Kogas will spud its first exploratory well in August. Total will not begin until 2015 but the word on the street is that it is going for gold—black gold.

In the words of Andy Varoshiotis, the head of the Cyprus Oil and Gas Association, “if we hit oil, we hit the jackpot”.

But if we do not hit the jackpot, we have to rely on gas.

Even If Noble and Eni-Kogas get past the 6 to 7 tcf threshold, it will then be another couple of years before this is confirmed with appraisal wells, then add another year or two before they can get the finance and sign the final investment decision (FID).

First LNG export not before 2026-2028, at who knows what price

We are looking at 2016 to 2018 before construction even starts. Then it could take ten years to build. It is just about possible to build an LNG plant in six years, but with all the political interference in Cyprus, it will take longer.

So we should not expect our first LNG export before 2026-2028, by which time we have no idea where gas prices will be.

If Russia bumps up supply to China, if the US exports a lot to Japan, additional supply will push the Asia prices down. This suggests that financiers might use a lower price for gas in their assumptions and will therefore demand higher volumes to make everything viable.

The Israeli gas boat may already have sailed

There has been much talk of adding Israeli gas into the mix in order to reach the required volumes. However, this is becoming an ever more distant option.

In the past few weeks, the partners in Leviathan and Tamar, who also hold the licence for Block 12, have received ten bids for the supply of gas from Leviathan to Turkey by pipeline, have signed a preliminary agreement for the supply of gas to an unused LNG plant in Egypt and have signed a contract to send gas to Jordan and the Palestinian Authority, although the latter deal is less certain.

It is questionable, therefore, whether there would be enough to send to a Cyprus LNG plant given that Tamar may already be supplying Cyprus’ domestic needs and that Leviathan is only allowed to export 50% of its 540 bln cubic metres.

Gina Cohen, an energy expert based in Israel, noted that Leviathan could raise its export quota to 75% by swapping quotas with the smaller Karish and Tanin fields. But, she noted, “no country has ever agreed to sell gas via an LNG plant in another country”.

She also said that a floating LNG (FLNG) plant was gaining ground. Prices were coming down and in terms of timing it would be quicker than easier than using a land-based facility.

FLNG is also good for smaller fields, so could end up being the only viable option for Cyprus.

If Israel will not supply an LNG plant in Cyprus, maybe it would help fund it. This was an idea put forward by Matt Bryza, a former US diplomat who sits on the board of Turcas, a Turkish energy company.

In exchange for allowing Israel to send gas via pipeline to Turkey, the Leviathan partners could pledge to help fund an LNG plant in Cyprus, he suggested, thereby giving Cyprus its much desired LNG plant.

Still, it is difficult to see this happening without a solution of the Cyprus problem.


CNG: the chicken and the egg

If Cyprus has to wait up to 14 years before it can sell LNG, then there are two other options in the meantime: pipeline and marine compressed natural gas (CNG). CNG is good for small fields and short distances, so it would be a Mediterranean market that could either be supplied directly or into pipelines.

Adam Hedayat, Vice-President of SeaNG Canada, said that the “netback” for companies exporting CNG was USD 6.9 for CNG, compared with USD 4.88 for LNG and USD 6.77 for a pipeline.

CNG does not require the construction of pipelines or LNG plants, so is also greener than other options. In addition, unlike the Israel-Turkey or Cyprus-Turkey pipeline, it does not require a solution of the Cyprus problem.

The only thing holding CNG back is the fact that no one has done it before. SeaNG has obtained all the requisite international safety licences but so far no one has taken the leap to use it, although Hedayat hinted that SeaNG could be signing an agreement with a buyer by the end of the year.


Turkey pipeline: a bridge too far?

A pipeline to Greece is currently considered far too expensive given the depth and length of the pipeline, although a technical feasibility is due soon.

That leaves the other option in addition to CNG that could be funded with today’s volumes, namely a pipeline to Turkey. It costs less to build so revenue would be generated far earlier than LNG.
But the Turkey pipeline option is of course dependent on a resolution of the Cyprus problem.





Diversification is key

Given all of these difficulties, it is clear that Cyprus is not going to make money from gas any time soon.
Perhaps, instead, we should be focusing, not just on selling the commodity, but using its existence as a way to generate income in other ways.

Toula Onfouriou, the president of the Cyprus Hydrocarbons Company, is clearly already thinking along these lines.

She talked of an energy hub not only for producing and exporting “but also a centre of training and education and technological development”.

Cyprus has already been damaged by overdependence on the UK for tourists, on Russia for financial services and soon on China for real estate investors.

The gas market is too changeable to depend on one option. Diversification of the entire “Cyprus energy story” is our best way forward.

Fiona Mullen is Director of Sapienta Economics Ltd www.sapientaeconomics.com and partner at Strata Insight energy advisory www.stratainsight.com .

Link to source: http://www.financialmirror.com/news-details.php?nid=32549

Ukrainian crisis encourages investment in energy infrastructure in Cyprus | Famagusta Gazette

Ukrainian crisis encourages investment in energy infrastructure in Cyprus

The Cypriot Minister of Energy Yiorgos Lakkotrypis referred to the exploration of gas fields in Cyprus` Exclusive Economic Zone (EEZ) and in the wider south-east Mediterranean to strengthen the energy security of the EU.

FAMAGUSTA GAZETTE • Saturday, 17 May, 2014

The risk of investing in energy infrastructure in Cyprus seems to have been reduced as the crisis in the Ukraine unfolds, with the EU looking towards solutions that may cost more, but which will ensure its energy security, an EU informal meeting in Athens has heard.

The prospects of the Cypriot natural gas and the role of Cyprus in the region seem to be important, after discussions at the Informal Council of EU Energy Ministers.

The Cypriot Minister of Energy Yiorgos Lakkotrypis referred to the exploration of gas fields in Cyprus` Exclusive Economic Zone (EEZ) and in the wider south-east Mediterranean to strengthen the energy security of the EU.

"The construction of onshore gas liquefaction plant in Cyprus and the emergence of Cyprus as an energy hub is at the top of our energy priorities," said the Minister.

Lakkotrypis supported the immediate implementation of projects that will help to reduce energy isolation of the Member States and enhance EU energy security. He noted that the possibility of additional funding for these specific projects should be examined more extensively as they contribute to the achievement of EU priorities.

