Azeri SOCAR says wants Greek natural grid purchase concluded - REUTERS

Sat Sep 3, 2016 4:41pm GMT

ATHENS, Sept 3 (Reuters) - Azerbaijan's state energy company SOCAR wants to go ahead with a deal to buy Greek natural gas pipelines operator DESFA and has not taken any decision to pull out of the process, its chief executive in Greece said in a newspaper interview published on Saturday.

SOCAR agreed in 2013 to buy a 66 percent stake in the crisis-hit gas supply grid operator for 400 million euros ($448 million). But the acquisition has stalled since SOCAR was ordered to sell on 17 percent of DESFA to a third party to satisfy the EU competition authorities.

Complicating the sale further, Greece passed a law in July which raised DESFA's gas tariffs from next year by a much lower amount than expected, a move which SOCAR said has dramatically reduced DESFA's value and put the deal at risk.

Russia Pushing Ahead With Turkey Gas Link as Ties Improve - BLOOMBERG

Elena Mazneva
September 3, 2016 — 1:47 PM EEST

• Russia seeks to build Black Sea gas route to bypass Ukraine
• Government sent draft gas pipeline agreement to Turkey

Russia is on track to accomplish a major energy project aimed at cementing its ties with Turkey following a recent thaw in relations.

The government in Moscow expects officials in Ankara to make necessary decisions in one to two months to proceed with a natural gas pipeline under the Black Sea that may kick off by end-2019, Russian Energy Minister Alexander Novak said on Saturday. A draft intergovernmental agreement has been sent to Turkey, he told reporters in the Russian Far Eastern city of Vladivostok.

Cyprus, Egypt and Greece are already planning to expand energy cooperation - NEW EUROPE

Egypt's El Molla (left) & Cyprus' Lakkotrypis, 31 August 2016

SEPTEMBER 2, 2016
By Kostis Geropoulos

Cyprus has signed a deal to build a pipeline to supply Egypt with natural gas once production starts from the Aphrodite field located offshore the Mediterranean island.

The agreement sets the political framework for additional commercial agreements, Cyprus’ Energy Minister Yiorgos Lakkotrypis and Egypt’s Petroleum Minister Tarek el-Molla said.

Asked if this gas will also be exported to Europe and other markets, Constantinos Filis, director of research at Institute of International Relations, told New Europe this depends on the agreements that will be made by the Consortium that will take over.

Eni successfully drilled and tested Zohr 5x - ENI

Eni successfully drilled Zohr 5x, the fifth well on Zohr structure, which confirmed the potential of the field at 30 Tcf OGIP.

01/09/2016 14:30

San Donato Milanese, 1st September 2016. Eni informs that Zohr 5x, the fifth well on Zohr structure has been successfully drilled to the final TD of 14,271 ft (4,350 m). The Zohr 5x well is located in 1,538 m of water depth and 12 Km south west from the discovery well Zohr 1x.

The well proved the presence of a carbonatic reservoir and gas accumulation also in the South-Western part of the Zohr mega-structure encountering about 590 ft (180 metres) of continuous hydrocarbon column in the carbonate sequence with excellent reservoir characteristics. The results are confirming the potential of the Zohr Field at 30 Tcf OGIP.

Israel Courts Foreign Money in Effort to Become Gas Exporter - NEW YORK TIMES

SEPT. 1, 2016
STANLEY REED

LONDON — Israel’s energy minister laid on the charm as he spoke to a few dozen oil executives, contractors and analysts in a crowded hotel conference room about the country’s natural gas prospects.

He crowed that the country could one day be a top supplier to Europe, while explaining how multinationals in other industries were already enamored of Israel.

“It is not enough to have a lot of potential,” said the minister, Yuval Steinitz, who was kicking off a road show for energy investors on Thursday at the Copthorne Tara Hotel in London. “From now on it is my job to make Israel very attractive for new exploration, for new investments, for newcomers.”

Exploitation of 'Aphrodite' field needs to be sped up - SIGMA LIVE

01.09.2016 15:02

Cyprus’ Energy Minister and the heads of Noble, Shell, and Delek have agreed that the best method of exploiting the natural gas cooperation in the ‘Aphrodite’ field in the island’s exclusive economic zone needs to be found, after a meeting on Thursday.

Energy Minister Yiorgos Lakkotrypis said after a meeting the three CEOs had with the President and himself that block 12, where ‘Aphrodite’ is located, had been discussed and the new face of the consortium after BG was bought out by Shell.

Lakkotrypis has mentioned that this visit was the first time that the CEO and the President have met.

