An energy union - IN CYPRUS / CYPRUS WEEKLY

October 22, 2016
By Charles Ellinas

Israel and Turkey agreed last week to open discussions and examine building a gas pipeline to pump Israeli gas from Leviathan to Turkey and from there to Europe.

The meeting last week between Israeli Energy Minister Yuval Steinitz and Turkish Energy Minister Berat Albayrak in Istanbul, was the highest-level official meeting since the two countries normalised ties in June. The process to normalise relations was strongly backed by the US.

The crisis between the two countries erupted after Israel stormed a Gaza-bound Turkish aid ship, the Mavi-Marmara, in 2010. Until that time, Turkey had been Israel’s key ally in the Muslim world.

In June this year the two countries finally agreed to normalise their relationship, with the return of their Ambassadors to their posts later in the year.

Greece and FYROM to study gas interconnector option - NATURAL GAS WORLD

October 21st, 2016, 3:20pm, by Kama Mustafayeva 

Greece gas grid operator DESFA and state-owned Former Yugoslav Republic's Macedonian Energy Resources (FYR MER) signed a memorandum of understanding to build a 160-km interconnector linking Greece and the Former Yugoslav Republic of Macedonia on October 17 in the capital Skopje.

The companies will prepare feasibility study for the line that starts in Nea Mesimvria in northern Greece and ends in Stip. The MoU was signed by DESFA CEO Sotiris Nikas and his counterpart at FYR MER, Krste Miladinov.

The line will connect FYROM to the TransAdriatic pipeline (TAP) now being built, and other prospective nearby gas corridors such as Turkish Stream. It will also provide the Former Yugoslav Republic with direct LNG supply from Greece’s terminal in Revithoussa off Athens, Miladinov said at the signing ceremony.

Israel to examine building GTL plant - NATURAL GAS WORLD

October 20th, 2016, 12:10pm, by Ya'acov Zalel

Israel's energy ministry is exploring the option of building a gas-to-liquids (GTL) plant in Israel. The ministry said that it will assist entrepreneurs to explore that option and consider what the consequences would be for the country's energy sector.

Two years ago the ministry published a request for information for GTL in order to reduce dependence on oil in transport. In 2011 the government set a target of reducing oil consumption by 60% by 2025.

"We are working towards widening the Israeli natural gas market," the ministry director general, Sahul Meridor said in a statement. "Innovative technology of liquid fuel production from natural gas will enable the use of gas in other sectors of the economy and to increase demand for natural gas."

Turkish Stream: The Cost of Russia’s Stubbornness - CARNEGIE MOSCOW CENTER

20.10.2016,
By Mikhail Krutikhin

Unlike Russian gas pumped via Ukraine and Germany, that flowing through Turkey will face tough competition from Azerbaijani, Iranian, Iraqi, and possibly even Turkmen and Israeli gas. Gazprom’s rivals won’t need to ship their gas as far, and they will have much lower pipeline construction costs. The gas market in southeastern Europe is not that big and doesn’t have a lot of room for growth.

Not so long ago, Turkey was on the Kremlin’s list of adversaries following the NATO member’s shooting down of a Russian fighter jet over the Syria-Turkey border. Now Russia is effectively relinquishing control over its southward gas export to Turkey. This is the extent to which the Kremlin is prepared to go to punish disobedient Ukraine—but it will come at a cost to Russia.

Floating LNG terminal to ease energy supply in Turkey’s industrial base - DAILY SABAH

20.10.2016

The floating liquefied natural gas (LNG) terminal off of the Yalova province coast in Turkey's Marmara region is expected to ease the energy supply for the region, which hosts over a quarter of the country's population and industry.

According to an article in Turkish business daily Dünya, a company named Maks Enerji has applied to the Energy Market Regulatory Board (EMRB) to obtain a license to operate a Floating Storage Regasification Unit (FSRU) that will be located on the southern shores of the Gulf of Izmit in the district of Altınova.

Subsea 7 awarded contract offshore Egypt Luxembourg - SUBSEA 7

20 October 2016

Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY) today announced the award of a substantial contract, offshore Egypt, by Pharaonic Petroleum Company to be executed at water depths of over 900 metres in the Atoll field. Subsea 7 defines a substantial contract as being between USD 150 million and USD 300 million. 

The contract scope includes the engineering, procurement, construction and installation of more than 40 kilometres of rigid pipelines and associated structures for the new Atoll field, tying into the existing Taurt field at a water depth of 100 metres. A 105 kilometre umbilical will also be installed linking the Atoll field to shore.

Libya resumes output from Waha oilfield - ECOFIN AGENCY

Wednesday, 19 October 2016 - 09:23, by Anita Fatunji

(Ecofin Agency) - Libya has recommenced production from the Waha oil field bringing the country’s total production to 580,000 barrels per day, a senior Libyan oil official revealed.