Based on the discussion of the Ministers, the European Commission will draft a strategy for the security of energy supply, which will consist of an in-depth analysis of the situation and a study to reduce EU energy dependency.

These studies will be discussed at the Council of Energy Ministers in mid-June and the European Council that will follow.

At the same time an industry source involved in negotiations with Russia has told Reuters that the geopolitical instability underlines the need for an all-European solution to bring gas from Israel and Cyprus to western Europe.

"That would create a win-win situation that would also improve the prospects for a peace settlement in Cyprus," said the source

According to Reuters, analysts say that the crisis over Ukraine has transformed the assessment of risk on investing in energy infrastructure in Cyprus.

"The energy security scenario is completely changed and none can exclude that more expensive investments will be done in the light of energy security, more than on return of investments," said Pasquale De Micco, a national expert from the European Parliament`s policy department.

On the sidelines of the Council, Lakkotrypis met with EU Energy Commissioner Gunther Oettinger and the Executive Director of the International Energy Agency (IEA) Maria van Der Hoeven.

Lakkotrypis also held a private meeting with his Greek counterpart and President of the EU Energy Council Yannis Maniatis. The two Ministers reaffirmed their close ties and good cooperation between the two countries in the energy sector.

Lakkotrypis briefed the Greek Minister on recent developments in hydrocarbon exploration in the EEZ of Cyprus and government plans for the creation of the onshore gas liquefaction plant in Cyprus.

Maniatis briefed the Cypriot Minister on developments to promote the EastMed gas pipeline between Israel, Cyprus and Greece.  — (KYPE)


Link to source: http://famagusta-gazette.com/ukrainian-crisis-encourages-investment-in-energy-infrastructure-in-cyprus-p23591-69.htm

Egyptian Energy Debt Looms Large Over Recovery | Forbes

Energy 5/16/2014 @ 11:04πμ 405 views

Egyptian Energy Debt Looms Large Over Recovery

This week, Egypt’s state-backed oil company announced that the country’s debt to foreign energy firms stood at $5.9 billion, just shy of the $6 billion it owed a year ago. This limited progress report comes after a year of concerted effort on the part of Cairo to draw down the debt in an effort to repair relationships with international suppliers and increase interest in exploration and production investment. Despite paying out $1.5 billion to creditors in December 2013, Egypt’s burden has remained steady as the country continues to struggle with declining domestic production and an unsustainable fuel subsidy program.

Cairo’s lack of progress has not been helped by the country’s deep political instability over the last two years, making it difficult to attract new investment or sustain any sort of economic recovery. This uncertainty has also made it hard to move forward on plans for subsidy reforms, which would mean changes to one of the region’s most generous fuel assistance programs. Coupled with the country’s weakened financial standing and currency, forcing them to pay premiums for crude supplies, the country’s subsidy program has made it difficult to chip away at its industry debt.

Cairo has recently taken steps to reverse the energy industry’s fortunes by promoting new exploration efforts. A few days before the new year, the Egyptian government announced plans to auction 22 oil and gas concessions through this month.  Promoted by Egypt’s General Petroleum Corporation and Natural Gas Holding Company, the concessions are spread across the country, including opportunities in the “Suez Canal, Egypt’s western desert, the Mediterranean sea and the Nile Delta”.

However, just as Cairo promises steps forward for new industry efforts, some foreign firms have suggested that they may be headed for the door. Notably, in January the UK’s BG Group announced that they would be forced to break production contracts with customers and lenders and would enforce force majeure in Egypt due to a reduction in output in the company’s largest area of activity. The reduction, about 15 percent over the last year for the UK’s second largest producer behind BP, was the result of Cairo’s demand that gas output be shifted to meet domestic demand rather than allowing exports.

Debts to BG and BP make up the lion’s share of the country’s overall burden, with $4.9 billion owed to the two companies.

Post-Election Progress?

Long thought to be political poison, energy subsidy reform is expected to see some progress following this month’s national elections, scheduled for the 27th and 28th. Framing reform as a catalyst of needed economic growth, Finance Minister Hany Kadry Dimian has said that the first round of reforms could occur as early as this Autumn, telling Reuters that an “ambitious program to streamline energy subsidies coupled with tax reforms that helps broaden the tax base and promote a fully fledged Value Added Tax system.”

However, any ensuing increase in consumer or industrial fuel prices runs the risk of public protests, adding to the country’s already volatile environment and hampering Cairo’s push for stability.

“Phasing out energy subsidies … there is no choice,” said this week. “That means better capital allocation will come to the market. It’s not an easy decision, has to be very well managed.”

Link to source: http://www.forbes.com/sites/christophercoats/2014/05/16/egyptian-energy-debt-looms-large-over-recovery/

Cyprus stuck in the middle with export options | Interfax

Cyprus stuck in the middle with export options

By Leigh Elston
Posted 16 May 2014 13:19 GMT

Angus Miller, commercial director at QuinSec: ‘Political factors have facilitated commercial factors.’ (QuinSec)

Angus Miller – commercial director of security consultants QuinSec and Caspian energy adviser at the Foreign & Commonwealth Office in London – spoke to Interfax about the potential for exporting East Mediterranean gas to Turkey and Europe.

Interfax: Cyprus seems completely unwilling to even discuss the transport of Israeli gas through its exclusive economic zone to Turkey until the Cyprus problem is resolved. Is that a conducive attitude towards finding resolution?

Angus Miller: I can understand that, and I wonder sometimes how much [of what is said] is for local consumption and how much is pragmatic. I found the Cypriot ministers’ talk this morning very articulate – particularly the finance minister’s.

[They were] very aware of the issues and willing to talk about them, and I see that as a big difference from three or four years ago when the attitude was very much ‘the gas is ours, we’ll all be rich and there is no [need for] discussion’.

I see a far more rational attitude towards it now, and [Cyprus is] not allowing it to cloud other issues. Harris Georgiades, the finance minister, said this morning development of the economy and the rule of law will facilitate investment and that will facilitate the industry – rather than getting the industry in first and assuming everything will be all right.

From my perspective, formerly as a government adviser and latterly as an observer, I see that as a far more wholesome, realistic approach.

