Egypt aims for $10 billion foreign investment in oil, gas in 2018/19 - REUTERS

APRIL 22, 2018 / 10:46 PM

Reporting by Ahmed Ismail; Writing by Arwa Gaballa; Editing by Dale Hudson and David Evans

CAIRO (Reuters) - Egypt aims for foreign investment in the oil and gas sector to reach about $10 billion in the 2018/19 fiscal year that begins in July, Petroleum Minister Tarek El Molla said on Sunday.

Molla said he expected foreign investments to total the same amount for the current fiscal year, marking a 25 percent increase from the previous year.

The 25 percent gain comes as a result of foreign companies investing in major gas projects in the Mediterranean, he said.

Egypt aims to increase its gas production from newly discovered fields, which include the mammoth Zohr asset discovered by Italy’s Eni in 2015.

Once a gas exporter, Egypt hopes to halt imports by 2019.

Carbon Holdings to reach financial close on Tahrir petrochem complex by year’s end - ENTERPRISE

Sunday, 22 April 2018

INVESTMENT WATCH- Carbon Holdings aims to reach financial close on its USD 10.6 bn Tahrir petrochemicals complex by year’s end, CEO Basil El Baz says. 

Carbon Holdings is covering 26% of the project’s cost, with the remainder set to be funded by development finance institutions from the US, Germany, and the UK. 

Tahrir Petrochemicals will be built in the Suez Canal Economic Zone and will produce petrochemicals used to make a wide range of consumer and industrial goods.

Egypt and the EU to sign MoU on energy cooperation during Energy Commissioner’s Cairo visit - ENTERPRISE

(L) Miguel Arias Cañete, (R) Tarek El Molla

Sunday, 22 April 2018

Egypt, EU to sign energy cooperation agreement this week: Egypt and the EU are expected to sign an MoU on "Strategic Cooperation in Energy" this week during EU Energy Commissioner Miguel Arias Cañete’s three-day visit to Cairo, which begins today. It’s unclear when exactly the signing will take place and what the agreement will entail. Oil Minister Tarek El Molla had said last week that the agreement is part of a larger plan to turn Egypt into an export hub for East Mediterranean gas, a topic that is expected to feature strongly in Cañete’s talks with Egyptian officials this week, according to a ministry statement picked up by Al Masry Al Youm. “Egypt can lead the way of the clean energy transition in the Eastern Mediterranean and thus contribute to the Paris climate goals and the worldwide decarbonisation effort,” Cañete said. “The EU stands ready to support Egypt in its energy market reforms and to boost sustainable energy investment.”

Energean to boost east Mediterranean output - TIMES OF OMAN

April 21, 2018 | 4:21 PM

London: Freshly London-listed Energean Oil & Gas is boosting its Greek output and expects first gas from its Israeli fields in the first quarter of 2021, making it one of the biggest independent energy firms operating in the eastern Mediterranean.

Energean listed last month, raising $460 million to develop two Israeli offshore gas fields, Karish and Tanin, which have potential reserves of up to 2.4 trillion cubic feet of gas and 32.8 million barrels of light oil and condensate.

It also won five more Israeli blocks nearby and plans to publish their contingent resource data in the next few months, Chief Executive Mathios Rigas told Reuters in a phone interview.

Yorktown selling Egypt oil business Merlon -sources - REUTERS

APRIL 20, 2018 / 3:09 PM
Ron Bousso

• Private equity firm hopes to raise up to $400mln
• Citigroup running process, bids expected by July

LONDON, April 20 (Reuters) - Private equity firm Yorktown Partners is selling its Egyptian-focused oil and gas company Merlon International, hoping to raise up to $400 million, two banking sources told Reuters.

Transgaz loses bid for Greece’s grid operator - BUSINESS REVIEW

April 20, 2018 12:08
Sorin Melenciuc 

The consortium led by Spanish company Reganosa, including Romanian state-owned monopoly Transgaz and the European Bank for Reconstruction and Development (EBRD), lost the bid for Greece’s grid operator DESFA, Athens accepting a EUR 535 million offer from the rival consortium led by Italy’s Snam, according to Reuters.

DESFA runs a gas transport network by pipelines of 1,459 km in Greece. The winning bidder was a consortium of Italy’s Snam, Spain’s Enagas Internacional and Belgium’s Fluxys.

The sale of a majority stake in DESFA is mandated under Greece’s latest international financial bailout. The Greek government is selling a 31 percent stake in DESFA and Hellenic Petroleum, Greece’s biggest oil refiner, 35 percent.

For Greece is the second attempt to sale the company, after a previous EUR 400 million deal with Azerbaijan’s SOCAR fell through.

For Transgaz, the bid was the first major attempt to step outside Romania, in an area dominated for decades by Russian giant Gazprom, the main gas supplyer of the countries from the region.

Greece accepts Snam-led consortium's offer for gas grid DESFA - REUTERS

APRIL 19, 2018 / 7:30 PM / 2 DAYS AGO

Angeliki Koutantou

• Athens relaunched the sale last year
• Named Snam-led consortium “preferred investor”
• Greece a crossroads for new gas routes, consortium says

ATHENS, April 19 (Reuters) - Greece has accepted a 535 million euro ($662 million) offer from a consortium led by Italy’s Snam for a majority stake in gas grid operator DESFA, naming it the “preferred investor”, its privatisation agency said on Thursday.

DESFA runs a network for transporting gas from the Greek-Bulgarian and Greek-Turkish borders via a 1,459-km (907-mile) pipeline. It also has a liquefied gas terminal facility on an islet off Athens.

Strategically-placed, Greece could represent an important crossroads for the diversification of supplies and new natural gas routes in Europe, the consortium said.

It anticipated the transaction would be finalised in the second half of 2018 after securing approvals, including antitrust clearance.