Delek Group Weighs Markets for $4 Billion IPO (Video) - BLOOMBERG

8:04 AM EEST
September 1, 2016

Delek Group, the Israeli energy company controlled by billionaire Isaac Tshuva, is considering New York, London or Amsterdam for an initial public offering of its stake in the Tamar natural gas field valued at $3 billion to $4 billion, according to people with knowledge of the matter. Bloomberg's Elliott Gotkine reports on "Bloomberg Markets Middle East." Watch the 2 minute VIDEO. 
(Source: Bloomberg)

Shell announces new natural gas discoveries in Egypt's Western Desert - REUTERS / ZAWYA

31 August, 2016

CAIRO, Aug 31 (Reuters) - Royal Dutch Shell announced on Wednesday new natural gas discoveries in a concession area of north Alam El-Shawish in Egypt's western desert.

The initial quantities discovered were estimated at about half a trillion cubic feet of gas with more possible reserves, Eden Murphy, chairman and CEO of Shell said in a statement.

The discovery could produce from 10 to 15 percent of the total production of Badr el-Din Petroleum company, which is a joint venture acting on behalf of the state-owned Egyptian General Petroleum Corporation (EGPC) and Shell in production operations, Murphy added.

Funding lapses blamed for Libyan output woes - OIL & GAS JOURNAL

HOUSTON, Aug. 31
08/31/2016
By OGJ editors

Libya’s reconstituted government is receiving blame for failure of oil production to recover from a slump caused by civil war and for the related loss of income.

The Petroleum Facilities Guard said it will close Gulf and Al Wafa oil fields in southern Libya because it hasn’t been paid for security services, Reuters reported.

The group earlier reached an agreement with the Presidency Council to open the Ras Lanuf, Es Sidra, and Zuetina terminals, but Reuters said the facilities remain closed (OGJ Online, Aug. 1, 2016).

The security force had claimed to be blockading the terminals to resist corruption and illicit oil sales. As part of the agreement to reopen the ports, it was to receive funds said to be overdue salary payments.

Cyprus signs deal with Egypt for gas transfers via pipeline - REUTERS

Lakkotrypis, Cyprus (left), El Molla, Egypt (right) 31.8.2016

Wed Aug 31, 2016 2:27am EDT

Aug 31 Cyprus signed a deal on Wednesday for the transfer of natural gas via pipeline to Egypt, once extraction starts of discoveries made off the Mediterranean island.

U.S. energy firm Noble found an estimated 4.5 trillion cubic feet of natural gas in one prospect off Cyprus in late 2011.

A consortium of Italy's ENI and Korea's KoGas have a contract with Cyprus for exploration over three offshore blocks. French oil major Total has exploration rights over one block.

Wednesday's accord was signed in the Cypriot capital Nicosia by Egyptian petroleum minister Tarek El Molla and Cypriot energy minister Yiorgios Lakkotrypis.

Spanish energy giant seeks to accelerate Tamar natural gas deal - ISRAEL HAYOM

Tuesday August 30, 2016

• Union Fenosa Gas is considering expediting its negotiations with the companies controlling Israeli offshore gas field
• If successful, gas will be piped to Spain through Egypt
• Deal requires upward of $1.5 billion investment by Tamar partnership.

Hezi Sternlicht, News Agencies and Israel Hayom Staff

Spanish energy giant Union Fenosa Gas is said to be considering accelerating its negotiations with the Tamar partnership as well as boost the gas quantities included in the deal, the Bloomberg news agency reported Monday.

Newcomer Energean will attract other int’l firms to explore for gas in Israel - JERUSALEM POST

By SHARON UDASIN
08/30/2016 20:38

Latest find and ongoing projects accelerating development in the entire region.
The expected purchase of the Karish and Tanin gas reservoirs by the Greek oil and gas company Energean will be a catalyst for other international companies interested in exploring Israel’s Mediterranean, a source linked to the project told The Jerusalem Post on Tuesday.

Energean’s entrance into the Israeli gas industry “opens the sector,” the source said. “The signal to the market is given: there’s something going on in Israel. You used to have a monopoly. Now you have a potential market.”

Although still pending Israeli government approval, the $148.5 million deal was signed by Athens-based Energean Oil & Gas in mid-August to purchase the gas reservoirs from two Delek Group subsidiaries, as well as pay the Israeli companies royalties from future gas and condensate sales. The likely sale of Karish and Tanin marked a first concrete step toward advancing Israel’s gas industry, following recent approval of the contentious “gas outline” that rattled the sector for all of 2015.

Major oil firms interested in Eastern Med gas - UPI / THE ARAB WEEKLY

Aug. 29, 2016 at 10:07 AM
Walid Khadduri

BEIRUT, Lebanon -- Major international oil companies have submitted bids to participate in Cy­prus' third licensing round for three southern offshore blocks adjacent to Egypt's northern waters.

The three Cypriot licensing rounds have encountered a number of challenges. Turkey's threats to operating firms overshadowed the first licensing round. It threatened to boycott IOCs operating in Cypriot waters. It did not allow the IOCs to take crude oil from Turkish ports. The IOCs were also not allowed to distribute petroleum products in the Turkish market. Turkey has boycotted Eni but the Italian firm challenged the decision in court and the dispute is being adjudicated.