Interfax: Energy developments in the past five years have brought Israel and Cyprus closer together. However, the Leviathan partners are quite openly assessing the possibility of exporting gas to Turkey, despite Cyprus repeatedly saying that under no circumstances would this be possible. 

How is that affecting the relationship between Israel and Cyprus? Is Israel undermining Cyprus by even examining a project at this stage?

AM: It might be, but it might also be used as a lever to get [Cyprus] to do something. But I think from an Israeli perspective, they’re doing what you would expect them to do and, I have to say, with a degree of transparency one would not necessarily expect given Israel’s history and its position.

Interfax: How do you think negotiations with the Leviathan partners have been influenced by the Israeli government’s desire to increase cooperation between neighbouring states? The government has made it almost impossible for the Leviathan partners to build an onshore LNG plant – which was their preferred option – so they’ve been forced to consider regional pipeline options.

Do you think this is a strategy on the part of the government – even if it has no ownership over the gas – to direct exports where it wants?

AM: Governments will always try to exert more power and authority than commercial enterprises would want. They do have strategic objectives and a regional role, and they need to secure their future.
But I think the fact they were willing to sell 60% of their gas for export [shows] the political side has actually facilitated the commercial side, which says ‘we’re not selling to a single buyer, we’re not selling into a saturated domestic market – Israel’s demand is finite – and we need to bring in revenue’. It’s about selling the gas, and if they don’t sell it then nobody benefits.

[But exports weren’t guaranteed because] there were certainly people within the Knesset in Israel objecting because, [as things stand], the thought was ‘we might reserve ourselves 40 years of gas, but if you don’t sell any of it, we’ll have 100 years of gas’.

Israel was an importer of gas from Egypt. During the Egyptian uprising the pipeline was continually blown up, and that demonstrated to Israel the importance of having the upper hand – to be the supplier rather than the importer.

That shows the importance of supplying gas to your neighbours: it’s so you have a relationship with them and are able to tie them in. On that basis, selling gas to Jordan makes a lot of sense.

Interfax: Cyprus is talking a lot about becoming an LNG hub for Europe. How viable do you think that is? Is that something regional players have  expressed an interest in?

AM: I’m curious to understand what a hub means. Turkey for years was pushing itself as an energy hub when Nabucco was being promoted by members of the EU.
Every country along the transit route was going to be an energy hub and you have to think: one supply, one market – where is the hub in that, unless you’re taking rent out all along the way?
So it has to be clearly demonstrated or articulated what a hub is. A hub can’t be a hub with only one supplier, so if it’s only Cypriot gas, it wouldn’t be a hub.

Interfax: But Cyprus also wants to be the base for exporting LNG from Israel and potentially Lebanon.

AM: It’s a big ask to build a gas processing plant on the basis that Lebanon might find some gas when it puts the right decree laws in place. It has already been through a licensing round, and that has been spectacularly unsuccessful.

The politics of Lebanon would point to it not being developed within the next 5-10 years, and that’s not a cynical poke at them at all – they have other things to worry about, and offshore resources are not a top priority.

SOURCE

Ο "Μέσι" της ενέργειας συμπαίκτης της Κύπρου! | 24h.com.cy

Ο "Μέσι" της ενέργειας συμπαίκτης της Κύπρου!

12:13, 15/05/2014Author

Μανιάνα Καλογεράκη

Τα θετικά και τα αρνητικά της παρουσίας Halliburton στη χώρα μας.Όσο καλός παίκτης κι αν είσαι, η απόδοση της ομάδος εξαρτάται και από το πόσο σπουδαίους συμπαίκτες έχεις. Αυτό ισχύει και στο γήπεδο της ενέργειας. Η συμφωνία Κύπρου - Halliburton είναι πολύ μεγαλύτερη από ότι νομίζουν πολλοί και απλώνει τα «πλοκάμια» της σε πολλά ταμπλό, όχι μόνο στο ενεργειακό.

Πρόκειται για μια μεγάλη επιτυχία του Προέδρου Αναστασιάδη, αλλά και του υπουργού Ενέργειας η επίτευξη της συμφωνίας. Η Halliburton όπως θα διαβάσετε και πιο κάτω είναι ο «Μέσι» στον τομέα του αερίου και του πετρελαίου. Μέχρι τώρα όσες εταιρείες αναμείχθηκαν ενεργά ή μη στο κυπριακό αέριο ήταν μικρότερου μεγέθους και δεν σηματοδοτούσαν την εμπλοκή των ΗΠΑ τόσο ξεκάθαρα.

Η Halliburton δεν θα ερχόταν ποτέ στην Κύπρο εάν δεν ήξερε ότι θα βγάλει χρήμα και μάλιστα πολύ. Δεν της αρκούν τα λίγα. Άρα, ένα πρώτο συμπέρασμα είναι ότι ο φυσικός μας πλούτος είναι μεγαλύτερος απ' ότι έχει εκτιμηθεί ως τώρα και σίγουρα προσοδοφόρος για εταιρείες – κολοσσούς, όπως η Halliburton.

Δεύτερον, στο παιχνίδι μπαίνει για τα καλά και το σενάριο του πετρελαίου. Είναι απίθανο να μπλέχτηκε η Halliburton, χωρίς να υπάρχει η περίπτωση εκμετάλευσης του «μαύρου χρυσού».

Τρίτον, πάντα οι κινήσεις της εταιρείας ήταν παράλληλες με εκείνες της κυβέρνησης των ΗΠΑ. Αυτό σημαίνει ότι το Κυπριακό έχει μπει για τα καλά σε τροχιά λύσης του με τις ευλογίες της Αμερικής. Αποκλείεται να ρίσκαρε η Halliburton την εμπλοκή της σε ένα τέτοιο εγχείρημα, εάν δεν ήταν σίγουρη για το μέλλον της.

Τέταρτον, ακόμα και στην περίπτωση που η λύση του Κυπριακού καθυστερήσει ή δεν προχωρήσει, τότε η Halliburton αποτελεί «ασπίδα» για τα ενεργειακά συμφέροντα της Κύπρου. Δύσκολα θα επαναληφθούν σκηνές με τουρκικά πλοία να πλησιάζουν τα ενεργειακά μας «χωράφια».