EGAS, GANOPE sign offshore drilling rig purchase agreement with Toyota - ENTERPRISE

Thursday, 19 April 2018

A string of news from the petroleum industry is worthy of your attention this morning, all stemming from the 9th Mediterranean Offshore Conference, which saw a number of IOCs on Tuesday — including Shell, Eni, and Edison — make commitments to expand and expedite their activities in Egypt:

EGAS and the Ganoub El Wadi Petroleum Holding Company (GANOPE) signed yesterday a USD 600 mn agreement to purchase an offshore drilling rig from Toyota Tsusho, according to an Oil Ministry statement. The rig will be used for oil and gas deepwater exploration in the Mediterranean, Gulf of Suez, and Red Sea.

Schlumberger announced it will invest USD 60 bn in a new data center in a bid to make industry information more accessible, according to Egypt GM Hussein El Ghazzawy. El Molla had signed two agreements with Schlumberger back in February, one each for the data center and a seismic survey of the Gulf of Suez.

ICGB to choose pipe supplier for Greece-Bulgaria gas link in June - SEE NEWS

Apr 19, 2018 13:11 CEST

Mario Tanev / Bulgaria's Ministry of Energy

SOFIA (Bulgaria), April 19 (SeeNews) - The supplier of pipes for the Gas Interconnector Greece-Bulgaria (ICGB) project is expected to be selected in June, Bulgaria's energy ministry has said.

The shortlisted candidates will be announced by the end of April, the energy ministry said in a statement following a meeting of energy minister Temenuzhka Petkova with her Greek counterpart Giorgos Stathakis on Wednesday.

European Commission warns Turkey over its aggression toward Cyprus - KATHIMERINI

18.04.2018 : 09:38

The European Commission has warned Turkey that negotiations for EU accession will remain blocked as a result of its hostility towards Cyprus, according to its progress report.

European Commission's annual accession report on Turkey's EU progress said that one chapter has been put on ice until Brussels ascertains that Turkey has fully applied the so-called additional Ankara Protocol and displayed good neighbourly relations without threats.

This binds Turkey to extend recognition to Cyprus and to allow Cypriot shipping to access Turkish ports and Cypriot planes to use its airspace as a precondition for further accession negotiations.

"As long as restrictions remain in place on vessels and aircraft registered in or related to Cyprus or whose last port of call was Cyprus, Turkey will not be in a position to fully implement the acquis relating to this chapter," said the report.

Turkey does not recognise the Republic of Cyprus despite it being a Member of the EU and it is the only country to recognise the breakaway Turkish Cypriot state.

Geopolitical factors to restrict ELPE tender participation - ENERGY PRESS

18/04/2018

Geopolitical factors constraining the range of participants in order to safeguard matters such as national and regional security will inevitably be incorporated into the terms of an international tender offering 50.1 percent of ELPE (Hellenic Petroleum), expected to be announced by TAIPED, the state privatization fund, any day now, possibly even today.

Though the terms to be applied to the ELPE tender remain unclear, Russian, Iranian and Chinese players, for example, stand little chance of emerging as candidates, given the current geopolitical climate in the southeast Meditteranean, polarized by US-Russian tension.

Also, European powers such as Germany, France and Italy have been requesting increasingly strict measures from Brussels for protection of strategically important European enterprises against Chinese acquisitions. ELPE belongs to this category.

Possible EU agreement next? Shell resumes EastMed ops and more from Med Offshore Conference - ENTERPRISE

Wednesday, 18 April 2018

Is this it? Are we going to be the energy export hub to the EU next week? Egypt is expected to sign a new oil and gas agreement with the EU next week, Oil Minister Tarek El Molla said yesterday, without providing further details. While he framed the announcement as a “cooperation agreement,” he added that this is part of plans to turn Egypt into a natural gas export hub for the East Mediterranean basin. Cypriot Foreign Minister Nicos Christodoulides had said earlier this month that Egypt and Cyprus would be ready to sign the contracts for a pipeline “in the near future” and that the different parties involved “are in the process of negotiating the terms of the natural gas sale and the purchase agreements.” The two countries were also waiting to hear back from the EU on their preliminary framework for the agreement as of March.

El Molla also said yesterday that the Oil Ministry is also planning to issue tenders for 10-11 oil and gas exploration blocks, as well as other drilling tenders in the Red Sea by the end of the year, according to Reuters.

Remarks at major industry gathering: The minister’s statements were but the most high-profile of a number of significant sector announcements coming out of the 9th Mediterranean Offshore Conference. Highlights:

Royal Dutch Shell to resume deep-water exploration off Egypt - REUTERS

APRIL 17, 2018 / 12:22 PM

Reporting by Ahmed Ismail, writing by Amina Ismail; editing by Jason Neely

ALEXANDRIA, Egypt - Royal Dutch Shell said it will resume deep-water exploration for oil and gas off Egypt’s Mediterranean coast, Executive Vice President Sami Iskander told a news conference on Tuesday.

Egypt is looking to production from recently discovered fields to halt energy imports by 2019.

A petroleum ministry official said last month that new production at Shell’s [WDDM] field 9B (formerly BG) is expected to reach 350-400 million cubic feet per day by 2019.

Separately, production from the first 3 wells in the field is set to begin in the 2018-2019 fiscal year.

The field is owned by Egypt’s General Petroleum Corporation (EGPC), Malaysia’s Petronas and Shell.

At least one DESFA sale offer believed to exceed €500m - ENERGY PRESS

16/04/2018

At least one of two second-round offers submitted last week by two consortiums participating in an international tender offering 66 percent of DESFA, the natural gas grid operator, exceeds 500 million euros, according to energypress sources.

Such a level, if confirmed, would be well above the tender’s first-round offers and a winning 400 million-euro bid that had been submitted by Azerbaijan’s Socar to a previous tender, also offering 66 percent of DESFA, which was not finalized.

In another bonus, the government appears to have secured Greek State rights for natural gas projects and infrastructure of strategic interest in a shareholders’ agreement to accompany the transfer of DESFA’s 66 percent to a new strategic investor.

