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.

Natural Gas Suppliers Consider Suspending Egypt Contracts - THE WALL STREET JOURNAL

The headquarters of state-run Egyptian Natural Gas Holding Company in
Cairo, Egypt, as photographed in 2012. PHOTO: KHALED ELFIQI/
EUROPEAN PRESS PHOTO AGENCY

By MIRIAM MALEK, Updated Jan. 22, 2016
All companies with active Egas supply positions affected by payment delays, two suppliers say

LONDON—Egyptian state-owned natural gas company Egas has missed payment deadlines for liquefied natural gas, as the country struggles to build up foreign reserves after blows to its tourism industry over the past year.

Two suppliers to Egas have confirmed to The Wall Street Journal that all companies with active supply positions in Egypt have been affected by payment delays.

Iran agrees to supply oil to Greek refiner Hellenic | Hydrocarbon Processing

Amir Hossein Zamaninia, Iran (left) & Panos Skourletis, Greece (right)

01.22.2016 - The agreement was announced after Iran’s Deputy Oil Minister Amir Hossein Zamaninia had discussed potential energy co-operation with Greek Energy Minister Panos Skourletis earlier on Friday.

Iran signed an agreement to supply crude oil with Greece-based refiner Hellenic Petroleum, reports said on Friday.

The deal would be Iran’s first such deal with a European company since the removal of international sanctions this month.

Deliveries will begin immediately, Hellenic Petroleum said in an e-mailed statement on Friday. The agreement also includes an adjustment for a financial backlog owed to Iran’s state oil company after sanctions imposed four years ago.

Weekly Overview on Eastern Mediterranean Natural Gas Matters | Natural Gas Europe

January 22nd, 2016

Israel

Israeli waters may hold more natural gas than previously expected. On January 17, an Israeli gas exploration group led by Isramco Negev and Modiin Energy announced it had encountered indications of a possible natural gas field off the country’s coast. The Daniel East and Daniel West licenses may contain up to 8.9 trillion ft³, according to a report by the companies.

Israel’s largest discoveries to date are the Tamar field, estimated at 10 trillion ft³, and the Leviathan, estimated at 22 trillion ft³. The country has not yet been able to develop the giant Leviathan delayed by domestic regulatory disputes.

Closing of the sale of 12.5% of Saipem share capital to Fondo Strategico Italiano - ENI

22/01/2016, CET 17:00Price Sensitive

The Shareholders Agreement between Eni and FSI has taken full effect

San Donato Milanese (Milan), 22 January 2016 – With reference to the sale and purchase agreement between Eni S.p.A. ("Eni") and Fondo Strategico Italiano S.p.A. ("FSI"), the object of which is the sale, from Eni to FSI, of a stake in Saipem S.p.A. ("Saipem") share capital, consisting of n. 55,176,364 ordinary shares, equal to 12.5% of the share capital plus one share, as announced to the market on 28 October 2015, Eni announces the closing of the transaction has taken place following occurrence of all the conditions precedent under the agreement.
Eni has collected an EUR 463,238,681.60 consideration for the sale.

Oil trader who predicted the decline says price has bottomed - WORLD OIL / BLOOMBERG

By SIMONE FOXMAN on 1/22/2016

LONDON (Bloomberg) -- Pierre Andurand, the founder of the $615 million Andurand Capital Management who correctly predicted the slump in oil prices, said the commodity has probably hit bottom and will end the year higher.

The price of oil will probably rise to $50/bbl this year and $70/bbl in 2017, though investors should expect heightened volatility along the way, he said Friday in an interview on Bloomberg TV.

"We are in a world where we see very low prices followed by very high prices," Andurand said in the interview. "I actually think it has bottomed."

Egypt negotiates with Kuwait to renew contract to supply 3m barrels per month | Daily News Egypt

Crude oil imported from Kuwait Petroleum Corporation helps save fuel in local market, says official

Mohamed Adel, January 21, 2016

The Egyptian General Petroleum Corporation (EGPC) is negotiating with the Kuwait Petroleum Corporation (KPC) to renew a contract to supply 3m barrels of crude oil to Egypt per month with payment facilitations for the value of the shipments.

The contract is expected to be finalised by the conclusion of next September.

