Turkey-Israel pipeline: no approval from Cyprus - ENERGY GLOBAL

In order for the Turkish-Israel natural gas pipeline to cross through Cypriot territory, Turkey must mend its relationship with Cyrpus.

Recently, Turkey and Israel reached a rapprochement, which saw the end of a six year soured relationship. It is now hoped that Israel can agree to export natural gas from its offshore Mediterranean fields to Turkey.
Cyprus

It is believed that Cyprus, which has been split* into two parts (the Turkish-Cypriot enclave and the Greek-Cypriot internationally recognized, EU-member side), must first unite in order for the pipeline to be approved.

Petrobel lets Zohr pipeline, well contract - OIL & GAS JOURNAL

HOUSTON, July 7 2016
ByOGJ editors

Belayim Petroleum Corp. (Petrobel) has let an engineering, procurement, construction, and installation (EPCI) contract to Saipem for work in the accelerated development of Zohr natural gas field offshore Egypt (OGJ Online, June 20, 2016).

The contract covers installation of a 26-in. gas export trunkline and 14-in. and 8-in. service trunklines as well as EPCI work on six wells in water as deep as 1,700 m.

The work is to be completed in time for the start of production in 2017.

Petrobel, a joint venture of Eni SPA and Egyptian General Petroleum Corp., is developing Zohr on behalf of PetroShorouk, a joint venture of Egyptian Natural Gas Holding Co. and Eni.

Cyprus to look at importing LNG - CYPRUS MAIL

JULY 7TH, 2016 ELIAS HAZOU

The government has ordered a study to be carried out to look into ways of importing Liquefied Natural Gas (LNG) for power generation but also broadly for industrial purposes.

A source in DEFA confirmed to the Cyprus Mail a report appearing in Politis on Thursday.

“DEFA has received a mandate from our shareholder [the Energy Ministry] to carry out a study concerning the options for supply of natural gas in the form of LNG for the market,” the source said.

Libya to resume oil exports from biggest ports within a week - WORLD OIL

By HATEM MOHAREB on 7/7/2016

TRIPOLI (Bloomberg) -- Libya will resume crude exports from two of its biggest oil ports within one week after clashes that forced Islamic State militants to pull out of the area, according to the commander of the petroleum guards in the region.

Crude exports will resume from Es Sider, the country’s biggest oil port, and Ras Lanuf, the third-largest, and which have been closed since 2014, Ibrahim al-Jedran, a regional commander of Libya’s Petroleum Facilities Guard, said in a phone interview. The exports will be under the authority of the Tripoli-based Government of National Accord, which is seeking to reunify the divided country, he said.

Some “minor technical problems” related to the transportation network between the oil storage tanks and the Es Sider and Ras Lanuf oil ports due to damage, inflicted during clashes since last year, will be fixed within a few days, al-Jedran said.

Cyprus moves to block Israel-Turkey gas pipeline - INTERFAX

By Verity Ratcliffe, 7 July 2016 12:37 GMT

Israel and Turkey signed an agreement to normalise relations last week after a six-year diplomatic spat, raising hopes that Israeli gas could be exported to Turkey by pipeline. However, Cyprus has indicated it will block the construction of a Turkish pipeline that passes through its territory.

When asked about the project, Cypriot government spokesperson Nicos Christodoulides told reporters on Tuesday that Cyprus would oppose it because the country is under occupation by Turkish forces and the pipeline would serve Turkey.

The two parts of Cyprus would need to be unified for a pipeline to be approved, he added.

The island of Cyprus has been split into two parts – one consisting of Greek Cypriots and the [ethnically cleansed, formerly 90% majority Christian, 90% of properties owned by them] controlled by Turkish-Cypriots – since 1974, with the latter not recognised by the international community. The result is that the Republic of Cyprus does not have diplomatic relations with Turkey.

Saipem tapped for work in giant gas field offshore Egypt | UPI

Italian company lands more than a billion dollars in contracts, with the bulk going to Mediterranean work.

By Daniel J. Graeber, July 7, 2016 at 8:41 AM

MILAN, Italy, July 7 (UPI) -- One of the most significant parts of a package of deals worth more than $1.5 billion is for a contract tied to a gas field offshore Egypt, Italy's Saipem said.

Italian company Saipem secured a package of deals valued at $1.6 billion for engineering and construction at offshore projects, the most significant of which is for work associated with the Zohr natural gas field in the Mediterranean Sea.

"We are very pleased to have been selected for the important objective of delivering first gas from Zohr before the end of 2017," Saipem CEO Stefano Cao said in a statement.