Tshuva again fails to delist Delek Energy - GLOBES

16 Apr, 2018 11:53
Kobi Yeshahayou

Delek Group improved its offer, but it still fell short. Market source: The reasons for the rejection are not purely economic.

Another offer to purchase by Delek Group Ltd. (TASE: DLEKG), controlled by Yitzhak Tshuva, for the public's shares in its Delek Energy Systems Ltd. (TASE:DEOL) subsidiary, aimed at delisting it from the TASE, has failed, even though Delek Group improved the cash element the offer. Delek Group, which owns 88.2% of Delek Energy, had to obtain acceptance of its offer from owners of at least 7% of the shares in Delek Energy for the offer to succeed, but owners of only 5.3% of the shares accepted.

A senior capital market source told "Globes," "There is no price at which the offer would have succeeded, among other things because some of the shareholders are making decisions for reasons that are not necessarily economic. There are investors who are in love with this security, and are not selling it for all sorts of reasons, whether because they think that Delek Group is not revealing all of the information it has about Delek Energy, or for other reasons. In my opinion, this security will not be delisted from the TASE, simply because there are enough shareholders whose considerations are not purely economic."

Gas discovery at Ibn Yunus-1X well, Egypt - SDX ENERGY INC.

12 April 2018

SDX Energy Inc. (TSXV, AIM: SDX), the North Africa focused oil and gas company, is pleased to announce that a gas discovery has been made at its Ibn Yunus-1X exploration well at South Disouq, Egypt (SDX 55% working interest and operator). 

The Ibn Yunus-1X well was drilled to a total depth of 9068 feet and encountered 100.8 feet of net conventional natural gas pay in the Abu Madi horizon, which had an average porosity in the pay section of 28.5%. The well came in on prognosis but with a reservoir section that was of better quality and thicker than pre-drill expectations. 

The well will be completed as a producer in the Abu Madi section and then tested after the drilling rig has moved off location. The testing is anticipated to commence between 30 and 45 days after the rig departs, depending on the availability of testing equipment. After a successful test, it is anticipated that the well will be connected to the infrastructure located adjacent to the original SDX discovery in the basin, SD-1X, where production start-up is anticipated in the second half of 2018. 

Egypt and Cyprus likely to build underwater pipeline to move gas between them - ENTERPRISE

Christodoulides (left), Shoukry (right) 

Thursday, 12 April 2018

It seems an underwater pipeline will be the way to move gas from Cyprus’ Aphrodite field to Egypt’s gas facilities, according to statements by Cypriot Foreign Minister Nicos Christodoulides. Nicosia and Cairo are considering the construction of an underwater pipeline for the transfer of natural gas from the Cypriot Economic Exclusion Zone (EEZ) to Egypt’s LNG liquefaction facilities, he told AMAY in an interview yesterday.

That’s if Turkey doesn’t get in the way. Responding to a question as to how Nicosia will face a possible drilling by Turkey in Cypriot waters in the EEZ, Christodoulides said the Cypriot government is working to prevent such an act, which, in practice, will jeopardize any attempt to resolve the Cyprus problem. He added that the matter was discussed with Foreign Minister Sameh Shoukry on Tuesday. Christodoulides met with President Abdel Fattah El Sisi and Prime Minister Sherif Ismail yesterday to discuss gas and other avenues of cooperation ahead of Cypriot President Nicos Anastasiades visit to Cairo early next month.

Greek State to keep 36.25% of ELPE’s hydrocarbon rights - ENERGY PRESS

10.4.2018

The Greek State is expected to maintain a 36.25 percent share of ELPE’s (Hellenic Petroleum) hydrocarbon interests, close its current overall stake held in the petroleum company, following the sale of a 50.1 percent share to be offered to strategic investors through an agreement with co-shareholder Paneuropean Oil.

The Greek State currently holds a 35.5 percent stake of ELPE and Paneuropean Oil, a member of the Latsis corporate group, controls a 45.47 percent stake.

A new holding company is expected to be formed to host ELPE’s various hydrocarbon ventures, including one representing the Greek State’s 36.25 percent share, as well as companies currently holding exploration and production licenses for various blocks around Greece. These include Arta-Preveza, northwest Peloponnese, the Gulf of Patras, as well as the Ionian Sea’s Block 2, west of Corfu.

Just days ago, the Greek State and the Latsis corporate group reached an agreement to offer a 50.1 percent share of ELPE to a strategic investor.

Now that this agreement has been reached by the co-shareholders, TAIPED, the state privatization fund, is expected to announce an international tender within the next yen days. The sale procedure could be completed by the end of this year, according to the privatization fund.

Cyprus and Egypt prepare the ground for natural gas pipeline - KATHIMERINI

10 APRIL 2018 - 13:18Egypt was the first country with which Cyprus concluded an EEZ delimitation agreement in 2003

Cyprus and Egypt will be ready in the near future to sign an inter-governmental Agreement concerning a direct submarine natural gas pipeline from Cyprus Exclusive Economic Zone to an LNG plant in Egypt, Foreign Minister Nikos Christodoulides said.

The Minister, visiting Cairo, gave an interview to Egyptian newspaper Al-Masry Al-Youm.

Christodoulides said, "we believe that there is a bright future for the cooperation between Cyprus and Egypt in the field of hydrocarbons as our cooperation is based on solid foundations".

He recalled that Egypt was the first country with which Cyprus concluded an EEZ delimitation agreement (in 2003) and that the energy cooperation between our two countries creates conditions of stability and security in the Eastern Mediterranean.

Gas may play a major role in India-Cyprus bilateral trade - MONEY CONTROL

Apr 09, 2018 07:33 PM IST

"India is a major natural gas importer and here Cyprus may play a role in exporting gas to India," Cyprus High Commissioner to India Demetrios A Theophylactou said here today during an interactive session at the Merchants' Chamber of Commerce and Industry.