Israeli powergen to burn more gas

August 29th, 2016, 3:45amYa'acov Zalel

Israel's energy minister, Yuval Steinitz has ordered the closure of four coal-fired power generation units and their replacement with two new natural gas-fired combined-cycle power generation units. He announced his decision following a public campaign to shut down the 40-yr old units that are part of Orot Rabin, the biggest power generation plant in Israel, near Hadera, north of Tel Aviv.

As part of his decision, Steinitz cancelled an NIS 8bn ($2bn) scheme to install smoke scrubbers in coal-fired units. The plants will however be maintained as back-up generators for the grid.

Gas deal with Egypt - IN-CYPRUS / CYPRUS WEEKLY

August 28, 2016

Egypt and Cyprus are expected to sign the first of three bilateral agreements on natural gas when Egypt’s energy minister Tarek El Molla visits the island on Wednesday.

It’s a move that will lay down the legal framework for companies to be able to sign contracts on exporting natural gas from the Cyprus Aphrodite field in Block 12 to Egypt.

“This is a bilateral agreement, one of three, which are necessary to create the conditions for the commercial agreement that is going to come from the companies and is under negotiation as we speak,” Energy Minister Yiorgos Lakkotrypis told the Cyprus Weekly.
The other two bilateral agreements under discussion involve cross-boundary pipelines and host agreements between the companies and each of the two governments.

Eni to raise Noras field production to 1bn feet of gas a day in 2017 - DAILY NEWS EGYPT

Increase comes alongside efforts to offset natural rate of decline, says source  

Mohamed Adel August 28, 2016

Italian energy company Eni aims to increase the Noras field production to 1bn cubic feet of gas a day at the beginning of 2017, instead of 700m feet in the current year.

A source in the petroleum sector told Daily News Egypt that drilling the development wells showed that Noras’ output will be even more gas than the initially-detected potential production of 700m cubic feet of gas a day.

He explained that 180m cubic feet gas a day from three wells in Noras will be linked to the national gas grid by mid-September, boosting the total output to 700m feet.

New finds could bring hope for LNG - IN-CYPRUS / CYPRUS WEEKLY

August 28, 2016

By Lefteris Adilinis and Fiona Mullen

The prospect of a land-based liquefied natural gas (LNG) plant could be back on the table if Total finds significant quantities of gas when it drills in Block 11 next year or if the new licensing round comes up with large discoveries, according to energy minister Yiorgos Lakkotrypis.

An LNG plant is not in the government’s current plans and the environment for LNG is currently difficult, with global companies cutting back production. At the same time, however, construction costs have been coming down because of steel prices.
“A lot will depend on the size of the discovery: how big it is, what the prices would be at the time, what other conditions there are,” the minister told the Cyprus Weekly.

When asked what production options would be possible if there were a very big discovery, Lakkotrypis said: “it could make LNG viable too”.

Egypt's game-changing energy deals - ARABIAN BUSINESS

Egypt’s Petroleum Ministry expects to attract $8.5bn in foreign
investments in energy research and development in 2016-17.

By Jason Rosychuk
Saturday, 27 August 2016 12:23 AM

The Egyptian government’s landmark oil and gas deals with five global oil majors has been pegged as a turning point for emerging markets hydrocarbons. Amid the publicity and excitement, will these contracts be a game changer for global oil players and for indigenous energy supply in the Middle Eastern country?

While news of the new contracts does not necessarily signal an oil market turnaround, it does demonstrate a renewed appetite for exploration in emerging markets, particularly for those in which established infrastructure exists.

ENERGY: Greece, Cyprus, Israel electricity highway takes shape - FINANCIAL MIRROR

26 August, 2016

Stages 1 and 2 to cost EUR 3.5 bln, fully funded by EuroAsia Interconnector
The biggest investment in Cyprus is finally taking shape as the final and comprehensive investment dossier has been submitted in Nicosia for the first electricity interconnection license that will provide a secure and stable supply of energy between Israel, Cyprus and Greece.

The project, promoted by the EuroAsia Interconnector in cooperation with the national utilities of the three countries, will also end the energy isolation of these ‘island’ states, that although are part of the regional and global economies, have remained detached from continental electricity grids. 

Record income for Tamar Partnership - NATURAL GAS EUROPE

August 25th, 2016, 9:30amYa'acov Zalel 
The Tamar partnership ended the first six months of 2016 with new production and financial records. It reported production of 4.5 bn m³, up 0.7 bn m³ or 18.4% from the year before and 214,000 barrels of condensate up 36,000 for the period. However, because of slightly lower average gas prices in the Israeli market, revenues and income gains lagged behind the production increase.

Total revenues for the first six months totalled $792mn, up $95mn or 13.6%. The average natural gas price was down 4% at $5.17/mn Btu. Revenues from gas were at $789mn and the rest, about $10mn, were from condensate. Helping was an instruction by the energy ministry to replace 15% of the coal used in power generation with gas. Operational expenses fell by 13.7% to $67mn or 8.4% of the revenues. Combined income before taxes for all four partners was $427mn, up $46mn from the first half of 2015.