Πέμπτον, η παρουσία της Halliburton φέρνει το σενάριο της – συνολικά – ενεργειακής εκμετάλευσης της περιοχής με την εμπλοκή Κύπρου, Ισραήλ και Τουρκίας. Με τις ΗΠΑ να παίζουν τον κομβικής σημασίας ρόλο σε μια τέτοια χειρουργικής λεπτότητας συνεργασία, εξασφαλίζουν ότι θα υπάρχει αποτέλεσμα και μάλιστα το καλύτερο για όλες τις πλευρές.

Έκτον, η σχέση Κύπρου - Halliburton πρέπει να προσεχθεί ιδιαίτερα, ιδίως από τη στιγμή που δεν υπάρχει κυβερνητική εμπειρία από αντίστοιχη συνεργασία. Η εταιρεία αυτή αποτελεί έναν «μεγαλοκαρχαρία» και τέτοιοι κολοσσοί δεν χάνουν ποτέ. Συνήθως για να φτάσουν στον στόχο τους τρώνε το όποιο μικρότερο «ψάρι» βρεθεί κατά λάθος ή ηθελημένα στο δρόμο τους. Για αυτό το λόγο η συνεργασία αυτή είναι ευχή και κατάρα, ας ευχηθούμε να μείνουμε στο πρώτο σκέλος, της ευχής…

Η ανακοίνωση
Με κάθε επισημότητα, ανακοινώθηκε η συμφωνία της Κυπριακής Δημοκρατίας με την Halliburton αρχικά για τις υποστηρικτικές υπηρεσίες έρευνας για υδρογονάνθρακες στην ΑΟΖ της Κύπρου, από τον υπουργό Ενέργειας, Εμπορίου, Βιομηχανίας και Τουρισμού, Γιώργο Λακκοτρύπη και τον υπεύθυνο της πολυεθνικής εταιρείας για την Ευρώπη – Αφρική, Μαρκ Ρίτσαρντ.

Ο υπουργός Ενέργειας στις πρώτες του δηλώσεις τόνισε ότι η παρουσία της Halliburton στην κυπριακή ΑΟΖ και στις έρευνες αποτελεί μία ψήφο εμπιστοσύνης για την κυπριακή οικονομία και την Κύπρο, αλλά στην πραγματικότητα η παρουσία της Halliburton αποτελεί μία ψήφο εμπιστοσύνης για την λύση του Κυπριακού.

Ο αμερικανικός κολοσσός σε πολλές περιπτώσεις τις τελευταίες δύο δεκαετίες λειτούργησε ως ο «επίσημος» υπεργολάβος των ΗΠΑ σε όλο τον κόσμο, είτε στην ανοικοδόμηση του Ιράκ και του Αφγανιστάν μετά τον πόλεμο, είτε στα Βαλκάνια, είτε ευρύτερα στη Μέση Ανατολή, τα συμφέροντα της Halliburton και της εκάστοτε κυβέρνησης των ΗΠΑ συμβάδιζαν πλήρως.

Η επιλογή, λοιπόν, μίας τέτοιας εταιρείας να αναπτύξει τις δραστηριότητές της στην Κύπρο δεν μπορεί παρά να επιβεβαιώνει καταρχήν την ενεργή ανάμιξη των ΗΠΑ στις νέες προσπάθειες επίλυσης του Κυπριακού και κατά δεύτερον, την πεποίθηση που εκφράζουν πολλοί Αμερικανοί αξιωματούχοι ότι τα κοιτάσματα φυσικού αερίου στην ΑΟΖ μπορούν να αποτελέσουν τον «καταλύτη» που έλειπε τόσα χρόνια για την οριστική λύση.

Επίσης, ενδεικτικό της προσοχής που δείχνουν οι ΗΠΑ στο κυπριακό αέριο είναι η συνάντηση που είχε την περασμένη Τρίτη, ο υπουργός Εξωτερικών Ιωάννης Κασουλίδης με τον ομόλογό του των ΗΠΑ, Τζον Κέρι, με την ατζέντα να περιλαμβάνει τις εξελίξεις στο Κυπριακό, συμπεριλαμβανομένων και των προτάσεων για ΜΟΕ και το Βαρώσι, τις διμερείς σχέσεις των δύο χωρών, ενεργειακά και περιφερειακά ζητήματα, συμπεριλαμβανομένης και της κατάστασης στην Ουκρανία.

Ποια είναι η Halliburton
Η Halliburton είναι ένας πολυεθνικός κολοσσός στον χώρο του πετρελαίου και του αερίου με γραφεία σε περισσότερες από 80 χώρες του πλανήτη, έδρα στο Χιούστον και το Ντουμπάι και πάνω από 100.000 εργαζόμενους.

Δεν είναι υπερβολή να πούμε, ότι η Halliburton για περίπου μία δεκαετία ήταν ο επίσημος «εκφραστής» των αμερικανικών συμφερόντων στον κόσμο. Ο Ντικ Τσέινι, ο αντιπρόεδρος των ΗΠΑ επί Μπους, ήταν CEO της εταιρείας πριν τις εκλογές του 2000 και όταν εξελέγη αποσύρθηκε από την θέση του, παίρνοντας αποζημίωση ύψους 36 εκατομμυρίων δολλαρίων. Η Halliburton ήταν από τους κύριους υπεργολάβους των ΗΠΑ κατά τη διάρκεια του πολέμου στο Ιράκ μετά την 11η Σεπτεμβρίου, καθώς κέρδισε συμβόλαια για την εκμετάλλευση των πετρελαιοπηγών, για την ανακατασκευή των γκρεμισμένων από τον πόλεμο κτιρίων, ακόμη και για την τροφοδοσία των στρατευμάτων της Αμερικής κατά τη διάρκεια του πολέμου. Η εμπλοκή της ήταν τόσο μεγάλη, που πολλοί κωμικοί στις ΗΠΑ χαρακτήρισαν τον δεύτερο πόλεμο με το Ιράκ, ως τον πρώτο πόλεμο που είχε χορηγό. Την Halliburton.