Natural gas has the potential to play an important role in greater bilateral trade between Cyprus and India in the years to come, a diplomat said here today.

"India is a major natural gas importer and here Cyprus may play a role in exporting gas to India," Cyprus High Commissioner to India Demetrios A Theophylactou said here today during an interactive session at the Merchants' Chamber of Commerce and Industry.

He, however, clarified that no serious dialogue has been going on at present between the two countries in this regard.

India expects to double share of natural gas in the country’s energy mix to more than triple imports to 70 million tonnes per year by 2022 for which more terminals are being planned.

Israel, Cyprus, Greece to push EastMed gas pipeline to Europe at May summit - NEW EUROPE

APRIL 8, 2018, 01:19
Kostis Geropoulos

Israeli Prime Minister Benjamin Netanyahu spoke on April 4 with Greek Prime Minister Alexis Tsipras and Cyprus President Nicos Anastasiades and “among the issues discussed were advancing the feasibility study for laying a gas pipeline from Israel to Cyprus and from there to Greece and Western Europe,” the office of the Israeli prime minister said.

“The leaders noted that they are looking forward to the trilateral summit next month,” Netanyahu’s office said in a press release. The summit will be held in Nicosia.

Cyprus Natural Hydrocarbons Company [former] CEO Charles Ellinas told New Europe on April 6 that Netanyahu, Anastasiades and Tsipras were planning to meet early January but the meeting was postponed without clear explanations, other than perhaps the UN votes on the issue of Jerusalem.

Ellinas noted that nevertheless the meeting is important in terms of contributing to maintaining close relationships between Israel, Cyprus and Greece. However, he said, the meeting has to be seen what it actually is, as a political meeting to facilitate and eventually sign an inter-governmental agreement on the EastMed gas pipeline.

“Even though essential in facilitating the pipeline, going from there to actually building such a pipeline requires commercial feasibility, participation by the oil and gas industry and financial institutions to fund it and build it and, above all, gas sales to customers in Europe,” Ellinas said. “None of these is anywhere near materialising. Without them this project remains on the table as politically desirable but commercially challenging, unless it secures a substantial subsidy from the EU, which I consider unlikely,” he added.

Egypt Achieves 800 Oil And Gas Discoveries In 15 Years - HOW AFRICA

5 April 2018

Egypt’s Petroleum Ministry achieved around 800 new oil and gas discoveries starting fiscal year (FY) 2001/02 and until 2015/16. During this period, the ministry achieved 520 crude oil discoveries, according to figures from state statistics agency CAPMAS.

Fiscal years 2011/12 and 2012/13 saw the largest crude oil discoveries, with an average of 57 discoveries each year, followed by FY 2013/14 with an average of 41 discoveries.
In its recently launched report “Egypt in Figures 2018”, CAPMAS showed that FY 2015/16 saw the smallest amount of discoveries.

As for gas discoveries, fiscal years 2007/08 and 2012/13 saw the biggest gas discoveries, realizing 26 and 29 discoveries respectively.

The giant offshore Zohr gas field is one of the most significant gas discoveries in Egypt and the Mediterranean region.

Discovered by Italian energy company ENI in 2015, Zohr gas field has an area of 100 square meters and a depth of 1,450 meters.

Eni in December delivered the first gas from Zohr field, whose estimated 30 trillion cubic feet (tfc) makes it the biggest gas field in the Mediterranean.

Exclusive - Italy's Edison launches spin-off of oil & gas unit: sources - REUTERS

APRIL 4, 2018 / 3:17 PM
Clara Denina, Ron Bousso

LONDON (Reuters) - Italian energy group Edison (EDNn.MI), part of French utility EDF (EDF.PA), is preparing the sale of its oil and gas unit, the latest power producer to abandon fossil fuels to focus on its retail business, four industry sources said.

Edison has selected investment banks Rothschild (ROTH.PA) and Perella Weinberg to organise an auction for the exploration and production division, which could be valued at $2 billion (1.43 billion pounds) to $3 billion, one of the sources said.

The company has been looking to increase the size of its domestic electricity and gas retail business, betting on the market opening up to more competition, with retail energy customers increasingly able to chose their supplier.

Edison and EDF declined to comment. Rothschild declined to comment. Perella Weinberg did not respond to a request for comment.

Cyprus in talks with ENI-Total on Calypso timetable - CYPRUS MAIL

APRIL 2, 2018

Elias Hazou

The government is in talks with the consortium of ENI-Total regarding their timetable for an appraisal, or follow-up drill at the Calypso gas prospect in offshore block 6, energy minister Giorgos Lakkotrypis said on Monday.

At the same time, he added, the government is discussing with ENI the latter’s broader exploration programme in Cyprus’ Exclusive Economic Zone (EEZ).

“ENI is a big regional player, it has concessions on several[offshore] blocks, and we are discussing with them their exploration programme,” Lakkotrypis told reporters on the sidelines of an event in Nicosia.

In February, ENI announced that it made a discovery of lean gas off the coast of Cyprus after drilling an exploratory well at Calypso. The company said it believed the gas play to hold around 6 to 8 trillion cubic feet.

UK to get LNG cargo from Egypt - LNG WORLD NEWS

LNG vessel 'Maran Gas Apollonia'

2 April 2018

The United Kingdom is expected to receive a cargo of liquefied natural gas (LNG) from the Shell-operated Idku liquefaction plant in Egypt, according to the port data.

The 161,870-cbm Maran Gas Apollonia, owned by Maran Nakilat and chartered by the Hague-based LNG giant Shell, is expected to dock at the Dragon LNG import facility in the Port of Milford Haven on March 8, the port’s shipping data showed on Monday.

The LNG tanker was on Monday located in the Mediterranean Sea, according to its AIS data.

Egypt, that has two LNG export plants, Idku and Damietta, has turned a net gas importer from an exporter over the course of 2016 due to falling domestic production.