Israeli energy company to accelerate development of Cypriot natural gas field - FAMAGUSTA GAZETTE / XINHUA

"We would like to accelerate this and move this project forward as soon as possible," said Friedman.

FAMAGUSTA GAZETTE•
Wednesday, 06 July, 2016

Israel's Delek energy group which owns one third of a Cypriot offshore natural gas field is working on plans to accelerate its development, a group official said on Tuesday.

Delek CEO Yaniv Friedman said after meeting Cypriot President Nicos Anastasiades that his company is committed to the cooperation between Cyprus and Israel and in developing a natural gas reserve known as Aphrodite.

"We would like to accelerate this and move this project forward as soon as possible," said Friedman.

Energy giants give assurances of commitment to Cyprus operations (Updated) - CYPRUS MAIL

Anastasiades, Cyprus with Descalzi, ENI

JULY 5TH, 2016 ELIAS HAZOU

Senior executives of two energy companies with hydrocarbons concessions in the island’s Exclusive Economic Zone (EEZ) gave assurances on Tuesday of their commitment to their Cypriot operations.

President Nicos Anastasiades held successive meetings in Nicosia with delegations of Israeli energy conglomerate Delek and then Italian giants ENI. Also present at the talks was Energy Minister Giorgos Lakkotrypis.

Delek are partners in the consortium which holds the concession on the Aphrodite prospect in offshore Block 12. The Israeli company have a 15 per cent working interest in the project, and are also partners – with Noble Energy – in Israel’s Leviathan gas field.

Noble Energy sells three percent interest in Tamar field, offshore Israel, for $369 million - NOBLE ENERGY

July 5, 2016

Houston, July 05, 2016 (GLOBE NEWSWIRE) -- Noble Energy, Inc. (NYSE: NBL) ("Noble Energy" or "the Company") today announced that it signed a definitive agreement to divest a 3 percent working interest in the Tamar field, offshore Israel, to the Harel Group ("Harel"), a leading insurance provider and pension manager in Israel, in partnership with Israel Infrastructure Fund ("IIF"), Israel's largest infrastructure private equity fund. The transaction value of $369 million is based upon a gross pre-tax Tamar valuation of approximately $12 billion and is subject to purchase price adjustments between January 1, 2016 and the closing date. Closing for the transaction is anticipated in the third quarter of 2016, subject to customary terms and conditions, with after-tax proceeds received expected to be approximately $275 million. Under terms of the agreement, Harel and IIF have the option to elect, before closing, to purchase an additional 1 percent working interest from Noble Energy at the same valuation.

Delek Group to drill Tamar-8 well offshore Israel - OIL & GAS JOURNAL

HOUSTON, July 5
07/05/2016
ByTayvis Dunnahoe
OGJ Exploration Editor


Delek Drilling LP and operator Noble Energy Mediterranean Ltd. have announced that the Tamar-8 development well will spud in this year’s fourth quarter with 4 months planned for drilling, completion, and tie back. The well is 100 km west of Haifa offshore Israel in 1,670 m of water. Tamar-8 will target Miocene Tamar sands and is planned for a total depth of 5,050 m.

The partnership looks to increase redundancy in the existing Tamar productions system, and Tamar-8 will serve as part of its Tamar expansion project. The partnership also is planning on development of Tamar SW field.

Israel’s Petroleum Commissioner of the Ministry of National Infrastructures, Energy and Water Resources (Ministry of Energy) approved the current development plan (OGJ Online, June 2, 2016).

Cyprus Blocks Israel-Turkey Gas Pipeline Untill Ankara Mends Ties - HAARETZ

Jul 05, 2016 6:40 PM
Michele Kambas

After a rapprochement is reached with Ankara, Israel hopes to export gas to Turkey across Cypriot waters. But Cyprus, that doesn't have diplomatic ties with Turkey, gives a red light.

REUTERS - Turkey needs to mend relations with Cyprus before the Cypriot government will allow a Turkish-Israel gas pipeline to cross its territory, a government spokesman said on Tuesday.

The remarks came a week after Israel and Turkey reached a rapprochement, ending a six-year diplomatic rupture and raising hopes that Israel can reach an agreement to export natural gas from its offshore Mediterranean fields to Turkey. But to reach Turkey a pipeline would have to traverse the territorial waters of Cyprus, which was split into [the internationally recognized Republic of Cyprus] and a Turkish enclave by a Turkish invasion in 1974.

New rival seen in Mediterranean gas race ‘before it’s too late’ - WORLD OIL / BLOOMBERG

7/5/2016
DONNA ABU-NASR

BEIRUT (Bloomberg) -- Lebanon may soon approve measures to push ahead with a stalled first auction of offshore oil and natural gas rights, ending years of political wrangling as it tries to catch up in a regional race to tap energy wealth in the eastern Mediterranean.