Energy Minister's meeting with Egyptian counterpart set for next Wednesday - CYPRUS NEWS AGENCY

CNA - CYPRUS/Nicosia 25/8/2016 17:45

The meeting of Cyprus' Energy Minister George Lakkotrypis with his Egyptian counterpart, that was initially planned to take place today, has now been rescheduled for Wednesday, August 31, according to an official press release.

“The meeting between Minister of Energy, Commerce, Industry and Tourism of the Republic of Cyprus George Lakkotrypis and Minister of Oil and Mineral Resources of the Arab Republic of Egypt Tarek El Molla, planned for today in Nicosia, is set for the 31st of August in Nicosia” the press release reads.

SDX Energy 'Well Placed' to Drill South Disouq Well - RIGZONE

by Andreas Exarheas, Rigzone Staff, Wednesday, August 24, 2016

SDX Energy Inc. is well placed to maximize the potential of its South Disouq asset in Egypt, says the company’s president and CEO Paul Welch.

“We have a solid financial position which is underpinned by high-margin production that enables us to generate positive free cash flow down to $15 oil,” he commented in a company statement.

“This, combined with an active, and potentially transformational work program, gives us a high degree of confidence about the future,” Welch added.

Huge East Med gas reserves are focus of int'l interest - GLOBES

24/08/2016, 18:29
Nadav Shetreet

Cyprus, Lebanon, Egypt, and Israel are issuing a new series of natural gas exploration licenses.
The major natural gas reservoirs that have been discovered off the Mediterranean shores in recent years have made the region a focus of international interest. The past few months have been especially lively, with Lebanon, Egypt, Cyprus, and Israel simultaneously issuing new exploration licenses.

The American Geosciences Institute estimated in 2010 that the Eastern Mediterranean basin, which includes the territorial waters of Israel, the Gaza Strip, Lebanon, Syria, and Cyprus, has 3,450 BCM of natural gas and 1.7 billion barrels of oil. These reserves are likely to have substantial economic and environmental consequences. The discovery of these reservoirs in the their territory has given countries that were previously dependent on energy imports an opportunity to develop gas fields, achieve energy independence, and earn money by exporting gas to other countries.

Israel to offer 24 blocks in first offshore round - INTERFAX

The 24 blocks on offer in Israel’s offshore licensing round.

By Verity Ratcliffe 24 August 2016 11:28 GMT

Israel is hoping to build on the hype surrounding exploration in the East Mediterranean with its first offshore licensing round. The Ministry of National Infrastructures, Energy and Water Resources (MIEWR), the government agency responsible for overseeing all petroleum-related activities in the country, intends to approach IOCs in September before the official launch of the round in November.

The areas in the licensing round offer high gas prospectivity, but IOCs may need convincing because of the geopolitical situation and the uncertainty surrounding possible routes to market for gas exports.

A total of 24 blocks, each covering up to 40,000 hectares, will be on offer. Israel’s Petroleum Council approved the delineation of the exploration blocks on 10 August. The government hopes the round will draw more IOCs to the country’s oil and gas sector while promoting competition and transparency.

IOCs have been invited to meet the Israeli minister of energy, Yuval Steinitz, at roadshows in London on 1 September and Singapore on 6 September. The ministry will hold an information session in Houston after that. Other dates may be added, according to IHS Energy, which is advising the government on the round. Public holidays are likely to stymie progress in October so the round will officially open in November.

Turkey and the Energy Transit Question - CARNEGIE EUROPE

SEVERIN FISCHER
TUESDAY, AUGUST 23, 2016

For foreign and security policy analysts, pipelines tend to be the entry point into the world of energy. Pipelines create dependencies between countries, pipelines stay for decades, and pipelines have a highly symbolic political value.

In the European energy security debate, gas pipelines also have an identity function: you either support freeing Europe from its dangerous addiction to Russian gas by backing the Southern Gas Corridor—formerly known as “Nabucco” and designed to bring new gas supplies from the Caspian Basin, Central Asia, and Middle East regions into Europe—or you blindly follow the Kremlin’s breadcrumbs into the Nord Stream/South Stream-energy trap. Critical differentiation is rare.

Today, controversies over pipeline politics have a rather anachronistic flavor. This is mainly due to the growing flexibility of European—and partially global—natural gas markets in light of the massive increase in LNG supply, interconnectors, and spot market trade. This new market environment has not only changed the relationship between producers and consumers but has also altered the political and economic leverage of transit countries. This is especially important when looking at new transit countries, Turkey being a prominent example.

Cyprus-Egypt energy deal a possible PR stunt - CYPRUS MAIL

AUGUST 22ND, 2016
Elias Hazou

Cyprus’ sovereign rights, including the right to commercially exploit its natural resources, cannot be sidelined because reunification talks are ongoing, the government said on Monday.