However, the rising production at newly discovered gas fields has pushed the country towards halting LNG imports sooner than it was initially anticipated and boosted the prospects for Egypt to regain net LNG exporter status again.

One of the fields that recently started production is the giant Eni-operated Zohr gas field in the Shorouk Block, offshore Egypt approximately 190 km north of Port Said.

It is the largest gas discovery ever made in Egypt and in the Mediterranean Sea, and will be able to satisfy a part of Egypt’s natural gas demand for decades to come, according to Italian energy giant Eni.

Production from Zohr gas field to reach 1.8B cfd in September - EGYPT TODAY

Sun, Apr. 1, 2018

CAIRO – 1 April 2018: Egypt plans to boost production from its giant offshore Zohr gas field to 700 million cubic feet a day (cfd) in May and to 1.8 billion cfd in September, an official source in the petroleum sector said Sunday.

He said that pre-operation tests have been initiated for the field’s first and second production lines and that mechanical and electrical installations for both lines are almost complete.

The second line will start operation in June, with a capacity of 350 million cfd, while the third and fourth lines will enter production in July and August respectively, bringing total production from the field to 1.4 billion cfd.

Cabinet approves establishment of Nuweiba freezone - ENTERPRISE

Sunday, 1 April 2018

CABINET WATCH- The Ismail Cabinet approved yesterday the establishment of a freezone in Nuweiba and will offer investment incentives there including 50% tax cuts for three years. The 1 mn sqm zone is expected to see as much as USD 40 mn in infrastructure-related investment, South Sinai Governor Khaled Fouda said yesterday. The freezone is part of the government’s Sinai development strategy, which relies significantly on attracting local and Arab investors to the peninsula to spur growth, Investment Minister Sahar Nasr told reporters yesterday.

The ministers also signed off on legislation allowing the oil minister to sign oil exploration and production agreements in Ras Qattara with the EGPC, the International Egyptian Oil Company, and Croatian oil and gas company INA; in in the Gulf of Suez’s North Zaafarana concession with Zaafarana Petroleum Company, Oceaneer Zaafarana, and Sahary for Oil and Gas; and in the West Delta Deep Water Concession with Shell and PICL Egypt Corporation. 

Is the TAP, a project of national and geopolitical importance, at stake? - IBNA

30-03-2018, 21:13
Nefeli Tzanetakou

Construction of the Greek section of the Trans-Adriatic Pipeline natural gas pipeline is proceeding rapidly, with the aim of completing the project within the foreseen timetable, that is within 2018.

According to Katerina Papalexandri, the project manager for Greece, the construction from Evros Gardens to the Greek-Albanian borders in Kristalopigi, Kastoria, will have been completed by November 2018.

After that, the testing period is expected sometime by mid-2019, a moment when hydrocarbons will become part of the project, and in 2020 the TAP pipeline will be ready for commercial operation.

The pipeline will initially transfer 10 billion cubic meters of gas a year, from the Shah Deniz deposit in Azerbaijan to Europe, with a potential for doubling the capacity to 20 billion cubic meters, while it will be connected with the Greek gas system at three spots (in Pella, Kastoria and Kozani).

South Ramadan group to seek rig for development drilling - OFFSHORE MAGAZINE

March/29/2018


LONDON – SDX Energy has issued an update on operations at the South Ramadan concession in the Gulf of Suez offshore Egypt.

The partners have completed the final sub-surface technical work in connection with an evaluation of development options.

They have opted to drill a development well up-dip of one of the previous producing wells on the field. Depending on rig availability, this will be drilled either early in the current quarter or late in 3Q 2018.

Total cost of the 2018 program will be around $23.5 million including platform remediation work and a well workover (both dependent on a success outcome of the development well).

Eastern Mediterranean gas discoveries redefine LNG playing field - LNG WORLD SHIPPING

Wed 28 Mar 2018

Mike Corkhill

The Eastern Mediterranean is fast becoming a gas hub, with numerous LNG projects, plentiful recent gas finds and likely further discoveries

Newly discovered offshore gas deposits in the exclusive economic zones (EEZs) of Egypt, Israel and Cyprus, coming on top of similar major finds in recent years, are poised to alter the energy map of the Eastern Mediterranean irrevocably. LNG projects, which already play a key role in the region’s gas distribution logistics, will be impacted by the upcoming development of the Eastern Mediterranean gas fields.

The majority of the LNG projects in the area are import schemes, and floating storage and regasification units (FSRUs) have proved to be the most popular route to securing access to new gas supplies quickly and at relatively low cost. Turkey, Egypt, Israel and Jordan make use of FSRUs to import LNG while Greece, Cyprus and Lebanon are evaluating FSRU projects.

Exxon Mobil’s Ocean Investigator arrives in block 10 of Cyprus' EEZ - CYPRUS NEWS AGENCY

28/03/2018 10:40 

CNA - CYPRUS/Limassol 

Exxon Mobil’s “Ocean Investigator” research vessel sailed on Tuesday night from the port of Limassol into block 10 of Cyprus’ Exclusive Economic Zone (EEZ) to carry out hydrocarbon explorations for the US oil giant.

The Ocean Investigator had docked at the port of Limassol on March 14.

A second research vessel of Exxon Mobil called “Med Surveyor” also departed from the port of Limassol on Tuesday and headed towards Piraeus, Greece, after having completed its environmental research in block 10.

Cypriot gas dispute colors Turkey-EU summit - OIL & GAS JOURNAL

HOUSTON, Mar. 27 2018

A meeting in Varna, Bulgaria, between Turkish President Recep Tayyip Erdogan and leaders of the European Union ended with repeated EU condemnation of Turkey’s recent interference with oil and gas exploration off Cyprus.

“The European Union stands united behind the Republic of Cyprus,” declared Donald Tusk, president of the European Council, in Varna.