ENI Terminates The Ocean Rig Olympia Early Due To Dramatic Fall In Oil Prices | Seeking Alpha

Jan. 21, 2016

Summary

• Today, ENI announced that it has terminated the Ocean Rig Olympia due to "a dramatic fall" in the price of oil. 
• Assuming an 85% termination fee, and based on 160 days remaining, ORIG should be entitled to receive a lump sum of approximately $90 million. 
• ORIG is going to struggle in 2016, but should weather the storm. I believe the stock is oversold, however, as the risks are high as today's news shows. 

This article is an update of my previous article on Ocean Rig UDW (NASDAQ:ORIG) published on Dec. 8, 2015. ORIG is a fairly new offshore drilling company that provides oilfield services for offshore oil and gas exploration, development and production drilling. The company is based in Nicosia, Cyprus. Ocean Rig was a subsidiary of DryShips, Inc. (NASDAQ:DRYS).

Egypt Skips Gas Bill, Loses LNG Shipment | The Maritime Executive

British Sapphire, image courtesy ATSB

By Reuters 2016-01-21

BP's diversion of a tanker of liquefied natural gas (LNG) away from Egypt due to payment issues is the first sign that the country's currency crisis could be jeopardizing its energy supplies, traders said.

Earlier this month the tanker British Sapphire was diverted to Brazil rather than discharging in Egypt, with the delivery of the LNG cargo for Egypt delayed up until October, traders said.

New gas estimates leave Israelis hoping | Interfax

Written by Rachel Williamson
21 January 2016

New resource estimates for two offshore gas licences have created a stir in Israel, but their development will partly depend on progress on the giant Leviathan field.

United States-based Isramco Negev and Israel-listed Modiin Energy last week released a report – based on seismic data taken before 2001 – indicating there could be up to 251.9 billion cubic metres of gas in the Daniel East and Daniel West offshore licences.

By comparison, the already producing Tamar field contains reserves of 311.3 bcm.

EC Energy Union Supremo Sefcovic Visits Cyprus | Natural Gas Europe

EU EEZ (except Croatia)

January 21st, 2016

The European Commission’s vice-president for energy union Maros Sefcovic visited Cyprus January 11-12. He said “My energy union tour in Cyprus will provide an excellent opportunity to present and discuss EU funding possibilities and its contribution to the economic recovery of Cyprus and to achieve the Europe 2020 strategy targets for growth and jobs, in particular as regards renewable energy and energy efficiency. Cyprus might be an island, but it doesn’t have to be an energy island”.

Sefcovic met the president, Nicos Anastasiades; energy minister Yiorgos Lakkotrypis; foreign minister Ioannis Kasoulides; president of the house of representatives; and the chairman and members of the standing Committee on energy, and stakeholders from the energy sector such as the Cyprus Oil & Gas Association, energy producers, network operators, academics and think-tanks. He also held a citizens’ dialogue on Energy Union at the University of Cyprus.

Zohr’s Recoverable Reserves are Half Original Estimates | Daily News Egypt

Thursday, 21st January 2016

Eni’s mega gas discovery in Egypt’s Mediterranean area, Zohr, contains only 16 tcf of recoverable reserves, as opposed to the originally announced reserves of 30 tcf, an official at EGPC told Egypt Oil & Gas.

In November of 2015, Mohamed Al Masry, Chairman of EGPC has stated that between 22 and 26 tcf of gas are expected to be extracted from the field, 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 Natural Gas Crisis | Carnegie Endowment for International Peace

BY BRENDAN MEIGHAN 

Egypt’s temporary relief from its ongoing gas crisis is the result of a lull in demand, not an improvement in industry outlook. Thursday, January 21, 2016

One of the most pressing crises facing the Egyptian economy has been the severe shortage of natural gas. The crisis itself—which involves supply cuts to factories and frequent electrical outages—has received copious coverage in the domestic and international press and has tested the patience of the Egyptian people and the business community. However, during the first week of November, officials at the Egyptian Natural Gas Holding Company (EGAS) announced that Egyptian heavy industry was now being supplied with all of its needed natural gas and other fuels. Officials from a number of companies and trade organizations confirmed this on December 2. There has also been an absence of reports of power cuts in major residential areas. Unfortunately for Egypt, this may simply be the result of a lull in demand due to moderate weather and slower production from heavy industry, not a permanent end to the shortages.

