Larnaca to decide on renewal of gas facilities in port - CYPRUS MAIL

JANUARY 29TH, 2016, by George Psyllides

THE Larnaca municipal council will decide on Monday whether to grant a six-month extension to a company that provides logistics for oil and gas exploration.

The request was discussed by the town’s development committee while some 20 residents protested outside.

The installations at Larnaca port will be used by energy giant Total that will be undertaking exploratory drilling off the island’s coast.

East Med Overview: Diplomatic Efforts for Increased Energy Cooperation - NATURAL GAS EUROPE

January 29th, 2016

CYPRUS

Last week’s meeting between Cyprus’ president Nicos Anastasiades and Eni’s CEO Claudio Descalzi confirmed the Italian company’s revived interest to explore Cypriot waters. Descalzi confirmed Eni’s commitment to continue drilling off the island’s coast during a meeting on the sidelines of the World Economic Forum in Davos. Eni recently extended its licence to drill in Cyprus’ EEZ following the discovery of the huge Zohr field in Egyptian waters. Zohr is estimated to hold up to 30 trillion ft³ of natural gas (Tcf) and its discovery has boosted confidence in the region’s potential. Eni's renewed commitment in Cyprus comes at a difficult time in the hydrocarbon sector due to the plunging oil prices.

Egypt looks to UK as hub model - INTERFAX

ELNG in Idku. Egypt hopes its existing facilities can be used by 
other producers in the region. (BG Group)

Rachel Williamson, 28 January 2016

Egypt is looking to the UK as a model for its plans to become a regional energy hub, and bringing in trading companies will be vital to achieve this goal, according to Khaled Abu Bakr, executive chairman of the country’s largest gas distribution company, Taqa Arabia.

Abu Bakr told Interfax that North Sea success stories would be a good guide for the country, which has been producing gas to export around the world for decades but is now looking to become a more regional player.

With domestic gas and LNG imports being reprioritised for certain industries, including the power sector, the time is ripe for trading companies to enter Egypt’s gas market, which is slowly liberalising, and become the new middlemen between producers and customers.

Israel, Greece and Cyprus to explore gas pipeline to Europe | Reuters

Thu Jan 28, 2016
NICOSIA | BY MICHELE KAMBAS

Cypriot President Nicos Anastasiades (C), Israeli Prime Minister Benjamin Netanyahu (L) and Greek Prime Minister Alexis Tsipras shake hands at the Presidential Palace in Nicosia, Cyprus January 28, 2016.

Greece, Israel and Cyprus will explore the possibility of building a natural gas pipeline to Europe, tapping huge gas reserves discovered in the eastern Mediterranean in recent years, leaders of the three countries said on Thursday.

Israel has reported some of the largest gas finds in the past decade and EU member Cyprus confirmed a discovery in 2011, making both potential exporters.

Groups of specialists will be appointed to assess the pipeline idea, and plans are proceeding to create a subsea electricity cable to Europe, Israeli Prime Minister Benjamin Netanyahu told reporters in Nicosia.

We lost trust in the government of Israel, claims Israel's gas monopoly leader - NATURAL GAS EUROPE

January 28th, 2016

Noble Energy, the operator of major resources offshore Israel, told the country’s high court of justice that it had lost trust in the government of Israel.

"We arrived at this situation because the Israeli regulatory system is broken, and this situation causes Noble Energy's owners, shareholders and managers to lose trust in the government of Israel and its declarations," Noble said.

The declaration was made despite the fact that Noble and the Israeli government are both respondents, on the same side, in a hearing at the High Court of Justice on February 3. At that hearing, the court will consider four petitions to block the implementation of the natural gas regulatory framework.

Cyprus-Israel-Greece Trilateral Summit Declaration - THE PRIME MINISTER OF ISRAEL

THE PRIME MINISTER OF ISRAEL·THURSDAY, JANUARY 28, 2016

We, Nikos Anastasiades, President of the Republic of Cyprus, Benjamin Netanyahu, Prime Minister of the State of Israel, and Alexis Tsipras, Prime Minister of the Hellenic Republic, having met in Nicosia today, 28th January 2016, have agreed to strengthen the cooperation between our three countries in order to promote a trilateral partnership in different fields of common interest and to work together towards promoting peace, stability, security and prosperity in the Mediterranean and the wider region.

In light of the underlying challenges and opportunities, and given the fluid and unstable situation in the region, our three countries, which share common democratic values, principles, and interests, have, to this end, agreed on the importance for closer cooperation and a coordinated set of policies.

Our partnership is not exclusive in design or nature, and we are ready to welcome other like-minded actors to join our efforts to promote coordination and cooperation, as well as regional peace and stability.