“The longstanding position of the Republic of Cyprus is that the natural wealth belongs to the state, and that subsequent to a solution to the Cyprus problem all the people of Cyprus stand to benefit” government spokesman Nicos Christodoulides told the Cyprus News Agency.

He was being asked to respond to an earlier statement released by Baris Burcu, spokesman for Turkish Cypriot community leader Mustafa Akinci.

In his own statement, Burju had commented on reports in the Greek Cypriot media of an upcoming interstate gas-related agreement to be signed in Nicosia later this week between Cyprus and Egypt.

Greek media writes about new contradictions between Greek government and SOCAR over DESFA - ABC.az

22.08.2016 10:42

Between the Greek government and SOCAR (the State Oil Company of Azerbaijan) there are new frictions over acquisition of gas transmission company DESFA.

According to www.capital.gr, one of frictions – tariff policy, which among others affects the income from DESFA sale to foreign investors.

So, the Energy Ministry of Greece has made a number of amendments to the DESFA tariff policy without foreign investors’ consultations. The Greece media believes that commencement of tariff policy amendments may compromise the company privatization.

According to some reports, the SOCAR insisted on the DESFA value adjustment in case of any changes in the company assets. As a whole, the Greek government seeks to change the DESFA privatization model and to accept instruction on the sale of minority stake to a strategic investor over MOMCC model that may withdraw the SOCAR from negotiations,” web-portal writes.

U.S. Vision for Mideast Stability Runs Through Gas Pipelines - BLOOMBERG

August 21, 2016 — 10:37 AM EESTDavid Wainer

• Countries would gain from diversifying supply, diplomat says
• Line connecting Israel, Turkey would require Cyprus deal first

The potential to benefit from new gas discoveries has created a rare opportunity for eastern Mediterranean countries including Israel and Turkey to forge closer ties, according to U.S. Secretary of State John Kerry’s envoy on energy affairs.

Apache plans to increase its investments in Egypt’s petroleum explorations sector: cabinet - DAILY NEWS EGYPT

The government is providing new areas for international companies to increase their oil and gas exploration processes, says CEO

By Mohamed Ayyad

Apache, an American company specialised in the field of petroleum, plans to inject new investments in Egypt during the coming period and to sign new contracts for exploration soon, according to the company’s CEO John Christmann.

Prime Minister Sherif Ismail met on Sunday a delegation from Apache, which included the company’s chairperson, in the presence of Minister of Petroleum and Mineral Resources Tarek El-Molla to discuss the possibility of an expansion of Apache’s activities in Egypt.

Maximising the benefits from the third licensing round - CYPRUS MAIL

AUGUST 21ST, 2016
Constantinos Hadjistassou

Taking into account the current historically low crude oil prices, the interest shown in the third hydrocarbons licensing round by energy behemoths such as Exxon-Mobil, Statoil and Qatar Petroleum, is a highly encouraging development. Although the timing of the call for tenders was bold, nevertheless great care is needed if we are to make the most of this interest.

Key to the success of the call for tenders was the discovery of the Zohr supergiant gas field which shares similar geological structures – carbonate layers in the bedrock – with the offshore blocks auctioned in the third round. The big question now is the ranking of the bids submitted by the companies as well as the final political decision granting exploration concessions.

Over 700 Pipes Delivered to Greece for TAP’s Construction - OGE / TREND NEWS

August 19, 2016

By Maksim Tsurkov – Trend

The Trans Adriatic Pipeline (TAP) Consortium said Aug. 18 that more than 700 pipes have been additionally delivered to Greece’s Alexandroupolis for construction of the Trans Adriatic Pipeline.

In total, about 45,000 pipes will be used in the TAP’s construction.

TAP project envisages transportation of gas from Azerbaijan’s Shah Deniz field to the EU.

The 870-kilometer pipeline will be connected to the Trans Anatolian Pipeline (TANAP) on the Turkish-Greek border, run through Greece, Albania and the Adriatic Sea, before coming ashore in Italy's south.

Initial capacity of TAP will be 10 billion cubic meters of gas per year.

Energean's challenges in Israel's upstream - NATURAL GAS EUROPE

August 18th, 2016
Ya'acov Zalel

For Greek E&P company Energean, the $148.5mn acquisition of Karish and Tanin from Delek Group, is a big bet and a strategic turning point.

Energean is a small upstream company with operator's capabilities and no ambitions to become a global player in the energy sector. Its efforts are concentrated in Greece, the Balkans, Egypt and now in Israel's Karish and Tanin gas fields, the biggest undertaking in its history. Energean will be allowed to sell its Israeli output only in the Israeli market.The two fields together hold 60 bn m³ which are valued at about $10bn at a price of $5.00/mn Btu.

Energean’s point man and representative in Tel Aviv is Shaul Zemach, formerly the general manager of the energy ministry and famous for heading the Zemach Committee, which set gas export quotas.