Οι έρευνες που ακολούθησαν δεν απέδειξαν κάτι, αλλά η «ρετσινιά» έμεινε. Η επόμενη καταστροφή που συνδέθηκε με την Halliburton ήταν η έκρηξη στο Deepwater στον Κόλπο του Μεξικό, που προκάλεσε την μεγαλύτερη οικολογική καταστροφή των τελευταίων δεκαετιών. Η BP κατηγόρησε το προσωπικό της Halliburton ότι δεν έδειχναν την απαιτούμενη προσοχή στις ευαίσθητες λειτουργίες της πλατφόρμας, ενώ χρησιμοποίησε αμφιβόλου ποιότητας υλικά στην κατασκευή των αγωγών και της ίδιας της πλατφόρμας. Η εσωτερική έρευνα της BP, αλλά και η επίσημη αμερικανική έρευνα κατέληξαν στο συμπέρασμα ότι για την έκρηξη έχει μέρος της ευθύνης και η Halliburton.

Ένα δημοσίευμα του Fortune το 2005, μάλιστα, απέδιδε στην Halliburton συνεργασία με το Ιράν του Μαχμούτ Αχμαντίνετζαντ, το νούμερο ένα εχθρό των ΗΠΑ σύμφωνα με το δόγμα Μπους περί «άξονα του κακού». Δηλαδή, η πρώην εταιρεία του αντιπροέδρου των ΗΠΑ, Ντικ Τσέινι έκανε δουλειές με τον νούμερο ένα εχθρό των ΗΠΑ.

Τελικά, το πρόβλημα εντοπίστηκε στον κατασκευαστικό κλάδο της Halliburton, την KBR. Η εταιρεία αυτή εξαγόραστηκε από την Halliburton το 1962, προκειμένου να επεκταθεί στον τομέα των κατασκευών και σύντομα άρχισε η ραγδαία άνοδος, καθώς έχτισε το κέντρο της ΝASA στο Χιούστον, αεροπορικές βάσεις στο Βιετνάμ και τα κέρδη της ανήλθαν σε δισεκατομμύρια δολλάρια.

Το 2007 η KBR πωλήθηκε, αλλά η Halliburton συνέχισε να εμπλέκεται σε κατασκευαστικά έργα και μέχρι και σήμερα αποτελεί έναν από τους μεγαλύτερους «παίκτες» στον τομέα της ενέργειας και των υπηρεσιών γύρω από την ενέργεια.

*Το άρθρο δημοσιεύτηκε στην κυριακάτικη εφημερίδα "24" στις 11/5/2014.



Link to source: www.24h.com.cy/economy/item/56691-o-mesi-tis-energeias-sympaiktis-tis-kyprou.html

Halliburton's Interest in Cyprus | Natural Gas Europe

May 15th, 2014 12:00am 

 

Halliburton's Interest in Cyprus

Halliburton will be using Cyprus as its base of operations for the Eastern Mediterranean. Halliburton is a giant in oilfield services providing a broad array of services and products to upstream oil and gas customers worldwide, its main competitor being Schlumberger. A deal concluded between the company and the government on Friday confirms the latter. Senior company representatives met with the Cypriot President and Cyprus’ Minister of Energy Yiorgos Lakkotrypis for this purpose.

To Cyprus, the interest of this leader in the oilfield services industry in its offshore natural gas explorations comes as a confirmation of its attractiveness as an energy hub. The island is trying to position itself as a future potential contributor to Europe’s energy security. It has adopted an onshore LNG terminal as its strategic project. Once it reaches export phase, the facility would allow the island the flexibility in the choice of the customer.

Natural gas can be paramount in improving the Republic of Cyprus’ economy, severely hit by the financial crisis. The LNG terminal and the new presence of major oil and gas companies will create new jobs and hence improve employment.  Cyprus also has the ambition of becoming a key location for training and expertise in energy matters.

Cyprus has so far discovered the Aphrodite field in Block 12 of its Exclusive Economic Zone. The field has a gross mean resource of 5 Tcf, less than originally expected, and does not justify by itself the pursuit of the LNG project which costs are estimated at billions of dollars. Given that Israel has not expressed a serious interest in pooling cost and participating in the undertaking, it would require additional natural gas encounters off the island's coast to permit the effective development of the terminal.

Europe’s commitment to diversify its sources of supply is seen as an opportunity for Eastern Mediterranean countries. Whether the opportunity will be grasped depends on the timing of their entry into the energy scene.

Ahead in its offshore explorations, Israel is at a stage of drawing its energy routes to reach customers. Cyprus is awaiting the results of further exploratory drilling that will be conducted by Total and ENI/KOGAS in the year to come. Lebanon is believed to hold substantial quantities of natural gas but has not yet launched its bidding round, delayed by domestic obstacles. Lebanon is set to open its first offshore licensing round in August 2014.

Energy experts stress on the importance of regional cooperation and dialogue for the Eastern Mediterranean region to fully exploit its potential of becoming a major energy player. However, geopolitical obstacles - such as the pending maritime border dispute between Israel and Lebanon and the division of Cyprus - will first need to be resolved.

Karen Ayat is an analyst focused on energy geopolitics.  Email Karen on ayat_karen@hotmail.com. Follow her on Twitter: @karenayat

Link to source: http://www.naturalgaseurope.com/halliburtons-interest-in-cyprus

Israel, Cyprus should cooperate on security of offshore rigs, ex-navy chief says | Jerusalem Post

By YAAKOV LAPPIN, 05/15/2014

V.-Adm. Eliezer Marom says that offshore rigs are subject to threats from international terrorists, and that cooperating would heighten security.

Oil drilling platform. Photo: Lee Celano/Reuters

Israel and Cyprus should coordinate defenses of their offshore natural gas rigs in the Mediterranean Sea, former navy chief, V.-Adm. Eliezer Marom, said Wednesday during a security conference in Rishon Letzion.

Addressing an event organized by the Israel Homeland Security (iHLS) website, which focused on securing strategic facilities, Marom said an arrangement with Cyprus would benefit both countries.

It would also avoid the kind of situation in which Cypriot and Israeli maritime patrol aircraft fly near one another and monitor the same naval sectors, but transmit their data to Tel Aviv and Larnaca respectively, without any coordination.

In recent years, Israel has installed multiple layers of defenses around the offshore platforms in its exclusive economic zone, Marom added. "Looking out from the rig, one sees only water all around. But that's a deceptive view. It's not an island. There's a whole world [of defenses] around," he said.