Just days before the summit, the EU had said it “strongly condemns Turkey’s continued illegal actions in the Eastern Mediterranean and the Aegean Sea and underlines its full solidarity with Cyprus and Greece.”

Energy programme proceeding as planned, president tells oil and gas forum - CYPRUS MAIL

March 27, 2018

Jean Christou

Cyprus is promoting three projects that were selected by the European Commission as projects of common interest, because of their benefits to the European energy market, President Nicos Anastasiades said on Tuesday.

The president was addressing the 9th Mediterranean Forum on Oil and Gas in Nicosia, telling delegates that recently, two of the projects had secured EU funding. Specifically, €101 million will be allocated to the CyprusGas2EU project, while the EastMed Pipeline had been awarded €34.5m for technical studies.

Israeli Greens Fume as Noble Energy Asks to Block Publication of Leviathan Data - HAARETZ

Mar 27, 2018 4:20 AMZafrir Rinat 

The Noble Energy company has asked to block publication of some of the data connected to the gas platform at Leviathan for reasons of commercial secrecy. At issue is data meant to be privy to the public under the emissions permit the company will be receiving, which will set the pollution limits allowed during operation of the rigs.

The area’s Association of Cities for the Environment is demanding that all the data be released, and the Environmental Protection Ministry is also arguing that as much data as possible should be made public.

A year-and-a-half ago Noble Energy launched the process for requesting an emissions permit, which all industrial installations must have under the Clean Air Law. On the gas processing platform that the company plans to start operating next year, there will be processes that could lead to the emission of large amounts of toxic substances, such as benzene. Under the emissions permit, the company is required to install measures on the platform to reduce these emissions.

BRIEF-TechnipFMC says awarded contract by Energean for Karish field in Israel - REUTERS

MARCH 26, 2018 / 8:25 AM

TechnipFMC Plc:

• SAYS AWARDED INTEGRATED ENGINEERING, PROCUREMENT, CONSTRUCTION AND INSTALLATION CONTRACT BY ENERGEAN FOR KARISH FIELD OFFSHORE ISRAEL

• TECHNIP SAYS CONTRACT COVERS THE DESIGN, PROCUREMENT, CONSTRUCTION AND INSTALLATION OF THE COMPLETE SUBSEA SYSTEM.

• IT INCLUDES A FLOATING PRODUCTION STORAGE AND OFFLOADING UNIT (FPSO) DESIGNED TO ALLOW THE SUBSEQUENT TIE-BACK OF THE TANIN FIELD, THE PIPELINE SYSTEM, AND THE ONSHORE PIPELINE AND VALVE STATION AT THE RECEIVING STATION. 

Spud of Ibn Yunus-1X well, Egypt - SDX ENERGY

26 March 2018 

SDX Energy Inc. (TSXV, AIM: SDX), the North Africa focused oil and gas company, is pleased to announce that it has spud its Ibn Yunus-1X exploration well at South Disouq, Egypt. 

The Ibn Yunus-1X well, anticipated to take approximately 30 days to drill,will be targeting the same conventional natural gas bearing Abu Madi intervals discovered in the SD-1X well in April 2017. This is the first of a planned four well program on the South Disouq concession. The Ibn Yunus-1X well will be followed by two appraisal wells (SD-4X and 3X) in the original SD-1X structure which, if successful, will be used as producers thereby completing the base case development plan for the new field. The Company, in its technically approved development plan by the Egyptian authority,forecasts a plateau rate from the SD-1X field of 50 million standard cubic feet per day ("MMscf/d") of conventional natural gas (SDX 55% working interest). However, with any exploration success,the field plateau rate could potentially increase up to 100 MMscf/d. Start-up of production at South Disouq is expected to commence in H2 2018. The final well in the program, Kelvin-1X, will be an exploration well which, if successful, would be tied into the facilities located at the SD-1X field. The Kelvin-1X exploration well is targeting the same package of sands found to be productive at the SD-1X location but in a geologic structure up-dip of SD-1X, thereby reducing the level of risk and uncertainty when compared to a conventional exploration well. 

DESFA bids to finally be opened at end of this week - ENERGY PRESS

26 March 2018

Offers made by two bidding teams to an international tender offering a 66 percent stake of DESFA, the natural gas grid operator, are finally expected to be opened at the end of this week, a month and a half after they had been submitted.

TAIPED, the state privatization fund, has virtually completed its thorough processing and inspections of the offers submitted by the two bidding consortiums, while the participating teams have provided responses as to which respective team member plans to assume the management role, sources have informed.

For quite some time now, officials and pundits have appeared confident the offers may exceed 500 million euros, 25 percent over an offer made by Azerbaijan’s Socar in a previous and unfinished sale attempt.

Energean takes FID on Karish and Tanin gas project, offshore Israel - WORLD OIL

MARCH/23/2018

ATHENS -- Energean Oil & Gas PLC has announced that its board of directors has approved the Final Investment Decision (FID) to proceed with the $1.6-billion Karish & Tanin Development Project, offshore Israel.

$405 million of the $460 million raised from the recent IPO of Energean will be used to fund the Company’s 70% share in the project, while the remaining 30% will be funded by Kerogen Capital, Energean’s partner in the project.

The project is also being financed through a Senior Credit Facility of $1.275 billion recently announced and underwritten by Morgan Stanley, Natixis, Bank Hapoalim and Société Générale.

Energean has secured long-term gas agreements with some of the largest private power producers and industrial companies in Israel. The Company has contracted for the purchase of a total of 61 Bcm of gas over a period of 16 years, at an annual rate of approximately 4.2 Bcm per year (on an ACQ basis).

Energean will develop the project through a new build, owned FPSO with gas treatment capacity of 800 MMscfd (8 Bcm/per annum) and liquids storage capacity of 800,000 bbl, which the Company believes provides a flexible infrastructure solution and, potentially the scope to expand output for potential additional projects. A 90-km gas pipeline will link the FPSO to the Israeli coast and necessary onshore facilities to allow connection to the domestic sales gas grid operated by INGL, the national gas transmission company.

