Turkey announces Med drilling - KATHIMERINI

Saturday, May 12, 2018, 16:08

Turkey will start drilling for oil and gas in the Mediterranean before the end of the summer, according to comments Friday by the country’s Energy and Natural Resources Minister Berat Albayrak.

The Turkish minister, who is also the son-in-law of Turkish President Recep Tayyip Erdogan, added that “great efforts” are being made to “ensure there is no letup in this momentum.”

His statements come as no surprise in Greece as Ankara has already purchased a drillship. However, Albayrak’s comments are also being taken with a grain of salt, given that the neighboring country is heading for elections on June 24.

Turkey has maintained it will not allow the Eastern Mediterranean island of Cyprus to drill for gas in its exclusive economic zone, saying the Turkish Cypriots must also be included in the process. Furthermore, it claims that parts of the island’s EEZ are disputed, and it remains to be seen where exactly Turkey plans to drill in the Eastern Mediterranean.

Israel's 5% Claim on Gas in Cypriot Field Causes Dispute With Nicosia - HAARETZ

Nicos Anastasiades & Benjamin Netanyahu

May 11, 2018 5:42 AM
Ora Coren 

If Israel and Cyprus don’t reach an understanding within a few months, they will hire an international expert to propose a solution based on the two reservoirs’ estimated reserves

Energy Ministry Yuval Steinitz told Cypriot leaders Tuesday that Israel is demanding 5% or more of the production from the joint Aphrodite-Yishai natural- gas field in disputed Mediterranean waters, sources told TheMarker.

Steinitz, who attended the meeting in Nicosia with Prime Minister Benjamin Netanyahu, said afterward in public that the dispute could be settled within six months but did not elaborate on Israel’s position.

“The professional opinion of the [Israeli] government is that at least 5% of the reservoir is Israeli,” said an Israeli official who asked not to be named. “The dispute with the Cypriots is about how the Israeli share will be guaranteed because it’s the Cypriots who will be developing the field.”

Eni announces the start-up of third production unit at Zohr - WORLD OIL

MAY/10/2018

MILAN -- Eni announces the start-up of the third production unit (T-2) of the Zohr project, increasing the installed capacity to 1.2 Bcfd. Zohr is now producing 1.1 Bcfd in ramp-up, equivalent to approximately 200,000 boed, of which 75,000 boed net to Eni at current working interest. This outstanding result has been achieved only a few months after the field’s start-up in December 2017.

The third unit, following just one week after the second unit’s successful power-up, confirms the programme pursued by Eni, its co-venturers and Egyptian Natural Gas Holding Company (EGAS) to pursue a production level of 2 Bcfd by end 2018, followed by a plateau of 2.7 Bcfd in 2019.

The latest achievement reinforces the exceptional development path of Zohr, one of Eni’s seven record-breaking projects, which is playing a fundamental role in supporting Egypt’s independence from LNG imports.

Zohr field, the largest gas discovery ever made in Egypt and in the Mediterranean Sea with more than 30 Tcf of gas in place, is located within the offshore Shorouk Block (some 190 km north of Port Said). In the Shorouk Block, Eni holds a 60% stake, Rosneft 30% and BP 10% of the Contractor’s Share (where Eni, Rosneft and BP are collectively the Contractor).

A U.S. Shale Gas Cargo Is Heading to Israel for the First Time - BLOOMBERG

May 10, 2018, 11:57 PM GMT+3
Ryan Collins and Kevin Varley

Israel is about to receive a cargo of U.S. liquefied natural gas, the first to arrive in the Middle Eastern nation from America’s shores since exports began in 2016.

The vessel British Diamond, beneficially owned by BP Plc, is set to arrive at Israel’s Hadera import terminal on May 27 after departing Cheniere Energy Inc.’s Sabine Pass in Louisiana on May 3, ship tracking data compiled by Bloomberg show. Most cargoes to Hadera have come from Trinidad and Tobago, which also ships to the U.S.

U.S. shale gas has sailed from the nation’s two operating LNG export terminals -- Sabine Pass and Dominion Energy Inc.’s Cove Point facility in Maryland -- to buyers from Mexico to China. With three more projects set to start up in the next year, America is on course to rival Qatar and Australia for global LNG dominance in the next five years.

Israel’s gas imports, meanwhile, may slide in coming years as the nation produces more gas from domestic fields. Earlier this year, Dolphinus Holdings Ltd., a private Egyptian company, agreed to buy gas from Noble Energy Inc. and its partners from Israel’s two largest offshore fields, Leviathan and Tamar.

The Ismail Cabinet approved a USD 105 mn exploration agreement with Eni - ENTERPRISE

Thursday, 10 May 2018

The Ismail Cabinet approved a USD 105 mn exploration agreement with Eni and the Egypt’s Tharwa to search for oil and gas in the Mediterranean off the coast of north Sinai, according to a cabinet statement. Under the agreement, Eni and Tharwa drill two wells over two stages in the coming six years, Oil Minister Tarek El Molla told reporters on Wednesday. Separately, Eni has reportedly begun drilling the second exploratory well in its South Meleiha concession in the Western Desert’s Faghur Basin, Youm7 reports. Eni had announced last week making an oil discovery from another well in the Faghur Basin, which is expected to deliver 2,300 bop/d of light oil.