The outer most layer of security is made up of intelligence, based on inter agency cooperation between Navy Intelligence, Military Intelligence, the Shin Bet, and the Mossad. "There are a million and one elements at sea. With al-Qaida operating around the world, we should know about the threats, and evaluate the situation," Marom said.

The second ring of security is based on the navy's ability to assemble a live picture of all naval activity. "This involves operating a whole system of sensors," Marom stated, including drones carrying naval radars that are used for aerial patrols.

Lastly, security measures around the rigs themselves form the "last line of defense," he added. "If someone manages to get to rig, a security force is needed to rapidly intercept the imminent threat."

It would be a mistake to focus on the rig's defenses as the primary measure protecting it, the former navy chief stressed, saying, "Look at the whole system."

Radars and electro-optics sensors are spread out along the Israeli coastline. They are joined by sensors on board ships, and airborne senors, as well as sensors on rigs. This enables the navy to possess the situational awareness needed to prevent attacks in time, Marom said.

Finding out "who is there, and what are their intentions is most of the work," Marom said. "Then comes the decision-making process, and responses [to potential threats]." Most security personnel protecting the rigs in Israel's exclusive economic zone are ex-navy sailors, who still do reserve service in the navy. "They know how to operate the [sensor] systems," said Marom.

Israel's integrated security approach is right for the country's regional environment, Marom said, describing the region as a "pretty wild jungle, with many threats," including Gazan terror organizations, Hezbollah in Lebanon, and armed groups in Syria.

Brig.-Gen. (ret.) Amnon Sofrin, who coordinates homeland security activities at Israel Aerospace Industry's subsidiary, Elta, listed the growing number of platforms that are available for naval security.

These include the Maritme Heron drone, which can carry a radar, and coastal long-range radars with a 200 kilometer range. "Two coastal radars can be deployed, one in Israel and the second in Cyprus," Sofrin said.

Sofrin also discussed the recently unveiled Katana unmanned boat, which has a variety of surveillance means, and remote control weapons.

Also addressing the conference was Brig.-Gen. (ret.) Ze'ev Tzuk-Ram, the deputy head of the National Security Council.

He warned of "more than a few gaps" in private sector preparations for emergencies.

Ram said he identified some 8,000 factories that are vital for national continuity, adding that "not all segments of the economy have taken into account" the consequences of some of the factories ceasing to function during a future war.


SOURCE

Tamar partners to lay 3rd pipeline | Globes

14/05/2014, 15:11

Amiram Barkat

The $300 million pipeline will double delivery capacity to 20-22 BCM a year.

The delivery of natural gas from the Tamar field will be doubled to 20-22 billion cubic meters (BCM) a year when a third pipeline from the field northwest of Haifa to the production platform offshore from Ashdod is built. The third pipeline will be able to deliver 6 BCM of gas a year to the Israeli market and the same amount to Egypt's liquefied natural gas (LNG) plant in Damietta, if the partners sign the gas supply contract with the plant's operator, Spain's Union Fenosa SA (BMAD: UNF).

The pipeline will cost an estimated $200-300 million to build, and could be completed in 2016-17.

Belying previous reports, it turns out that boosting Tamar's capacity does not depend on turning Yam Tethys's depleted Mari B field into an operational storage facility. The Tamar field, which was hooked up to the Israeli coast in March 2013, can currently supply 10 BCM of gas annually, the maximum capacity of the pipeline from the production platform to the onshore terminal at Ashdod. The double 150-kilometer pipeline connecting the production platform from wellhead has a capacity of 12 BCM a year.

Delek Group Ltd. (TASE: DLEKG) and Noble Energy Inc. (NYSE: NBL) control Tamar and own Yam Tethys. Their partners in Tamar are Isramco Negev 2 LP (TASE: ISRA.L) and Alon Natural Gas Exploration Ltd. (TASE: ALGS).

The report by the foreign consultant and the prospectus published by Delek units Avner Oil and Gas LP (TASE: AVNR.L) and Delek Drilling LP (TASE: DEDR.L) for their bond offering last week state that the compressors that will be installed at the Ashdod terminal will boost Tamar's production capacity by 50-60%. However, the consultant's report also states that in view of the limited capacity of the pipeline from the wellhead to the production platform, only the laying of a third pipeline will allow the gas field's full production potential with the compressors to be realized. The compressors will be installed by mid-2015, after a cost overrun from $216 million to $262.3 million.

The report states that the partners in Tamar will have to invest $3 billion more in the coming years to develop the field's next stages. This will double the initial investment of $3.05 billion. Tamar's current stage of development, based on five production wells, can pump only half the possible production capacity (5.7 trillion cubic feet or 28.3 BCM). Any additional production requires development of the field's second and third stages, at an investment of $2.9 billion by 2043. This payment includes $300 million that the Tamar partners will pay Yam Tethys for use of its facilities. This cost was anticipated and planned for.

Published by Globes [online], Israel business news - www.globes-online.com - on May 14, 2014
© Copyright of Globes Publisher Itonut (1983) Ltd. 2014

Noble Energy Announces Letter Of Intent With Union Fenosa Gas For The Export Of Tamar Natural Gas To Existing LNG Facility | PR Newswire

Noble Energy Announces Letter Of Intent With Union Fenosa Gas For The Export Of Tamar Natural Gas To Existing LNG Facility

 

Noble Energy logo. (PRNewsFoto/Noble Energy, Inc.)

HOUSTON, May 5, 2014 /PRNewswire/ -- Noble Energy, Inc. (NYSE: NBL) today announced the execution of a non-binding Letter of Intent (LOI) between the Tamar field partners and Union Fenosa Gas SA (UFG) for the supply of natural gas from Tamar, offshore Israel, to UFG's existing natural gas liquefaction facilities in Egypt.  The LOI contemplates a contract term of 15 years and a total gross sales quantity of up to 2.5 trillion cubic feet (Tcf) of natural gas, or approximately 440 million cubic feet per day over the period. 