Cyprus: an island in a sea of opportunities | Maroš Šefčovič, EU Commission / Energy Union

Lakkotrypis, Cyprus (left) with Maroš Šefčovič, EU (right)

Jan 20, 2016, Maroš Šefčovič, VP of the European Commission, in charge of Energy Union

It's been two decades that I've been visiting Cyprus, meeting with its people and decision-makers, appreciating its rich culture and multi-layered history, seeing it evolve and change over the years.

But the atmosphere of my recent visit was significantly different: there was clear prospect for a final settlement agreement which could reunite the island and open a new range of opportunities.

What could this mean to the island's energy sector? Quite a lot.

Turkey's Gas Hub: Power or the Market | Natural Gas Europe

January 20, 2016

Turkey’s ambition to establish an energy hub has been a staple of the political, academic and media discourse of recent years.

But despite the literature and debates that it has ignited, the concept has not been properly defined, or expanded into an official strategy that could be rolled out within a given timeframe.

To those familiar with Europe’s northwestern energy setups, hubs are indistinguishable from markets: they are centres of trade and transport, where relevant regulations, services and infrastructure coincide to facilitate their smooth operation.

Shell profit plunges at least 42% as oil slump deepens | World Oil / Bloomberg

By RAKTEEM KATAKEY on 1/20/2016

THE HAGUE (Bloomberg) -- Royal Dutch Shell Plc, which is buying BG Group Plc in the industry’s largest deal in a decade, expects fourth-quarter profit to drop at least 42% after the rout in crude prices deepened.

Profit adjusted for one-time items and inventory changes probably shrank to $1.6 billion to $1.9 billion, Shell said Wednesday in a preliminary earnings statement. That compares with the $1.8 billion average estimate of nine analysts surveyed by Bloomberg, and profit of $3.3 billion a year earlier.

BG also published a provisional results statement that showed its 2015 oil and natural-gas production will probably beat forecasts. It expects full-year adjusted profit to be about 58% lower.

Netanyahu to meet Greek, Cypriot leaders in Nicosia | The Times of Israel

BY TIMES OF ISRAEL STAFF January 20, 2016

Talks between leaders of non-Muslim regional countries are last in series of three diplomatic meetings

Prime Minister Benjamin Netanyahu will next week head to Cyprus, where he will attend a trilateral meeting with Greek and Cypriot counterparts Alexis Tsipras and Nicos Anastasiades, respectively.

Netanyahu is expected to land in Nicosia on Thursday morning and meet Anastasiades briefly, before they are joined by Tsipras.

BG sees profit of at least $2.3billion after oil-price slump | Energy Voice / Bloomberg

Written by Bloomberg - 20/01/2016 7:53 am

BG Group Plc, which agreed to be acquired by Royal Dutch Shell Plc last April, expects to report full-year profit of at least $2.3 billion after crude oil prices extended their decline.

That profit for 2015 included a post-tax gain of at least $600 million, the Reading, England-based company said on Wednesday. BG reported preliminary numbers before a shareholder vote on the merger takes place next week.

Oil’s collapse to a 12-year low has driven down profit and revenue at energy companies around the world and forced them to cut spending, write down the value of assets, defer and cancel projects and fire employees. BG, the U.K.’s third-biggest oil and gas producer, is one of the few companies where output is increasing, a boon for Shell.

RETHINKING SECURITY OF GAS SUPPLY IN THE EU | Bruegel

January 20, 2016, BRUEGEL

How can Europe ensure a secure supply of natural gas, so vital for its citizens' wellbeing and prosperity? As they launch a new paper on the topic, our scholars discuss the issue with high-level experts.

Eni partners for Egypt’s Zohr gas development known this year | The National (UAE)

LeAnne Graves, Updated: January 20, 2016

New development partners for Egypt’s mega gas find will be announced this year, according to Italy’s Eni.

The company said that it had received interest from “several companies” to help develop the Zohr discovery, which is one of the largest gas finds in the Mediterranean.

Fuad Krekshi, Eni executive vice president of the Middle East, said that the priority right now was to finalise the development plan to submit to the Egyptian government, but that operational partners would be announced this year. “Several companies have expressed interest, but we have not committed to anyone,” he said declining to discuss in more detail.

Two-year ENI-KOGAS extension signed | Cyprus Mail

January 19, 2016

The government on Tuesday signed a two-year extension with the ENI-KOGAS consortium for exploration of blocks 2, 3 and 9 within the island’s exclusive economic zone (EEZ), it announced.

“Within the next two years, the consortium will conclude studies aiming at better evaluating and recalibrating the geological model of the region, in order to identify prospects necessary to complete its drilling obligations,” an official statement said.