The auction first scheduled for November 2013 was frozen by the government’s failure to pass decrees to demarcate energy blocks, establish production-sharing contracts and specify tender protocols. Mohammad Kabbani, head of the parliamentary energy committee, said Monday that he expected the decrees to be approved “a short period” after the Muslim holidays of Eid al-Fitr this week.

Harel to pay up for Tamar stake | NATURAL GAS EUROPE

July 05th, 2016

A limited partnership, led by Harel Insurance Investments and Financial Services, said in a filing to the Tel Aviv Stock Exchange that it has concluded a deal to purchase 3% shareholding in Tamar Partnership from Noble Energy. Harel holds a 62% stake in the limited partnership directly and the rest, 38%, is held by Israel Infrastructure Fund of which Harel is a 30% shareholder.

Harel said it will pay $369mn for the 3%; and another $123mn if it exercises an option to purchase another 1%. Those numbers value Tamar at $12.3bn, more than 10% above previous evaluations.

Decision Regarding the Drilling of the "Tamar-8" Development and Production Well and the Construction of Related Infrastructures in the Tamar Field - DELEK GROUP

Tel Aviv, July 5, 2016. Delek Group (TASE: DLEKG, US ADR: DGRLY) ("the Company") hereby announces that further to the provisions of Section 1.7.4(d) of the Company's Periodic Report dated December 31, 2015, as published on March 31, 2016 (Reference no.: 2016-01-020628) ("the Periodic Report") about the planned work plan for the Tamar Project located in the area of the Tamar I/12 lease ("Tamar Project" and "Tamar Lease," respectively), the Tamar Project development plan ("the Development Plan") and development of the Tamar South-West reservoir ("Tamar SW"), the Company respectfully announces that Delek Drilling LP and Avner Oil and Gas Exploration LP (hereinafter jointly, "the Partnerships") reported that on June 30, 2016, the Tamar Partners, including the Partnerships, made a decision regarding the drilling of the "Tamar-8" development and production well and the construction of related infrastructures in the Tamar field ("Tamar-8 Well" or "the Well").

Below are additional details of the Well:

Private sector key to Israeli exports to Turkey: Damnus - NATURAL GAS EUROPE

July 04th, 2016

After the "win-win" agreement between Turkey and Israel, energy relations may take time to bear fruit, Nusret Comert, the chairman of Damnus Energy, told NGE. Comert, who has over 30 years of experience in the global gas industry, is an expert on relations in the eastern Mediterranean. He talked about the recent rapprochement between Israel and Turkey, as well as between Russia and Turkey.

“Israel gas may ship to Turkey in three years time, but steps need to be taken by private sector companies in both Israel and Turkey,” Comert said, who headed Shell Turkey over ten years. “The agreement between two countries will form the basis for expanding energy relations between the two countries. However, politicians will not waste more time with talking, which may postpone investment decisions as well as blurring the political environment,” Comert said.

EGAS drills fourth well in Egypt's giant Zohr gas field - ZAWYA

by Mahmoud Shaaban
03 July 2016

Egyptian Natural Gas Holding Company- EGAS finished drilling fourth well in Zohr gas field in Mediterranean Sea, Chairman Mohamed El Masry said Saturday.

EGAS is committed to the determined drilling schedule of the Italian oil company Eni, the head stated.

He added that finishing drilling works at the fourth well is set to accelerate Zohr gas field to start output in 2017 with capacity of around one billion cubic feet daily.

Chairman El Masry noted that drilling works at the fifth well will start immediately to finish drilling the sixth well of Zohr field whose potential capacity is estimated at 30 trillion cubic feet of gas.

INTO THE FRAY: Utterly Unconscionable - THE JEWISH PRESS

By: Dr. Martin Sherman
Published: July 3rd, 2016

The real reason for the rupture of relations with Turkey is not because of anything Israel has (or has not) done. It is a result of what Turkey has become.

Israelis have no conscience, no honor, no pride. Those who condemn Hitler day and night have surpassed Hitler in barbarism. – Turkish President Recep Tayyip Erdogan, (7/19/2014)

National honor is not just something people talk of on the street…It has strategic significance – Moshe (Bogey) Yaalon, Israel’s Deputy Prime Minister, (8/17/2011).

The recently announced reconciliation accord—or rather “deal” between Israel and Turkey—is utterly unconscionable—and incomprehensible. From an Israeli point of view, it is devoid of any logic on every imaginable level—national, ethical, security and even commercial—except perhaps in the immediate short-term.