Keith Elliott, Noble Energy's Senior Vice President, Eastern Mediterranean, commented, "This LOI with Union Fenosa Gas represents a major milestone for our Tamar asset and is indicative of the strong regional demand for natural gas.  The associated expansion of the Tamar field facilities, subject to final investment decision of the Tamar partners, will not only enable substantial regional exports, but it will also increase the capacity for natural gas deliveries to Israel's domestic market.  Building on the recent agreements with the Palestinian Power Generation Company, as well as the Arab Potash and Jordan Bromine Companies, this agreement continues to demonstrate our ability to accelerate value and strengthen economic growth for stakeholders across the Eastern Mediterranean region."

The price for the natural gas sold will be similar to the contract price in other natural gas sales and purchase agreements for regional export sales from Israel and is based mainly on a linkage to Brent oil prices.  All parties are targeting to finalize a binding agreement within a period of six months, which will be subject to the receipt of regulatory approvals in Israel and Egypt.

Noble Energy operates Tamar with a 36 percent working interest.  Other interest owners are Isramco Negev 2 with 28.75 percent, Delek Drilling with 15.625 percent, Avner Oil Exploration with 15.625 percent, and Dor Gas Exploration with the remaining four percent.  The Tamar field has an estimated 10 Tcf of discovered natural gas resources.

Noble Energy is a leading independent energy company engaged in worldwide oil and gas exploration and production.  The Company has core operations onshore in the U.S., primarily in the DJ Basin and Marcellus Shale, in the deepwater Gulf of Mexico, offshore Eastern Mediterranean, and offshore West Africa.  Noble Energy is listed on the New York Stock Exchange and is traded under the ticker symbol NBL.  Further information is available at www.nobleenergyinc.com.

This news release contains certain "forward-looking statements" within the meaning of federal securities law.  Words such as "anticipates," "believes," "expects," "intends,"  "will," "should," "may," and similar expressions may be used to identify forward-looking statements. Forward-looking statements are not statements of historical fact and reflect Noble Energy' s current views about future events. They include the execution of definitive agreements between the Leviathan partners and Woodside, estimates of oil and natural gas reserves and resources, estimates of future production, assumptions regarding future oil and natural gas pricing, planned drilling activity, future results of operations, projected cash flow and liquidity, business strategy and other plans and objectives for future operations. No assurances can be given that the forward-looking statements contained in this news release will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks include, without limitation, the volatility in commodity prices for crude oil and natural gas, the presence or recoverability of estimated reserves, the ability to replace reserves, environmental risks, drilling and operating risks, exploration and development risks, competition, government regulation or other actions, the ability of management to execute its plans to meet its goals and other risks inherent in Noble Energy's business that are discussed in its most recent annual report on Form 10-K and in other reports on file with the Securities and Exchange Commission. These reports are also available from Noble Energy's offices or website, http://www.nobleenergyinc.com. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Noble Energy does not assume any obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

The Securities and Exchange Commission requires oil and gas companies, in their filings with the SEC, to disclose proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. The SEC permits the optional disclosure of probable and possible reserves, however, we have not disclosed the Company's probable and possible reserves in our filings with the SEC. We use certain terms in this news release, such as "discovered natural gas resources," which are by their nature more speculative than estimates of proved, probable and possible reserves and accordingly are subject to substantially greater risk of being actually realized. The SEC guidelines strictly prohibit us from including these estimates in filings with the SEC. Investors are urged to consider closely the disclosures and risk factors in our most recent annual report on Form 10-K and in other reports on file with the SEC, available from Noble Energy's offices or website, http://www.nobleenergyinc.com. 

SOURCE Noble Energy


RELATED LINKS
http://www.nobleenergyinc.com


Link to source: http://www.prnewswire.com/news-releases/noble-energy-announces-letter-of-intent-with-union-fenosa-gas-for-the-export-of-tamar-natural-gas-to-existing-lng-facility-258001741.html

TANAP capacity to hit 31 bcm in 2026: SOCAR | AzerNews

TANAP capacity to hit 31 bcm in 2026: SOCAR

12 May 2014, 13:24 (GMT+05:00)

inShare

By Aynur Jafarova

The capacity of the Trans-Anatolian (TANAP) gas pipeline project will annually exceed 31 billion cubic meters of gas in 2026.

The news was announced by Khoshbakht Yusifzade, the First Vice-President of Azerbaijan's state energy company SOCAR in an article published in the Respublika newspaper on May 8.

Yusifzade also noted the pipeline's capacity will reach 23 billion cubic meters of gas in 2023.

TANAP, developed by Azerbaijan's state energy company SOCAR in collaboration with Turkish Botas and the energy company TPAO, will deliver Shah Deniz gas to the Turkish-Greek border from eastern Turkey.

The initial capacity of the pipeline will be 16 billion cubic meters of gas a year. TANAP will link up with Trans-Adriatic (TAP) pipeline on the Turkish-Greek border.

"About six billion cubic meters of gas will be delivered to Turkey and the rest to Europe. Thus, the Southern Gas Pipeline idea will be fully implemented," Yusifzade noted.

He went on to add that at the initial stage, the gas, to be produced within the second stage of development of Azerbaijan's giant Shah-Deniz field, will be delivered to Azerbaijan, Georgia, Turkey, Greece, Albania, Italy and Bulgaria. At the following stages, Montenegro and Croatia will also be supplied with this gas. Moreover, it is planned to deliver the Caspian Sea gas to Romania, Hungary and Austria in the subsequent years.

TANAP shareholders plan to lay the pipeline's foundation in the second quarter of 2014, and commission it in 2018. The costs of the TANAP project are estimated at $10 billion to $11 billion.

Link to source: http://www.azernews.az/oil_and_gas/66922.html

High price for Israeli gas, reports say (Updated) | Cyprus Mail

May 12, 2014 - 13 Comments

High price for Israeli gas, reports say (Updated)

 

 

 

 

 

Delek and Ratio Oil Exploration, partners in Leviathan gas field, are offering gas at $15 per million thermal units

By Elias Hazou

THE NATURAL Gas Public Company (DEFA) said on Monday it had no connection to media reports claiming the partners in the Leviathan gas field have offered to sell Cyprus natural gas at a price that is 2.5 times higher than that in Israel.

In a statement, DEFA said it was “compelled to comment” on the reports, and stressed that the financial proposals submitted to it “have not been opened and remain closed in a secure place”.