Apache to drill 50 new wells in Egypt next fiscal year, EGAS and Eni trying to speed up Zohr production schedule - ENTERPRISE

Sunday, 25 March 2018

Apache is planning on drilling 50 new exploratory wells in Egypt in the coming fiscal year through its Qarun and Khalda Petroleum subsidiaries, both JVs with EGPC, Apache CEO John Christmann said on Thursday, according to a report in state-owned Ahram Gate. Christmann said he expects the sector to “witness a boom” in FY2018-19. Apache’s Khalda had signed a USD 20 mn agreement with the EGPC back in December to begin exploration activities in the Western Desert’s Alam El Shawish concession. Apache and Merlon had also signed USD 79 mn-worth of Western Desert exploration agreements with the Oil Ministry in August last year.

Separately, EGAS and Eni are planning to bring production at Zohr to maximum capacity ahead of schedule. The two companies are working hard to have the supergiant East-Mediterranean gas field pumping out its full capacity of 2.7 bcf/d ahead of its slated end-2019 deadline, sources close to the matter tell Al Shorouk, adding that output from Zohr — which is expected to help Egypt reach natural gas self-sufficiency and become a net exporter of LNG — should also rise to 700 mcf/d, from a current 350 mcf/d, by May instead of June.

BP seeks USD 1 bn from sale of Egypt oil assets, expected to focus more on Egypt and Oman after failing to renew UAE concessions - ENTERPRISE

Sunday, 25 March 2018

BP is hoping to raise USD 1 bn from “mature oil assets in Egypt” that it has recently put up for sale, sources close to the matter tell Bloomberg. 

The move is part of the company’s strategy to “maintain capital discipline,” they add. 

This comes as BP “missed out on a chance to renew its partnership in oil concessions off the [UAE’s] shores, which expired this month,” which means that it will now need to focus its efforts on other regional gas assets, including Egypt’s Zohr and Oman’s Khazzan, in addition to its 2016 concessions.

EMGC '18: Cyprus to import gas via FSRU to meet EU GHG targets - WORLD OIL / HYDROCARBON PROCESSING

March/22/2018
Adrienne Blume

NICOSIA -- Day 2 of Gulf Publishing Company's Eastern Mediterranean Gas Conference (EMGC 2018) in Cyprus kicked off with a keynote presentation by Dr. Symeon Kassianides, chairman of The Natural Gas Public Co. (DEFA) of Cyprus. Dr. Kassianides spoke about the proposal to establish a floating storage and regasification unit (FSRU) to import gas to Cyprus for use in power generation.

The target for first gas is 2020. In light of this tight deadline, which is motivated by Cyprus' need to meet EU greenhouse gas (GHG) emissions limits, DEFA is working with Cyprus' energy ministry and EU organizations to move quickly on the project.

Dr. Symeon Kassianides, chairman of The Natural Gas Public Co. (DEFA) of Cyprus.

CyprusGas2EU Project scope. The FSRU project—known as CyprusGas2EU—stems from the European Commission's €7.5-million CEF Syngery (CYnergy) Project, which is concerned with the establishment of an integrated storage, transmission and distribution system for natural gas in Cyprus in the forms of LNG and CNG. CYnergy, which has been 60% funded, aligns with the CyprusGas2EU Project's supply target date of 2020.

The CyprusGas2EU Project has successfully secured environmental licenses and intergovernmental licenses (e.g. Greece). Consultations with all Cypriot operating financial institutions have been held, and a grant of €101 million has been secured to fund 40% of the CyprusGas2EU project.

Shell mulls 15-year deal for Israeli, Cypriot gas, partner says - WORLD OIL / BLOOMBERG

MARCH/22/2018
Yaacov Benmeleh

TEL AVIV (Bloomberg) -- Royal Dutch Shell Plc is weighing a 15-year contract to buy natural gas for its liquefied natural gas plant in Egypt from offshore fields in Cyprus and Israel.

Shell is in talks to purchase 6 Bcm of natural gas a year from Aphrodite field, located in Cypriot waters, according to Delek Drilling LP’s annual report Wednesday. A potential deal also could include gas from the neighboring Leviathan reservoir, Israel’s largest pool, which is expected to start production by the end of 2019.

Greece’s Energean gets nod to develop 2 Israeli offshore natural gas fields - THE TIMES OF ISRAEL

March 22, 2018, 1:20 pm
Shoshanna Solomon

Board of oil and gas explorer gives go-ahead to invest $1.6 billion in Karish and Tanin, which will supply local Israeli market

Greek firm Energean Oil & Gas PLC said Thursday its board has given the green light to a final investment decision that will enable the oil and gas explorer to proceed with the $1.6 billion development of the Karish and Tanin natural gas fields off Israel’s shores.

The company said that $405 million of the $460 million it raised in a recent initial public offering of shares in London will be used to fund its 70 percent stake in the project. The remaining 30% of the project will be funded by Kerogen Capital, Energean’s partner in the project, the Greek firm said in a statement.

The project is also being financed through a credit facility of $1.28 billion underwritten by Morgan Stanley, Natixis, Bank Hapoalim and Société Générale.

Energean said it has already secured long-term gas agreements with some of the largest private power producers and industrial companies in Israel, who have contracted purchases of a total of 61 billion cubic meters (BCM) of gas over a period of 16 years.

EMGC '18: Eni Chief sees rapid development of Eastern Med gas with Zohr - WORLD OIL / HYDROCARBON PROCESSING

Yiorgos Lakkotrypis, Minister of Energy, Commerce,
Industry and Tourism of the Republic of Cyprus

March/21/2018

Adrienne Blume

NICOSIA -- Opening Day 1 of Gulf Publishing Company's fifth annual Eastern Mediterranean Gas Conference (EMGC) on March 21 was Yiorgos Lakkotrypis, Minister of Energy, Commerce, Industry and Tourism for the Republic of Cyprus.