Our View: Government takes a prudent stance on future gas revenues - CYPRUS MAIL

January 28, 2016

SPEAKING at a meeting of the European Parliament’s Economic and Monetary Affairs Committee on Monday, about the Cyprus economy three years after the bailout, finance minister Harris Georgiades said the government had not included potential revenue from its gas finds in its medium-term economic planning. He said that was the policy the government had chosen and described it as a “wise choice.”

He told the committee: “Obviously the revenue stream, when it comes in four or five years, it will be very welcome. But we chose to assume zero revenues, in order to achieve whatever else is necessary in order to consolidate our finances and manage our debt.” It was a prudent decision because nobody could safely predict when there will be revenues from natural gas and how much these would be. There are too many unknowns, the energy market being totally unpredictable, to make any assumptions about gas revenue.

Noble’s Cash Crunch Risks Snagging Leviathan Plans - HAARETZ

U.S. energy company has to come up with $2.5 billion at time it’s being hit by plunging oil prices, growing debt.

Eran Azran Jan 27, 2016 12:49 AM

Noble Energy, the key player in the Israeli gas industry as operating partner in the Tamar and Leviathan natural gas fields, is facing a financial crunch just as it is about to embark on a multibillion-dollar investment to bring Leviathan into production.

Developing Leviathan – by far Israel’s biggest gas reserve – will cost between $5 billion and $6 billion. Noble’s share amounts to $2.5 billon, with the rest coming from its Israeli partners, led by Yitzhak Tshuva’s Delek Group.

Shell shareholders vote in favour of the recommended combination between Shell and BG - ROYAL DUTCH SHELL

The Hague, January 27, 2016

Royal Dutch Shell plc (“Shell”) announces the poll result from today’s General Meeting held at the Circustheater, Circusstraat 4, 2586 CW, The Hague, The Netherlands.

Shell shareholders expressed their support for the recommended combination with BG Group plc (“BG”) by carrying the resolution to approve and implement the transaction.

Full details of the resolution passed, together with explanatory notes, are set out in the Shell shareholder circular dated December 22, 2015 (the “Circular”), including notice of the General Meeting, which is available at www.shell.com. The resolution was proposed as an ordinary resolution.

BG Group seals deal over 'Aphrodite' gas field share - FAMAGUSTA GAZETTE

US-based Noble Energy remains the main operator of "Aphrodite" with a 35% share, while BG acquires another 35% and Delek Group retains the remaining 30%, split equally between Delek Drilling and Avner Oil.
CYPRUS - FAMAGUSTA GAZETTE•Wednesday, 27 January, 2016

A deal with BG Group for a 35% equity in the "Aphrodite" gas field, offshore Cyprus, is expected to be sealed this afternoon in Nicosia.

According to an official announcement, Energy Minister Yiorgos Lakkotrypis and representatives of Noble Energy International Ltd, Delek Drilling Limited Partnership, Avner Oil Exploration Limited Partnership and BG Cyprus Ltd will sign, at the Ministry, a deal for conferring to the latter a 35% share of their Exploration License at block 12, in the exclusive economic zone of the Republic of Cyprus.

EU co-organises an awareness session on gas sector reform - DAILY NEWS EGYPT

This awareness session is considered part of the current work and technical assistance offered by the European Union to the Egyptian Authorities

27/1/2016, by Maydaa El-Nadar

To strengthen the draft law of the regulatory activities of the Egyptian gas market, which was approved by the Egyptian Cabinet on the 28 October 2015, the European Union is organising an “Awareness Session” about the reform of the Egyptian gas market.

Turkey Hunts for Alternatives to Russian Energy - EURASIANET.ORG

January 27, 2016
by Dorian Jones and Durna Safarova

With Russian-Turkish relations bottoming out after Turkey’s downing of a Russian military jet last November, Ankara is scrambling to reduce its dependency on Russian gas. But the help it needs from post-Soviet energy producers may not be swift in coming.

The Caspian Sea state of Azerbaijan, Turkey’s closest ally in the post-Soviet region, was the first place Turkish Prime Minister Ahmet Davutoğlu visited after the November 24 downing incident. And most recently, Davutoğlu met with Azerbaijani President Ilham Aliyev in Davos on January 20.

“Two nations, one people” is a popular mantra that officials in both Turkey and Azerbaijan use to describe their relationship. And yet when it comes to energy, there seems to be limits to this unity.

Greek DEPA changes course - NATURAL GAS EUROPE

January 27th, 2016

The new CEO of Greek state gas supplier Depa, Theodoros Kitsakos, revealed the company's mid-term strategy earlier this month in a press conference. Included in the new strategy are adjustments for a number of important projects.

As part of the strategy, the company's expectation of using new LNG infrastructure has been downgraded. Additionally, as a main aim of the mid-term strategy, the company is seeking to increase domestic gas use and is examining the possibility of reenacting both the Turkish Stream and East Med. pipeline routes.