A day earlier, Israeli website Globes wrote that Leviathan partners Delek and Ratio, bidding in the tender published by DEFA, are offering gas at $15 per million thermal units (BTU), compared with $6 per million BTU in current Israeli gas supply contracts.

Citing its sources, Globes said there are two main reasons for the high price: the cost of laying a pipeline to Cyprus and because Cyprus is paying $20 or more per million BTU for alternative fuels.

The website named also three other bidders in the Cypriot tender: the Dutch Vitol Group; State Oil Company of Azerbaijan Republic (SOCAR); and Greek M&M Gas Co SA.

Sources told Globes that Vitol Group was the only bidder currently able to promise supplying LNG during the relevant period, but at a higher cost than Israeli natural gas. However, it also said that Delek and Ratio’s offer was the “favourite” bid.

The Leviathan partners announced last month on the Tel Aviv Stock Exchange that they put in a bid to sell gas to Cyprus via a pipeline.

Due to confidentiality agreements, DEFA will not name the bidders or disclose any other details. It’s understood that at this time DEFA is examining the technical proposals, after which it will open the sealed dossiers containing the second component of the bids – the financial offers.

Assuming the Globes report is accurate, the financial bid from Delek and Ratio is very close to that made by Itera during a previous tender last year. Itera’s final, all-in price was understood to be $15.5 per million BTU. Despite being the lowest bid, DEFA had rejected Itera’s offer on the grounds that it did not lower electricity generation costs and shortly later terminated that tender.

Under the current tender, DEFA is not bound to accept any proposal made to it. As DEFA itself states, the evaluation “will assess the likelihood of a reduction in overall generation costs”.

Reports in the local press have suggested that Cyprus would accept a price of between $11 and $12 per million BTU – far off from the $15 supposedly now being offered by the Leviathan partners.

Gas expert Charles Ellinas said the Israeli companies may be quoting $15 as a starting point, but that the price could drop subsequently during the course of final negotiations with DEFA.

“Being shrewd operators, Delek will of course be looking to maximise their profits,” said Ellinas.

Other sources tell the Mail that Delek have a better lock than anyone else on what price range the Cypriots would go for. First, the Israelis are aware of Itera’s price in the last tender. Secondly, Delek was involved in a proposal last year for a spar platform to pipe gas ashore from the Aphrodite well at $12 per million BTU, which is considered the breakeven point from the Cypriot standpoint.

Moreover, the Israelis are more than likely aware they have a leg up over the competition. If the price of Israeli gas is $6, and the cost of a pipeline to Cyprus adds another $3 or $4 per million BTU, then Delek’s final cost would be in the region of $9 to $11. This figure does not include the profit margin.

Speaking at an energy conference in Cyprus last week, an independent Israeli consultant estimated that laying a pipeline to Cyprus would boost the price of natural gas by $2.50 per million BTU, and that the final price would be $10-18 per million BTU.

Under their offer, Delek would pipe the gas straight to the electricity utility’s flange at Vassilikos, and do not need to built infrastructures other than the pipeline.

By contrast, the other bidders have to buy liquefied natural gas (LNG) from the market. LNG in southwest

Europe is currently going for around $14 per million BTU. Already that would give Delek the edge. On top of that, the other bidders would need to build an FSRU( floating storage and regasification unit), further increasing their expenditures and thus the price they would quote to DEFA.

The Cypriot tender aims to secure so-called “interim” supplies of gas for domestic power generation. The island nation is reliant on heavy fuel oil imports to power its grid, and is seeking to cut its energy bill by switching to the cheaper natural gas. The tender is for the supply of 0.7-0.95 billion cubic metres (bcm) of gas in 2017-25 (at the latest).

However Globes also reports that the Leviathan gas field, from which gas would be piped to Cyprus, is now not expected to start deliveries before late 2017 or early 2018 – later than the delivery deadline of June 30, 2017 set by DEFA.

Initially Leviathan was expected to start deliveries in general in 2016, but the field’s operators Noble Energy have pushed back the date by a year to late 2017.

Noble Energy said recently their objective was and remains to develop the gas field in the fourth quarter of 2017.


Link to source: http://cyprus-mail.com/2014/05/12/high-price-for-israeli-gas-reports-say/

Delek Drilling, Avner Oil raise $2 billion for Leviathan field | Reuters

Delek Drilling, Avner Oil raise $2 billion for Leviathan field

JERUSALEM Sun May 11, 2014 3:18am EDT

May 11 (Reuters) - Israel's Delek Drilling and Avner Oil have raised $2 billion in an international bond offering to help fund the development of the huge Leviathan natural gas field off the coast of Israel.

An announcement by the firms said demand of $13.5 billion was the largest ever for an Israeli enterprise and it was over-subscribed by 650 percent.

"This shows unprecedented confidence by European, U.S. and Israeli financial markets in the vision of Delek Drilling, Avner and Delek Group," Avner Chairman Gideon Tadmor said.

"The development of the Leviathan reserve will allow the continuation of the Israeli natural gas revolution and regional and international export that will significantly strengthen Israel's geo-political standing," he added.

Avner and Delek Drilling are major shareholders in the group developing Leviathan, which holds an estimated 19 trillion cubic feet of gas and is expected to go online around 2017. Much of the reserves are earmarked for export.

Company executives held a road show to attract investors in the United States, Europe and Israel. Five series of bonds were issued, each with its own fixed interest rate, and with the longest maturing in 2025, the companies' statement said.

 

 

Texas-based Noble Energy is the field's operator with a 39.66 percent stake. Avner and Delek Drilling, subsidiaries of Delek Group, hold a combined 45.34 percent, and Ratio Oil has the remaining 15 percent.

The partners are due to receive another large sum from the sale of a 30 percent stake in the field to Australia's Woodside Petroleum. However the deal, worth up to $2.7 billion deal, has been held up over a tax disagreement between Woodside and Israel. [IDn:nL4N0MO52B]

The partners have signed a 20-year deal with a Palestinian power company to sell $1.2 billion worth of gas, and earlier this month put in a bid to sell gas through a pipeline to Cyprus. (Writing by Ori Lewis and Ari Rabinovitch)
Link to source: http://www.reuters.com/article/2014/05/11/delek-bonds-natgas-idUSL6N0NX03520140511