According to the official, oil output from the field is being redirected to the Ras Lanuf export terminal rather than the usual Es Sider port due to limited storage.The Waha field, which is operated by the Waha Oil Company, is one of the key contributors for the major Es Sider export grade. It is the first Es Sider field to resume operation, producing 50,000 bpd as at Tuesday.

Output from the field was around 330,000 bpd before the war in 2011, but some infrastructure had been damaged and capacity was reduced.The Es Sider port currently has only a storage capacity of 1.2 million barrels compared to the 5 million barrels level before the war. The Es Sider grade will therefore be divided between Ras Lanuf and Es Sider as output increases.

Gas pipeline hope heals rupture in Israel-Turkey ties - BBC

TUR Energy Minister Berat Albayrak (R) and ISR Energy Minister
Yuval Steinitz (L) meet at 23rd World Energy Congress (AFP)

By Selin Girit, BBC News, Istanbul, 19 October 2016

Israel is looking to transfer natural gas from its offshore fields to markets as far away as Europe

All the painstaking efforts aimed at mending Turkish-Israeli relations are finally paying off, six years after they broke off in acrimony.

Last week, Yuval Steinitz became the first Israeli minister to visit Turkey since 2010, for talks with his Turkish counterpart, Energy Minister Berat Albayrak.

The visit signalled a significant turning-point in relations as they agreed to deepen co-operation and discussed the possibility of building a natural gas pipeline from Israel to Turkey.

Delek and Noble to Be Barred From New Israeli Gas-drilling Tender - HAARETZ

After a bruising battle over the gas framework agreement and competition issues, the government is now determined to inject more competition into the industry.
Avi Bar-Eli Oct 19, 2016 12:27 AM

Delek Group and Noble Energy – the two biggest players in Israel’s gas industry – will be barred from bidding in the government tender for new exploration sites scheduled for next month, Energy Ministry officials have decided.

The decision means that the two companies, which are the biggest partners in the Tamar and Leviathan gas fields, will not be able to compete for licenses for 24 blocs due to be auctioned by the government in a process that gets underway November 15.

The tender marks the first time in four-and-a-half years that Israel is opening up new licenses for exploration, with hopes of boosting output in the coming years and turning the country into a major energy exporter. Israel has about 900 billion cubic meters of gas reserves, a number that Energy Minister Yuval Steinitz says could grow to 2,200 BCM, enabling Israel to export to markets such as Turkey and Europe.

How Eni Bet Big and Won Big on Natural Gas off Egypt - NEW YORK TIMES

Eni’s chief executive, Claudio Descalzi

By STANLEY REED OCT. 19, 2016

SAN DONATO MILANESE, Italy — A drilling ship working about 120 miles off the Egyptian coast for Eni, the Italian oil company based here, bored into a giant trove of natural gas in July 2015 that turned out to be the largest discovery ever in the Mediterranean Sea and by far the largest by the global petroleum industry that year.

The find, called Zohr, meaning “noon” in Arabic, was the source of enormous relief and even elation at Eni, which had risked $70 million to drill a well in an area where Royal Dutch Shell, the Anglo-Dutch company, had previously drilled 10 without success.

Eni’s chief executive, Claudio Descalzi, let the drilling go ahead — despite serious misgivings inside the company — because some of his geologists were convinced that Shell and other rivals might have missed something big.

“It was a very emotional moment,” said Mr. Descalzi. “We tried to look outside the box.”

Eni completes drilling 6th well in Zohr deepwater - DAILY NEWS EGYPT

Saipem 10000 drillship  drilled Zohr discovery well & development wells

Production tests confirmed reserves increase to more than 30tn cubic feet of gas, says source
Mohamed Adel, 18.10.2016

The Italian company Eni completed drilling operations in the sixth well in Zohr gas field in the deepwater offshore of the Mediterranean Sea as production tests on its fifth well confirmed that reserves increased to 30tn cubic feet of gas.

An official at Eni told Daily News Egypt that the sixth well’s production tests will start next week and will take roughly 10 days.

He added that drilling operations, establishing a gas treatment plant, and processing marine pipelines to connect them to the Shorouk concession area are currently being implemented, according to the project’s development plan.

TANAP Pipeline Gas Transportation Capacity Fully Contracted - SPUTNIK NEWS

updated 13:29 18.10.2016

Gas for transportation via the TANAP pipeline has already been contracted, President of Azerbaijan Ilham Aliyev told Sputnik.

The Trans-Anatolian Natural Gas Pipeline (TANAP) will not face competition from other regional energy projects as gas for transportation via the pipeline has already been contracted, President of Azerbaijan Ilham Aliyev told Sputnik. 