Prime Minister Sherif Ismail met yesterday with the head of the Abu Dhabi National Oil Company (ADNOC) Sultan Jaber, according to a Cabinet statement. The two discussed oil and gas cooperation, as well as increasing Emirati investments in Egypt’s oil refining, petrochemicals, and LNG sectors.

Israel, Cyprus, Greece push East Med gas pipeline to Europe - ISRAEL HAYOM

Wednesday May 9, 2018

The leaders of Israel, Cyprus and Greece said Tuesday they are determined to push ahead with plans for a pipeline that would supply east Mediterranean gas to Europe as the continent seeks to diversify its supplies.

Prime Minister Benjamin Netanyahu called the East Med pipeline a "very serious endeavor" that was important for Europe, which is looking for new sources of energy.

Cypriot President Nicos Anastasiades said the three countries aim to sign an agreement this year to nudge the pipeline project forward.

"This project creates a rivaled network of common interests and clear strategic benefit for our countries and beyond since its implementation will tangibly contribute to the security of the European Union's energy supply," Anastasiades said.

Greek Prime Minister Alexis Tsipras called the project "emblematic" of the cooperation between the three countries.

The EU is looking favorably on the project, too, since the 28-member bloc has forked out €34.5 million ($41 million) to fund a technical study, the Cypriot president said.

Qalaa considering increasing stake in ERC - ENTERPRISE

Wednesday, 9 May 2018

Qalaa eying additional stake in Egyptian Refining Company: Qalaa Holdings announced yesterday that it is looking to increase its ownership of its greenfield Egyptian Refining Company (ERC) by acquiring or subscribing to additional shares in its subsidiary Orient Investment Properties, Qalaa said in a regulatory filing (pdf). 

ERC recently completed a project finance restructuring that saw the company take on new loans and equity commitments valued at around USD 500 mn, bringing the 4.2 mn tonne-capacity refinery’s overall cost to around USD 4.5 bn. 

The refinery is expected to go online by the end of 2018 or early 2019, with trial operations set to start as early as next month.

Energean receives Class approval for FPSO design for Karish-Tanin - WORLD OIL

MAY/8/2018

LONDON -- Energean Oil & Gas, the independent oil and gas exploration and production company focused on the Eastern Mediterranean, announced that it has received Class approval from DNV-GL, the global quality assurance body, for the Basic Design of the new-build Floating Production Storage and Offloading (FPSO) that will be deployed at its deepwater Karish-Tanin development, offshore Israel.

This rapid obtainment of Class approval reflects the maturity of the FPSO design at Final Investment Decision (FID) and keeps the development on track to cut first steel as planned before the end of 2018.

Early Class approval was viewed as a critical milestone and its achievement, on schedule, validates the adopted strategy of building upon an existing hull design from TechnipFMC subsidiary, Inocean.

Cyprus, Greece, Israel recommit to a way forward - KNEWS / KATHIMERINI

8 May 2018, 15:00

President Nicos Anastasiades says a ‘code of conduct’ has been established between Cyprus, Greece, and Israel, following the completion of a trilateral meeting in Nicosia that yielded a long declaration, and paved the way for another meeting before the year is out to discuss an ambitious EastMed pipeline.

The meeting was held at the Presidential Palace, where Anastasiades hosted Greek Prime Minister Alexis Tsipras and Israeli Prime Minister Benjamin Netanyahu.

A declaration was issued saying the leaders "express our commitment to continue strengthening the cooperation between our countries in the framework of a trilateral partnership encompassing an ever increasing number of areas of common interest and, in the process, contribute to the promotion of peace and prosperity in the Eastern Mediterranean and the wider region."

According to political analysts at Kathimerini, the two dominant issues emerging from the meeting had to do with energy planning in connection with latest developments in the Cyprus problem as well as discussion on pushing forward for the East Med gas pipeline.

Spud of Kelvin-1X exploration well, Egypt - SDX ENERGY INC.

8 May 2018
SDX Energy Inc. (TSXV, AIM: SDX), the North Africa focused oil and gas company, is pleased to announce that it has spud its Kelvin-1X exploration well at South Disouq, Egypt (SDX 55% working interest and operator).

Kelvin-1X is the second well in the Company's 2018 four well exploration and appraisal drilling campaign at South Disouq and is designed to prove up what the Company believes to be potentially material upside within the concession. 

The well is anticipated to take up to 30 days to drill and if successful, will be completed, flow tested and connected to the infrastructure being developed at the SD-1X discovery location.

Cyprus-Egypt gas pipeline to cost $800 mln-$1 bln - REUTERS

MAY 7, 2018 / 2:58 PM

Reporting by Ahmed Ismail; writing by Eric Knecht; editing by Jason Neely

CAIRO, May 7 (Reuters) - A pipeline connecting Cyprus’ Aphrodite gas field to Egypt’s liquefied natural gas (LNG) facilities will cost between $800 million and $1 billion, Egyptian petroleum minister Tarek El Molla said on Monday.