Leviathan partners expect anchor sale agreement - NATURAL GAS EUROPE

January 26th, 2016

If all goes to plan, Anglo-Dutch major Shell will replace BG as the buyer in a soon-to-be-signed gas supply deal with Israel's Leviathan Partners, according to sources. Shell is widely expected to take over BG following a positive vote on the transaction January 28.

BG and the Leviathan partners signed a memorandum of understanding in the summer of 2014 for 8bn m³/yr -- about half the giant field's output – and the terms have now been fully hammered out. A firm contract will be signed no later than by the end of the first quarter but with Shell as the buyer, the sources said.

The details had already been finalized, according to the sources, but the long delay in approving the natural gas regulatory framework in Israel prevented it from being signed. The final investment decision on Leviathan is now expected late this year.

Well positioned to play key role in EU energy security - CYPRUS MAIL

January 26, 2016 CYPRUS

Cyprus is well-positioned to play a key role in the European Union’s drive for energy security although several factors must coalesce for that to happen, foreign minister Ioannis Kasoulides told MPs on Tuesday.

The first factor, the minister said, is the increased likelihood of further natural gas finds in Cyprus’ Exclusive Economic Zone (EEZ) following the recent discovery of the massive Zohr reservoir in Egyptian waters and in close proximity to the island’s EEZ.

That development has rekindled energy companies’ interest in Cyprus’ EEZ, said Kasoulides.

French energy giant Total hope to drill an exploratory well in their Block 11 concession this coming autumn, he noted.

The second aspect relates to the synergies which Cyprus is currently developing with its neighbours.

Bapetco’s budget ratified as Shell increased investment to $438 million this year - ENERGY EGYPT

January 26, 2016, ENERGY EGYPT

Drilling of 14 exploratory and developmental wells with 100% of drilling plan achieved during first half of current fiscal year.

Badr El Din Petroleum Company (Bapetco) General Assembly Meeting, chaired by Eng. Tarek El-Molla, Minister of Petroleum and Mineral Resources, ratified the company’s amendment to the fiscal year 2015/2016 budget, and also ratified the budget for the fiscal year 2016/2017.

The meeting was held in the presence of Dr. Sherif Sousa, First Undersecretary of the Ministry of Petroleum for Gas Affairs, Eng. Mohamed Taher, First Undersecretary of the Ministry of Petroleum for Petroleum Affairs, Eng. Mohamed El-Masry, CEO of Egyptian General Petroleum Corporation (EGPC), Eng. Khaled Abdel Badie, Head of Egyptian Natural Gas Holding Company (EGAS), Mr. Aidan Murphy, Chairman of Shell Egypt, Mr. Tom Maher, General Manager of Apache Egypt, as well as the Chairmans of French Engie and Chinese PetroChina.

Turkish-Indian JV Awarded TANAP construction tender - NATURAL GAS EUROPE

January 26th, 2016

The consortium for the Trans-Anatolian gas pipeline (TANAP), which will ship Caspian natural gas from the Shah Deniz-2 field in Azerbaijan to Turkey's western border, has chosen a joint venture of Turkey's Limak and Indian Punj-Lloyd to construct a 459-kilometre section of the pipeline. The total length of the pipeline is 1,800 km.

According to a statement from TANAP, the joint venture will build the 48-inch Lot-4 line. It will start from Eskisehir, on Turkey’s western border, and at the Ipsala on the Turkish-Greek border.

Eleven firms were invited for the tender on 8 June 2015. The contracts with the winning joint venture were signed last week.

LNG FSRU 'BW Singapore' in full operation in Ain Sokhna, Egypt - BW GROUP

Singapore, January 25, 2016

IN CONTINUATION OF press release dated 4 August 2015 where BW announced the winning of an EGAS tender for the provision of regasification services in Ain Sokhna, Egypt, LNG Floating Storage and Regasification unit (FSRU) BW Singapore has been in full operation since October 2015.

The vessel was delivered and commissioned in three months from the date of contract-signing, which is a world record. Since operations commenced, BW Singapore has carried out more than 10 Ship-to-Ship (STS) operations and sent out between 500-600 mmscf/d of natural gas on a daily basis into the national grid. This was made possible by the professionalism and competence of the team at The Egyptian Natural Gas Holding Company (EGAS), who continues to provide professional support to the BW team.

Blast hits Egypt's Damietta-Port Said gas pipeline - AHRAM ONLINE

Ahram Online , Monday 25 Jan 2016

Authorities say the fire which resulted from the blast has been contained and an investigation into its cause is underway

A blast hit a gas pipeline in the coastal governorate of Damietta in Egypt on Sunday, causing a massive fire but leaving no casualties.

The pipeline connects Damietta, which is around 180km north of Cairo, and the nearby coastal city of Port Said.