"The volumes of gas that will be transported in the first stage along the entire length of the project, have already been contracted, they have already been sold. We have signed contracts for the increase in production, which will start in 2018 and should reach its peak in 2020-2021. Therefore, no other regional energy projects can compete with it, because we have already sold this gas," the president told Rossiya Segodnya International Information Agency’s Director General Dmitry Kiselev in an interview.

TANAP is a major part of the Southern Gas Corridor that will connect the Shah Deniz gas field in Azerbaijan with Europe. The corridor will run from Azerbaijan to Turkey, through Greece, Albania, and deep under the Adriatic Sea to southern Italy.

Egypt- BP produces 650m cubic feet from Taurus and Libra fields - MENAFN / DAILY NEWS EGYPT

17/10/2016 

(MENAFN - Daily News Egypt) BP signed an agreement with Royal Dutch Shell to process 650m cubic feet of gas, produced from its North Alexandria project, at Shell's Borollos station for 0.3 per million feet.

A senior source in the petroleum sector told Daily News Egypt that the process of linking the North Alexandria project to the station in Borollos will begin in the coming period.

He noted that Borollos gas treatment plant has an estimated capacity of about 1.1bn cubic feet per day. The station currently processes 650m cubic feet per day.

The North Alexandria project involves the development of five fields, starting with Taurus and Libra fields by linking them to the onshore processing facilities in Borollos in the third quarter of 2017. The company has completed 52% of operations in Taurus and Libra fields.

The East Mediterranean gas revolution - ABO

Oct, 17 2016
Nicoló Sartori

The recent discoveries give the region an unprecedented opportunity to foster cooperation on energy and its exports, as well as to reach for diplomatic ways to handle the region's conflicts

The gas discoveries in the East Mediterranean have generated an outburst of enthusiasm, fostering an image of the region as a global future gas producer. Potential export trajectories for the East Mediterranean resources include a range of options from inter-regional gas trade with Turkey and Egypt to exporting gas to the EU, whose current priority is to diversify its gas suppliers. However, encouraging stability and political cooperation among the countries of East Mediterranean is a primary goal for regional stakeholders (EU included), given the tense relations between virtually all future gas producer and transit countries in the area.

Bulgarian and Greek pipeline aims to cut gas dependency on Russia - FINANCIAL TIMES

Small but important gas pipeline eases dependency on Russia17.10.2016, Kerin Hope

Moves to increase energy sector competition, boost cross-border supplies and decrease the region’s and Europe’s dependency on Russia for natural gas are afoot in the Balkans.

An important part of the plan is the construction of a short but significant cross-border pipeline, the Interconnector Greece-Bulgaria (ICGB), due to start next year.

The 180km reverse-flow pipeline will be able to pump gas in either direction between Komotini, in Greece’s northeastern province of Thrace, and Stara Zagora in central Bulgaria.

Egypt: Mostorod refinery to be completed in 2017: ERC - ECOFIN AGENCY

Monday, 17 October 2016 - 15:04
By Anita Fatunji

(Ecofin Agency) - The Egyptian Refining Company (ERC) has announced plans to conclude its refining project in Mostorod within the Q1 of 2017, as part of moves to address the supply gaps in the petroleum derivatives market.

According to the company’s Managing Director, Mohamed Saad, 90% of the project has been executed and the overall investments in the project have reached $3.7b, with the completion of all necessary procurement of materials and services. He added that the Egyptian General Petroleum Corporation (EGPC) owns 24% of the venture.

Why difficult to connect Israel to Southern Gas Corridor? - TREND NEWS AGENCY

17 October 2016 11:34 (UTC+04:00), Baku, Azerbaijan, Leman Zeynalova

The practicalities and specifically, the infrastructure needs of connecting Israeli gas to the Southern Gas Corridor will make it difficult to accomplish, Agnia Grigas, energy and political risks expert, non-resident senior fellow at the Atlantic Council, told Trend Oct.17.

Earlier, Cemil Ertem, advisor to the Turkish president, said that Turkey wants to connect Israeli gas supplies to the Southern Gas Corridor project.

“First, there are legal and legislative restrictions on Israel’s gas exports with about half of the gas stipulated for Israel’s domestic consumption,” said Grigas.

“More importantly, laying a pipeline to connect to the Southern Gas Corridor or any other pipeline system will be difficult in the unstable and conflict-prone environment of the Middle East,” she said. “Terrorist attacks can be carried out on and from Egyptian territory, Gaza Strip, and Lebanon making a land route and even a water route problematic.”

Al-Nadhouri: We’ll put Libyan oil under Egypt’s control - LIBYAPROSPECT

Oct 16, 2016, Al-Youm7, LIBYAPROSPECT – London

The Libyan military chief of staff affiliated to the House of Representatives (HoR), General Abdul-Razek Al-Nadhouri, said that the head of the eastern Libyan National Oil Corporation would be in Cairo on Saturday.