With the acquisition of Karish and Tanin, Energean has undertaken its biggest ever challenge: a development of deep water natural gas resources. Energean has never carried out such a technically complicated and challenging project. However, as in any project of this kind the quality of the project is dependent also on the contractors' capabilities and experience. So Energean will have to choose experienced and trusted contractors.

NATO allies welcome Libyan progress - UPI

File photo by Stephen Shaver/UPI | Licensed Photo

Five members of the alliance have expressed recent concern about the security of Libya's oil wealth.

By Daniel J. Graeber | Aug. 18, 2016 at 6:50 AM

TRIPOLI, Libya, Aug. 18 (UPI) -- Members of the NATO alliance said they welcomed Libyan investment board actions as a step toward ensuring authority over the nation's oil wealth.

The governments of France, Germany, Italy, Spain, the United Kingdom, and the United States issued a joint statement welcoming the formation of an interim five-member steering committee for the Libyan Investment Authority.

Delek Drilling, Avner to sell Karish and Tanin fields to Energean - WORLD OIL

8/17/2016

ATHENS -- Delek Drilling and Avner Oil Exploration, part of Israel's leading integrated energy company, have signed a deal for the sale of 100% of their holdings in Karish and Tanin natural gas fields to Energean Oil & Gas.

Delek Group Press Release - Engagement in an Agreement for the Sale of all of the Rights in the Karish and Tanin

Energean Press Release 17.08.16 - Delek Drilling and Avner agree to sell Karish and Tanin Fields to Energean Oil & Gas

The deal, which is being undertaken as part of the implementation of the Gas Framework, set up by the Israeli government as part of their strategy to develop the energy market, is estimated to be valued at $148 million, which reflects return of Delek Drilling and Avner’s investment and future royalties from the expected sales of gas and condensate from the reservoirs.

Delek Sells Gas Fields to Greece’s Energean for $148.5 Million - BLOOMBERG

By Yaacov Benmeleh

August 17, 2016 — 10:12 AM EEST

• Delek, Noble to recieve 7.5% of future pre-tax revenue
• Companies have to sell fields to develop Leviathan reserve

Israel’s Delek Group Ltd. removed another regulatory hurdle to developing its prized Leviathan natural gas field after agreeing to sell two smaller reserves to Greece’s Energean Oil & Gas SA.

The Greek explorer will pay $148.5 million and 7.5 percent of future pretax revenue for the offshore Karish and Tanin fields, according to a Tel Aviv Stock Exchange filing late Tuesday. They hold approximately 85 billion cubic meters of natural gas, according to Delek Drilling, or about one-seventh the size of Leviathan, Israel’s largest gas find.

Egypt Discovery Transforms Petroleum Outlook in Eastern Mediterranean - CARNEGIE MEC

CAROLE NAKHLE, Op-Ed
August 16, 2016
The Lebanese Center for Policy Studies

Summary: Egypt is in a different league than its neighbors in the Eastern Mediterranean when it comes to oil and gas exploration.
When it comes to oil and gas exploration and production, Egypt is in a different league than its neighbors in the Eastern Mediterranean. Its oil activity spans more than one century and the country enjoys a colorful corporate landscape where large and small international companies and national companies cooperate and continue to make significant discoveries. From a regional perspective, having such a major competitor right at their own doorsteps presents challenges to countries like Lebanon, Cyprus, and Israel. But this does not necessarily signal a race to the bottom. On the contrary, it can lead to opportunities if cooperation is pursued.

Atwood Advantage wins Tamar drill contract - NATURAL GAS EUROPE

By Ya'acov Zalel, August 16th, 2016

The ultra-deepwater drillship Atwood Advantage is due to arrive at the Tamar gas field offshore Israel in a few months' time in order to drill a new well, Tamar 8.

The drillship belongs to Atwood Oceanics and is a relatively new vessel, able to drill in water depth of up to 3,567 m and drilling depth of up to 12,000 m. Its drilling equipment includes a double derrick, a hook load, a blow-out preventer, a marine raiser and mud pumps.

The drillship is expected at Tamar by November and the drilling is expected to last three to four months. The drilling will take place 100 km offshore, west of Haifa. Water depth at the drilling site is 1,670 m and the total drilling depth is planned for 5,050 m below sea level.

Israel's gas royalties hit new record - GLOBES

16/08/2016, 14:16
Globes correspondent

Royalties from gas and oil rose 12.8% in the first half of 2016, the Ministry of Energy reports.
The Ministry of National Infrastructures, Energy and Water Resources has reported a new NIS 411 million (96 million euro) record in revenues from fees and royalties related to natural gas, oil and minerals in the first half of 2016.

The lion's share of these revenues was due to natural gas and oil royalties, a total of NIS 394 million in the first half of 2016. NIS 392 million royalties were received for a 4.5 BCM natural gas output at the Tamar gas field. This constitutes an impressive 12.8% rise from the corresponding period last year.