“This development is especially important, as it reaffirms and advances Cyprus’ energy prospects during a period in which the international oil and gas industry is experiencing challenging conditions.”

BP remains ambitious on gas in Egypt, despite weak oil prices | Euronews / Reuters

REUTERS, 19/01/2016, By Eric Knecht

CAIRO (Reuters) – Britain’s BP Plc <BP.L> aims to double natural gas production in Egypt in the next four years despite weak oil prices as Egypt’s burgeoning energy market offers hope for its battered economy.

Egypt is on a drive to ramp up oil and gas production – aggressively signing exploration contracts, renegotiating production prices, and lobbying companies to speed up projects even as firms worldwide scale back.

TAP likely to bring more Caspian gas to European markets, Managing Director says | Trend News Agency

19 JANUARY 2016, Baku, Azerbaijan

The onshore construction activities of the Trans Adriatic Pipeline (TAP) will begin in all countries mid-2016, with the offshore scope starting in the winter of 2017/2018, Ian Bradshaw, Managing Director at TAP AG said in an interview to AzerNews.

“TAP’s progress continues to be in line with the project schedule, which ensures we will be ready to transport Shah Deniz II gas to Europe early 2020,” Bradshaw said.

TAP effectively started construction in Albania in June 2015 with the rehabilitation of access roads and bridges, and marked the occasion with a ceremony attended by Albanian Prime Minister Edi Rama and Energy and Industry Minister Damian Gjiknuri.

Cyprus approves BG Group as partner in offshore Aphrodite gas field | Offshore Technology

19 January 2016

The Cypriot Government has approved British Gas Group (BG) as a partner in the offshore Aphrodite (block 12) gas field.

Noble Energy has sold a 35% stake in the field to BG for $165m after an agreement was signed in November 2015.

The company will retain an additional 35% stake in the offshore field and serve as its operator.

Remaining partners in the field are Delek Group energy exploration and production units Avner Oil and Gas and Delek Drilling, which will each own 15%.

Υπογράφηκε διετής παράταση με την κοινοπραξία Eni/Kogas για τα ερευνητικά Τεμάχια 2, 3 και 9 στην ΑΟΖ της Κύπρου | Cyprus PIO

19/01/2016

Το Υπουργείο Ενέργειας, Εμπορίου, Βιομηχανίας και Τουρισμού ανακοινώνει ότι έχει υπογραφεί, μεταξύ της Κυπριακής Δημοκρατίας και της κοινοπραξίας Eni/Kogas, διετής παράταση της αρχικής περιόδου έρευνας για τα ερευνητικά Τεμάχια 2, 3 και 9, της Αποκλειστικής Οικονομικής Ζώνης (ΑΟΖ) της Κυπριακής Δημοκρατίας.

Η κοινοπραξία, η οποία διανύει την αρχική περίοδο της τριετούς Άδειας Έρευνας Υδρογονανθράκων που λήγει στις 23 Ιανουαρίου 2016, αιτήθηκε και έλαβε κατόπιν έγκρισης του Υπουργικού Συμβουλίου τη διετή παράταση και για τα τρία ερευνητικά Τεμάχια, στα οποία κατέχει τις Άδειες Έρευνας. Εντός του χρονοδιαγράμματος των επόμενων δύο χρόνων, η κοινοπραξία θα ολοκληρώσει μελέτες για την καλύτερη κατανόηση και αναθεώρηση του γεωλογικού μοντέλου της περιοχής, με σκοπό τον εντοπισμό στόχων προς υλοποίηση των γεωτρητικών της υποχρεώσεων.

How Bibi’s Gas Plan’ Will Ruin Israel’s Air Quality | Haaretz

Steinitz, left, with Netanyahu

Eytan Avriel Jan 19, 2016

The economy should undergo a conversion from filthy fossil fuels to clean, cheap, healthier gas. But that’s not going to happen.

As last week rolled to a close, oil tumbled, together with the globe’s stock markets, as people quaked at the thought of a Chinese economic meltdown, and also because of the crude being stockpiled in every available nook and cranny of the world.

As far as Israel is concerned, this situation has its good sides, and its bad sides. A global economic slowdown would hurt us too by weakening our exports. But a decrease in energy prices could only be a good thing because the gasoline and heating oil that Israel must import would cost less. Almost every manufacturing plant will be saving money.