The Minister welcomed attendees and shared perspectives on energy development in Cyprus and throughout the region. Lakkotrypis' talk was followed by a keynote presentation from Luca Bertelli, CEO at Italy's Eni.

Ministerial welcome and energy analysis. Lakkotrypis called Eni's Calypso discovery offshore Cyprus a "promising discovery," and said he looks forward to hearing from Eni about the future of that activity. The strategy of the Cyprus government, the Minister said, focuses on ongoing discoveries of natural gas, as well as those resources that will be discovered after the first cycle of exploration is concluded at the end of 2018 or the beginning of 2019.

"It will give us a good idea of what kinds of resources we have in Cyprus," the Minister said. He added that the Zohr-like play discovered in Cyprus' Exclusive Economic Zone (EEZ) promises the discovery of additional, important resources.

"As we are fulfilling our strategy," Lakkotrypis said, "I would like to focus on one thing: the development of the Aphrodite discovery." Cyprus has been in talks with Egyptian partners for the sale of gas for export as LNG. Lakkotrypis noted that Cyprus has recently submitted an official agreement to the EU government for the regulation of a pipeline between Cyprus and Egypt. A decision is expected to be reached in a few weeks.

Cyprus will press ahead with gas exploitation, says minister - CYPRUS MAIL

March 21,2018

Energy Minister Giorgos Lakkotrypis said on Wednesday that despite the geopolitical challenges and recent incidents in Cyprus Exclusive Economic Zone (EEZ), the government remained committed to exploiting hydrocarbon reserves in the Eastern Mediterranean.
in a speech at the Eastern Mediterranean gas conference in Nicosia, the minister said that despite the geopolitical challenges Cyprus and the region faces, the recent incidents regarding Cyprus’ efforts to drill Block 3 of its EEZ and Turkish provocations, the country would continue to work with countries in the region not only to advance Cyprus’ interests and the region as a whole.

He added that if Cyprus was able to conclude the sale of Aphrodite’s field gas to Egypt, liquefy it and then ship it to Europe it would be the first Eastern Mediterranean gas to reach the EU.

“That will be a significant milestone which the Republic of Cyprus is committed to taking all the way,” he said.

Concerning the development of Aphrodite gas field, the minister said that the Republic is currently in commercial talks with Egyptian customers and terminals in Egypt. He added that discussions between the Cypriot and Egyptian governments sought the necessary framework to enable the sale of Aphrodite block gas to one of the two liquefied natural gas plants in Egypt.

Eni official: East Mediterranean gas could supply Europe - THE SEATTLE TIMES / THE ASSOCIATED PRESS

March 21, 2018 at 4:06 am
Menelaos Hadjicostis

NICOSIA, Cyprus (AP) — The East Mediterranean could become a hub to export gas to Europe — and the fastest and cheapest way to do that is to utilize idle processing plants in Egypt, a senior executive with Italian energy company Eni said Wednesday.

Eni’s Chief Exploration Officer Luca Bertelli told a gas conference in Cyprus that his company’s recent discovery of a gas field southeast of Cyprus that contains “almost pure methane” has confirmed that there’s potential for more gas discoveries in the region.

He said the Italian company plans to search for more gas off Cyprus in two other areas where it’s licensed to carry out exploratory drilling.

He added that the simplest way to process the gas for export — especially to the regional big markets, Greece and Turkey — is utilizing underused processing plants in Egypt to liquefy the mineral for transport.

El Sisi, Shoukry talk energy cooperation, improving economic ties with Greek Foreign Minister - ENTERPRISE

Wednesday, 21 March 2018

President Abdel Fattah El Sisi and Foreign Minister Sameh Shoukry met with Greek Foreign Affairs Minister Nikos Kotzias in Cairo yesterday, according to an Ittihadiya statement. Talks extended to trilateral relations between Egypt, Greece, and Cyprus on East-Mediterranean gas, increased cooperation on economy, trade, and investment, as well as counter-terror and the peaceful resolution to regional disputes. Last month, Oil Minister Tarek El Molla had said that Egypt was in talks with Greece to establish a framework for further energy cooperation, after announcing that it was closing in on an LNG import agreement with Cyprus. The three countries also said last week they would be working on a USD 4 bn 2,000 MW subsea electricity interconnection project that is expected to become part of a larger network linking Europe and Africa.

DEFA to seek gas providers next month - CYPRUS MAIL

March 20, 2018
George Psyllides

The state gas company (Defa) said Tuesday it will be inviting tenders next month for the supply of liquified natural gas for power generation.

Defa chairman Symeon Kassianides also told the House commerce committee that it will be issuing a call for bids for the necessary infrastructure.

The new effort aims at having the fuel by January 2020 to avoid emissions fines.

The two contracts will be separate, Kassianides said.

The Defa chairman said a floating unit to store and deliquefy the fuel will cost some €250m of which 40 per cent, or €101m, will come from the EU.

The European Investment Bank has expressed interest to participate in the project while the island’s state-owned electricity company (EAC) will also hold 30 per cent.

West Nile Delta field 9B new output expected at 350-400 mcf/day -official - REUTERS

MARCH 19, 2018 / 9:57 AM

Reporting by Ehab Farouk and Ahmed Ismail; writing by Nadine Awadalla; editing by Jason Neely

CAIRO, March 19 (Reuters) - New production at Shell’s [West Delta Deep Marine] field 9B is expected to reach 350-400 mcf per day by 2019, an Egyptian petroleum ministry official told Reuters on Monday.

Separately, production from the first 3 wells in the field is set to begin in the 2018-2019 fiscal year, the ministry said in a statement earlier.

The field is owned by Egypt’s General Petroleum Corporation (EGPC), Malaysia’s Petronas and Shell.