Zohr field to start production by November-end - EGYPT TODAY

Workers on platform at Zohr field (Source: Eni)

Sat, Oct. 21, 2017

CAIRO – The Mediterranean’s largest gas field Zohr will start production in the second half of November with a production capacity of 350 million cubic feet (mmcf) of gas per day, a source in the Egyptian Natural Gas Holding Company (EGAS) said Saturday.

He expects production to be doubled in two months to reach some 700 mmcf per day, increasing to one billion cubic feet before the end of the first quarter of 2018.

WoodMac: What's behind the boost in Libya's oil production? - WORLD OIL

OCTOBER/20/2017

EDINBURGH -- Libya's oil production has increased steeply from August 2016’s low point of below 300,000 bpd to around 850,000 bpd at present, passing the 1-MMbpd barrier in July. But Wood Mackenzie believes Libya may now be reaching its near-term production limits and future growth will be gradual.

FSRU Projects in the Eastern Mediterranean - MIDDLE EAST STRATEGIC PERSPECTIVES

SOURCE

Egypt launches 12-cargo LNG tender for Q1, 2018 delivery -trade sources - REUTERS

OCTOBER 20, 2017 / 2:34 PM

Reporting by Oleg Vukmanovic, editing by David Evans

LONDON (Reuters) - Egyptian Natural Gas Holding Company (EGAS) has launched a tender to buy 12 liquefied natural gas (LNG) cargoes for delivery in the first quarter of 2018, trade sources said on Friday.

EGAS is seeking to bring in nine of the cargoes via Egypt’s two floating import terminals and three cargoes through a Jordanian terminal.

In the past EGAS has imported LNG through the Jordanian facility, where cargoes were converted back into gas and pumped through pipelines to Egypt.

Bids must be submitted by Oct. 29, traders said.

EBRD grants $500M in financing to TANAP - KALLANISH ENERGY

October 19, 2017

The European Bank for Reconstruction and Development (EBRD) approved Wednesday a $500 million loan to help finance construction of the $8.6 billion Trans-Anatolian Natural Gas Pipeline (TANAP), Kallanish Energy reports.

The project will deliver “crucial energy supplies from the Caspian Sea through to Europe along the Southern Gas Corridor (SGC), and make an important contribution to the energy security and diversification (in Europe),” the EBRD said.

The 1,850-kilometer (1,150-mile) line accounts for over half of the 3,500 km (2,174-mile) SGC pipeline system, and will transport 16 billion cubic meters per year (Bcm/y – 564.8 billion cubic feet, Bcf/y) by 2020.

Turkey will consume 6 Bcm/y (211.8 Bcf) and the remaining 10 Bcm/y (353 Bcf/y) have already been contracted by several European gas traders, mostly in the Italian market.

Some $1.4 billion of financing loans were granted last year for TANAP — $800 million from the World Bank and $600 million from the Asian Infrastructure Investment Bank (AIIB). The European Investment Bank (EIB) is considering to finance $2 billion of the project, but its final decision is due next month.

Energean reports first CPR results for two blocks, offshore Montenegro - WORLD OIL

 Comparison of SPE and NPD Classifications

OCTOBER/19/2017

LONDON -- Energean Oil & Gas has announced the first Competent Persons Report (CPR) for its assets offshore Montenegro, compiled by Netherland Sewell & Associates (NSAI), detailing the recoverable gas and liquids resource estimates in respect to Energean’s 100% interest in blocks 4218-30 and 4219-26.

The CPR shows the combined net unrisked prospective recoverable resources (P50) for the two blocks, awarded to the Company earlier this year, as 1.8 Tcf natural gas and 144 MMbbl liquids (438 MMboe in total).

Israel's Delek Group Mulling $280M Sale of Royalties From Tamar Offshore Gas Field - HAARETZ

Yitzhak Tshuva

Oct 18, 2017 2:57 AMEran Araz
Delek Group faces a government deadline to divest its 31.25% stake in Tamar by 2020 as part of regulation in place to dismantle Israel's gas cartel

In a deal that could be valued at 1 billion shekels ($280 million), Delek Group is weighing a plan to sell the royalties it is entitled to from its Delek Drilling subsidiary to investors, TheMarker has learned.

Known as overriding royalties, the money is paid to Delek Group from revenues generated from the Tamar gas field and are paid out before Delek Drilling pays dividends to the holders of its participation units.

The royalties have amounted to 3% of revenues until now but are due to rise to 13% now that Delek Drilling has earned back the cost of developing Tamar.

Edison receives first package from East Med 3D survey - OFFSHORE MAGAZINE

October/17/2017

Offshore staff

TUNBRIDGE WELLS, UK – Shearwater GeoServices has supplied a 3D fasttrack pre-stack depth migration (PreSDM) product for Edison International from a new 3D SHarp broadband dataset in the Eastern Mediterranean.

Simon Telfer, VP Processing and Imaging at Shearwater, said: “Edison required a PreSDM volume within weeks of completing the 3D acquisition. Our Onboard Processing and Depth Imaging groups worked closely to draw up a plan and deliver…

“We delivered to Edison a full 3D pre-stack depth migration product, including broadband processing and iterative model-building in just over four weeks from the final acquired shot record.”

EK Holding sells stake in Egyptian Hydrocarbon to Carbon Holdings - ENTERPRISE

Monday, 16 October 2017

M&A WATCH- An Egypt Kuwait Holding subsidiary sold a 26% stake in Egyptian Hydrocarbon Company to Carbon Holdings, according to a regulatory filing. Carbon Holdings bought the stake for USD 65.2 mn, the disclosure notes without adding further detail. 

A source close to the transaction tells us that EKS will record a capital gain of USD 18 mn on the investment, which it will recognize in its 3Q2017 financials. 

The exit, which we’re told will have no impact on EKH’s recurring revenues or profitability, should help make EK Holding a cleaner investment story going forward.

Future challenges for East Med energy - CYPRUS MAIL

October 15, 2017

Charles Ellinas

An international conference on the future of energy in the eastern Mediterranean held in Nicosia earlier this month had three main themes: global energy developments and their impact on the East Med; the oil and gas industry and the prospects for the region, and energy transition and renewables in the East Med.

Impact of global energy developments

The keynote presentation was made by Professor Jonathan Stern of Oxford University’s Institute of Energy Studies, who is a renowned expert in the global energy and gas industries. It was a forceful but sobering presentation setting the global scene. His opening statement was that the ‘good old days’ of the global gas sector are over. Industry liberalisation, increasing competition, short-term trading, the relentless advance of renewables, energy efficiency and carbon reduction policies are impacting future energy demand. The future for gas is uncertain due to competition from low carbon energy and Paris Climate Agreement commitments.

The rate of growth of energy, power and gas demand in Europe has declined since its peak in 2010. Low prices also mean that companies want guarantees for projects for at least 15 years – otherwise they do not invest. Russian gas penetration of Europe is increasing and low prices make it difficult for others to compete.