Would Turkey's emergence as 'gas bazaar' be beneficial? - ANADOLU AGENCY

While Turkey's role as transit country for gas to Europe is significant, experts differ over benefits of being a gas bazaarANKARA, 16.08.2016

By Dilara Zengin & Ebru Sengul

Turkey's strategic role as an energy transit country could in the long term evolve to a regional gas hub, but the benefits of this status as a 'Turkish gas bazaar' is questionable, experts told Anadolu Agency.

Brenda Shaffer, adjunct professor at the Center for Eurasian, Russian and East European Studies (CERES) at Georgetown University, said that Turkey at present is already a critical oil and natural gas transit state.

“The Bosphorus is one of the world’s most important oil transit lanes (and thus an important potential energy choke point). Oil from multiple sources, including Azerbaijan and Iraq, is exported via Turkey’s ports. Turkey receives natural gas today from four different projects spanning across Russia, Azerbaijan and Iran, and from 2018 it will receive gas from another project, with the establishment of Trans-Anatolian Natural Gas Pipeline (TANAP),” Shaffer explained.

Eni invests $4bn in Zohr gas production processing plant - DAILY NEWS EGYPT

Italian oil company Eni invested $3.5-4bn in implementing the Zohr natural gas production processing plant at a capacity of 2.7bn cubic feet of gas per day. Minister of Petroleum and Mineral Resources Tarek El-Molla told Daily News Egypt that the total investments in Zohr field are estimated at $12bn until the point when production begins.

Mohamed Adel, August 15, 2016

Italian oil company Eni invested $3.5-4bn in implementing the Zohr natural gas production processing plant at a capacity of 2.7bn cubic feet of gas per day.

Minister of Petroleum and Mineral Resources Tarek El-Molla told Daily News Egypt that the total investments in Zohr field are estimated at $12bn until the point when production begins. Investments will then increase to $16bn over the life of the field.

Israel worries over Lebanon behind offshore ban - NATURAL GAS EUROPE

By Ya'acov Zalel, August 15th, 2016

The fear of a clash with Lebanon is behind Israel's moratorium on gas exploration to the north of its exclusive economic zone (EEZ), according to a report in the Israeli daily Yedioth Ahronot.

Israel and Lebanon have no diplomatic relations but there is a 1949 cease-fire agreement that is violated from time to time. Despite that, the US government in recent years has tried to settle the issue of the EEZ border, so far unsuccessfully.

The area in question is the Alon D block, west of Rosh Hanikra, the northernmost point of Israel on the Mediterranean. According to Israeli maps, most of the block's area is in Israel's EEZ and only a small area is in Lebanon's EEZ. Seismic surveys showed that the geological structures in the area are very similar to those of Leviathan and Tamar, suggesting a significant gas reservoir in the block but also the chance of the reservoir partly belonging to Lebanon. So Israel has not allowed its exploration.

Carl Icahn takeover talk boosts Delek US - GLOBES

Yitzhak Tshuva

14/08/2016, 14:18
Omri Cohen

A report in the "New York Post" citing an unidentified source said that CVR Energy is considering acquiring Delek US.

Carl Icahn's CVR Energy is interested in acquiring Delek US Holdings Inc. (NYSE:DK), controlled by Yitzhak Tshuva's Delek Group Ltd. (TASE:DLEKG) according to a report in the "New York Post," which cited an unidentified source close to the matter.

The report boosted Delek US's share price by 10.14% on Friday to $16.14, giving a market cap of $1.01 billion. The share has risen 31% since the start of August after falling 60% over the past year.

Delek US owns two refineries in Texas and Arkansas and 360 gas stations in seven US states as well as a 47.4% stake in Alon USA Energy Inc. (NYSE:ALJ).

Eni talks to big oil about stake sale in giant Egypt gas field - sources - REUTERS

Fri Aug 12, 2016 10:07am EDT

By Stephen Jewkes and Oleg Vukmanovic | MILAN

Aug 12 Italy's Eni is talking to oil companies including Lukoil, ExxonMobil, Total and BP about selling at least a 20 percent stake in its giant gas field in Egypt, industry sources said.

Eni owns the whole of Zohr and has said it is interested in bringing in partners as part of its strategy of selling some of its prize acreage to help meet a target of raising 5 billion euros from asset disposal over the next two years.

Analyst have said a 25 percent stake in the Zohr field, the Mediterranean's biggest, could fetch up to 2 billion euros ($2.24 billion).

Chief Executive Claudio Descalzi has said any deal on Zohr would have to wait until next year when final appraisals are complete and production kicks in.

"It may be early days but Eni has started talking," said one banker familiar with the Italian group.

Eni, Total and Exxon did not comment, while BP said it did not comment on rumour and speculation. Lukoil declined immediate comment.

Swiss court backs Iran in decades-old oil row with Israel - REUTERS

Thu Aug 11, 2016 7:11am EDT

Switzerland's highest court has ordered Israel to pay Iran around $1.1 billion plus interest in a decades-old dispute over a secretive oil pipeline company predating the 1979 Islamic revolution which made the countries enemies.