Egypt has rapidly increased its production of natural gas and is hoping to become a hub for exporting to Europe after making a series of big discoveries in recent years.

Molla, speaking at a joint news conference with Cyprus energy minister Yiorgos Lakkotrypis, said Cypriot gas would be used in part for domestic consumption and in part for export.

Lakkotrypis said a final agreement on the pipeline would be signed as quickly as possible but did not specify when.

Egypt is hoping to halt gas imports by 2019 and achieve self-sufficiency.

Cooperation is essential for developing joint gas reserves, Ambassador Revel tells CNA - CYPRUS NEWS AGENCY

07/05/2018 07:42 Antonios Gkildakis

CYPRUS/Nicosia - Cooperation is essential for the exploitation and development of joint gas reserves, says Shmuel (Sammy) Revel, the Ambassador of Israel to Cyprus, noting at the same time that the two countries have a transparent and productive dialogue over block 12 reserves.

In an interview with Cyprus News Agency, ahead of tomorrow’s trilateral Cyprus-Greece-Israel Summit in Nicosia, the Ambassador also notes that he expects progress to be made with regard to the EastMed pipeline and reiterates his country’s respect for Cyprus’ rights in its various maritime zones.

Prime Minister Benjamin Netanyahu will be accompanied by several Ministers and high-level officials during the Trilateral Summit in the Cypriot capital.

Giving gas for bilateral relations in the Middle East - JERUSALEM POST

MAY 6, 2018 10:26
Amir Foster

Within a short space of time, natural gas reserves on a scale of over 1,000 BCM were found in Israel’s economic waters alone.

The historic gas export agreement reported in February by the Tamar and Leviathan gas partnerships for exporting 64 BCM natural gas to Egypt is in the clear geopolitical interests of Israel and the entire region. The agreement signed with Dolphinus Holdings Limited to supply gas in Egypt, which joins an agreement signed in 2016 between the Leviathan partnership and the Jordanian national electric company NEPCO, is a step up in strategic relations between Israel and its neighbors, and enhances the key role of the Israeli gas industry, not only in the economic and environmental arena, but also in the regional geopolitical arena.

The story of Israeli gas exports begins at the end of 2009, when the Israeli economy was taken by surprise.

For the first time in the country’s history, a large natural gas reservoir (311 BCM) was found in Israel’s deep sea. The previously held thesis that the State of Israel had no choice but to rely entirely on importing energy sources was overturned.

However, even this impressive discovery did not prepare the Israeli economy for what would happen in the following two or three years.

The discovery of Tamar, in practice, opened up a new play for gas and oil exploration in the region, and led to a series of exceptional successes, foremost among them the discovery of the huge Leviathan reservoir (more than 600 BCM), the largest deepwater natural gas find in two decades, in addition to other significant finds, among them the Karish-Tanin reservoir, and Aphrodite in the economic waters of Cyprus, close to the borders of Israel’s economic waters.

Gas dispute with Israel is in ‘no one’s interest’ - CYPRUS MAIL

MAY 6, 2018

Elias Hazou

Fresh reports this week of Cyprus and Israel resorting to arbitration to resolve a dispute over future earnings from the Aphrodite gas field appear to be driven by angst on the Israeli side.

The likelihood of the two sides going for arbitration seems far-fetched, said Constantinos Hadjistassou, assistant professor at the University of Nicosia.


“Nobody really wants that, so I was surprised to read these press reports. More likely, the Israelis are playing hard ball,” he said.

He was alluding to the article in Israeli news outlet Globes, citing sources claiming that the two neighboring nations might be seeking international arbitration sometime over the coming months.

The Aphrodite reservoir is located on the border between the economic waters of Israel and Cyprus, with most of the reservoir lying on the Cypriot side.

UAE adds oil and gas sector to business interests in Egypt - THE ARAB WEEKLY

Gas tanks at the desert road of Suez city north of Cairo (Reuters)

Sunday 06/MAY/2018

Ahmed Megahid

UAE investments in Egypt totalled $6.2 billion in 2017, up from $6 billion the previous year. 

CAIRO - Having acquired a 10% stake in the Shorouk concession in Egypt’s gigantic Mediterranean Zohr gas field in March, the UAE-based investment fund Mubadala Petroleum is preparing to explore for oil and gas off Egypt’s Red Sea coast.

Egypt has finalised seismic research off the coast and is in the process of compiling a comprehensive study off the Red Sea coast before inviting oil and gas companies — perhaps by the end of the year — to bid for concessions in the area, which is expected to hold huge mineral reserves.

Mubadala CEO Bakheet al-Katheeri, after an April 25 meeting with Egyptian Petroleum Minister Tarek el-Molla, said the company was interested in long-term cooperation with Egypt regarding petroleum and gas.

Mubadala bought the 10% stake in the Shorouk concession from Italian state-owned Eni for $934 million. Katheeri confirmed that the company had expressed an interest in upgrading Egypt’s crude oil fields.