The blast left no casualties, Damietta’s governor Ismail Abdel-Hamid said.

Facing threats and opportunity, Israel forges Mediterranean alliance - CHRISTIAN SCIENCE MONITOR

Baz Ratner/Reuters - Israeli Prime Minister Benjamin Netanyahu
 climbs out after a visit inside the Rahav, the fifth submarine in the
 Israeli Navy's fleet, after it arrived in Haifa port January 12, 2016

SHIFT IN STRATEGIC THINKING Israelis who once had their backs to the water are looking to the eastern Mediterranean to find partner countries to exploit natural gas reserves and bolster Israeli security.

By Joshua Mitnick, Correspondent
JANUARY 25, 2016

TEL AVIV — With Israel’s flag flapping over the country’s newest piece of military hardware, Prime Minister Benjamin Netanyahu descended very carefully into the nuclear submarine INS Rahav at its inaugural ceremony this month in Haifa.

There’s been little tentative, however, about Israel’s recent push westward into the Mediterranean Sea with a mix of added naval force and energy diplomacy.

Survey vessel looking for best route for undersea power cable - CYPRUS MAIL

Odin Finder left Limassol on Monday

January 25, 2016, By Staff Reporter

A research and survey vessel began on Monday a reconnaissance study for the optimum route for a proposed high-voltage subsea power cable connecting Israel and Cyprus to the European mainland.

The Italy-flagged Odin Finder, owned and operated by Italian company GAS S.r.l, set out from the port of Limassol in the morning.

According to Marine Traffic, the vessel’s destination is the port of Piraeus, Greece, with an estimated time of arrival there at 12:00 (UTC) on Thursday.

The ship is equipped to carry out various operations, including bathymetry, survey, geotechnical and ROV surveys.

Leviathan gas deal down to the wire ahead of BG-Shell merger vote - ALBAWABA

The gas export deal is under threat due to the ambivalence
of Shell shareholders. (File photo)

January 25, 2016 via SyndiGate.info
Shareholders will vote this week on Shell's takeover bid for BG, which operates the LNG plant at Idku.

The partners in the Leviathan gas reserve need to act fast if they want exports to Egypt to go ahead. Unless an agreement is signed within the next few days with BG, such an agreement is liable to be delayed substantially, at best, or, at worst, to disappear from the agenda. The reason is that BG and Royal Dutch Shell shareholders are due to vote this week on the takeover of the former by the latter. Shell, which operates in Qatar and may do so in Iran as well, will think twice before signing a deal in Israel.

Correction: Zohr’s Recoverable Reserves are 26 Tcf - EGYPT OIL & GAS

Sunday, 24th January 2016

Eng. Mohamed Al Masry, Chairman of EGPC has estimated that between 23 and 26 tcf of gas (reserves) are expected to be extracted from Eni’s gas field, Zohr, noting that drilling will start at the beginning of 2017.

According to Amwal Al Ghad, Eni started drilling 20 wells in December of 2016, at an investment cost of $12b.

Egypt’s current natural gas reserves are estimated at 57.04 tcf, according to EGPC sources.

It is important to note that the original version of this news piece featured an incorrect estimate.

SOURCE

Egypt's Zohr gas field estimate halved - report - GLOBES

24/01/2016, Hedy Cohen

The Zohr gas field's 30 TCF estimate has been cut to 16 TCF, the Egyptian media reports, giving Leviathan new relevance.

The original estimate of 30 TCF in Eni's Zohr gas field has been cut to 16 TCF, the Egyptian media reports. Last August, Italian energy company Eni declared the Zohr gas field as a huge discovery with estimated reserved of 30 TCF.

Egyptian Refining Co to start output at country’s largest refinery in Q1 2017 - ENERGY EGYPT / REUTERS

January 24, 2016

The Egyptian Refining Company, a subsidiary of one of Egypt’s largest investment companies Qalaa Holdings, will start production at its $3.7 billion oil refinery in the first quarter of 2017, managing director Mohammed Saad said.

The refinery, which has a capacity to produce 4.2 million tons of refined products annually, the largest in Egypt, will start trial production by the end of 2016, Saad said.

“We have completed so far 80 percent of the construction work and we will complete the rest in November then start trial operations before we start production in the first quarter of 2017,” he said.

Centre of attraction | in-cyprus.com (Cyprus Weekly)

Charles Ellinas — 24/01/2016

During his visit to Cyprus, Maros Sefcovic, EU Vice-President and Commissioner for Energy, stressed the importance of Cyprus to the EU’s energy union strategy and said that gas discoveries in Egypt, Israel and Cyprus are very promising.

The needs in the region are substantial but it seems that there will be a potential for export and possibly the development of a regional gas hub.

Gas trading hubs are well established throughout Western Europe but elsewhere the concept is often misunderstood, especially around the East Med.