The Swiss Federal Tribunal rejected an appeal, citing lack of due process, against an arbitration ruling last year. The verdict, dated June 27, was available on the Lausanne court's website.

It also awarded Iran 450,000 Swiss francs ($461,302) in court costs and lawyer fees.

It remains unclear whether Israel will pay up given restrictions its "trading with the enemy" laws.

UPDATE 1-Egypt government approves five oil and gas exploration deals - REUTERS

Wed Aug 10, 2016 1:51pm GMT

CAIRO Aug 10 (Reuters) - Egypt's government has approved five oil and gas drilling and exploration agreements with foreign companies, Petroleum Minister Tarek El Molla said on Wednesday.

Once an energy exporter, Egypt has turned into a net importer because of declining oil and gas production and increasing consumption. It is trying to speed up production at recent discoveries to fill its energy gap as soon as possible.

Four of the deals are offshore Mediterranean gas exploration and drilling agreements between Egypt's state gas board EGAS and BP, Eni, Total, and Edison.

The fifth deal, which is an oil drilling deal in the Gulf of Suez, is between state petroleum board EGPC and local company Trident Petroleum.

Does Russia need to connect 'Turkish Stream' and TANAP? - VESTNIK KAFKAZA

Aug 10 - 10:52 pm

Today, Turkey's Foreign Minister Mevlut Cavusoglu has offered to connect the Turkish Stream pipeline to the Trans-Anatolian Natural Gas Pipeline (TANAP), via which Azerbaijani gas will be delivered to Europe.

According to him, Ankara will buy only 16 billion cubic meters of Russian gas per year via the Turkish Stream. The remaining volume of Russian gas can be exported through Turkey via TANAP by connecting it to the Turkish Stream.

Vestnik Kavkaza asked the director of the Baku Oil Research Center Caspian Barrel, Ilham Shaban, whether this project is realistic and what benefits can it bring to the parties.

Prime minister, foreign minister meet with Cypriot foreign affairs minister - DAILY NEWS EGYPT

Tuesday August 9, 2016

Sarah El-Sheikh

Developing cooperation in energy discoveries and natural gas extraction fields were at the forefront of the officials’ discussions
Prime Minister Sherif Ismail met with Cypriot minister of foreign affairs loannis Kasoulidis early on Tuesday in the presence of Egyptian Minister of Foreign Affairs Sameh Shoukry and Cyprus’ ambassador in Egypt to discuss bilateral relations, according to a statement from the prime minister’s spokesperson Hossam Qawesh.

During the meeting, Ismail pointed out the depth of Egyptian-Cypriot relations, confirming that recently these have developed significantly through enhancements in joint cooperation between both countries.

Gas exploration to resume in Israeli waters - GLOBES

09/08/2016, 19:36
Globes correspondent

After a four year hiatus, the Petroleum Council recommends inviting bids for 24 blocks. 

The Petroleum Council that reports to the Ministry of National Infrastructures, Energy and Water Resources has approved the granting of new exploration areas in Israel's economic waters. The Council's made its recommendation after four years in which the sea was closed to new exploration, and following Minister of National Infrastructures, Energy and Water Resources Yuval Steinitz's instruction that exploration should be renewed.

The Council recommends the minister to offer 24 blocks initially, in an international bidding process, in which energy companies will be called on to bid in an auction and participate in exploration for oil and natural gas in Israel's economic waters.

The Council selected 24 potential blocks, each up to 400 square kilometers in area. Some of the blocks are close to the large gas discoveries in water depths of 1.5-1.8 kilometers.

Libya starts work at biggest oil port to increase output - ENERGY VOICE / BLOOMBERG

08/08/2016 4:00 am

Libya has started maintenance work at Es Sider port, the nation’s largest oil export terminal, as part of plans to increase output from Africa’s biggest holder of crude reserves.

Exports should resume in a month once official orders are received to reopen the port, Galal Mohamed, head of operations at Waha Oil Co. , said in a phone interview Sunday from Libya’s eastern city of Ras Lanuf. Es Sider,

operated by Waha Oil, has been closed since December 2014 when armed groups attacked the port. The state National Oil Corp. has engineers and other workers at the port to evaluate damages and decide when to resume exports, NOC’s Ibrahim Al-Awami said by phone.

Petroleum Ministry agrees to sign revolving Letter of Credit for Zohr - ENERGY EGYPT / ENTERPRISE

August 8, 2016

Petroleum Ministry moves to reassure Eni over Zohr.
The Petroleum Ministry has agreed to add a requirement to its agreement with Eni over the Zohr field requiring the state to open a revolving letter of credit facility worth the equivalent of Eni’s stake in production, Al Borsa reported. The move, Petroleum Minister Tarek El Molla says, is meant to reassure Eni that the Egyptian government will meet its financial obligations and reduce risk. El Molla hopes this will help Eni expedite the field’s development.