During his visit to Cairo, Al-Nadhouri told the Egyptian newspaper “Al-Youm 7”, who interviewed him, which LIBYAPROSPECT is translating for its readers, that the Libyan oil will be under Egypt’s control. He added that there would be daily shipments of Libyan oil to Egypt and “we will listen to the Egyptians and will send them the oil implements.”

Al-Nadhouri said that this might be seen as a subordination and surrender but “if this how our enemies think, so we are proud of surrendering ourselves to Egypt.”

He also expressed that “if the world says that Egypt is the mother of the world, we say that “Egypt is our mother” because she supported us when no one supported us.

Talk of Russian gas pipeline via Greece revived - KATHIMERINI

16.10.2016 14:53

The prospect of a Russian natural gas pipeline passing through Greece is being discussed again in light of a key deal signed between Moscow and Ankara in Istanbul last Monday.

In a sign of warming relations between Ankara and Moscow, that were seriously tested after the Turks shot down a Russian jet near the Syrian border last November, Turkey’s President Recep Tayyip Erdogan and Russia’s Vladimir Putin signed an agreement for the construction of a pipeline under the Black Sea all the way to the Greek-Turkish border.

Turkish Stream is an alternative to the South Stream project (Russia-Bulgaria-Serbia-Hungary-Austria-Italy) which was abandoned last year in the wake of the Ukrainian crisis and a change of heart in Sofia.

Turkey-Russia ties and the impact on Cyprus - IN CYPRUS / CYPRUS WEEKLY

October 16, 2016
Charles Ellinas

The 23rd World Energy Congress was held in Istanbul between October 9 and 13. There was heavy participation from world political and industry leaders, attracting more than 10,000 top world experts in the field of energy.

Meetings around the Congress resulted in progress on a number of areas of direct or indirect importance to Cyprus. These included TurkStream, gas price discounts by Russia to Turkey and political and defence agreements between Russia and Turkey. I address these in this article and, where appropriate, draw on their impact on Cyprus.

Leviathan Israeli-Turkish Gas Deal Unlikely, Due to Technical, Political Reasons - SPUTNIK NEWS

(updated) 18:13 15.10.2016

Tel Aviv and Ankara are due to start intergovernmental consultations on the construction of a pipeline in the Mediterranean Sea that will supply Israeli gas to Europe via Turkey, according to Yuval Steinitz, Israel's Minister of National Infrastructure, Energy, and Water Resources.
Speaking to reporters after his talks with Turkey's Energy Minister Berat Albayrak earlier this week, Israel's Minister of National Infrastructure, Energy, and Water Resources Yuval Steinitz said that Tel Aviv and Ankara have agreed to start intergovernmental consultations on the construction of a pipeline in the Mediterranean Sea to supply Israeli gas to Europe via Turkey. 

In an interview with Sputnik, energy expert Tugce Varol Sevim underscored that the implementation of the project is unlikely due to a number of technical and geopolitical reasons.

New book offers Greek energy market insights in English - KATHIMERINI

The Exclusve Economic Zones of Greece and Cyprus

14.10.2016 : 18:25

Publishers Editcom, who also operate specialized website energia.gr, have released the “Greek Energy Directory 2016,” a comprehensive guide to the local energy industry, which is at the forefront of privatizations in Greece, given the country’s recently discovered hydrocarbon reserves, the opening up of the local energy market and the infinite domestic capacity in terms of renewable sources.

The A4-sized book offers English speakers a unique guide to the latest developments and the background of the country’s energy sector in all domains and niches, edited by Costis Stambolis, the managing editor of Energia.gr and executive director of the Institute of Energy for Southeastern Europe (IENE).

It also contains a series of articles and analyses by key market players who offer insight and projections concerning upcoming developments in the sector.

Total plans to invest $100m in Egypt - ECOFIN AGENCY

Friday, 14 October 2016 - 08:56, Anita Fatunji

(Ecofin Agency) - Total has announced plans to invest $100 million in Egypt in the next five years and also invest more amounts on filling stations, as part of plans to open 10 facilities annually.

According to the company’s Senior Vice President for Africa, Stanislas Mittleman, Total recently invested huge amounts in Borg El Arab factory for lubricant and exported part of its production to Jordan, Lebanon and other African countries.

Mittleman had met with the Egyptian Minister of Petroleum, Tarek El Molla, together with Total’s Managing Director in Egypt, Ian Lepetit, in order to outline the company’s projects in Egypt. El Molla noted that Total is a leading company in Egypt in the areas of marketing petroleum products, setting up filling stations, and manufacturing lubricant.

Egypt's relationship with Saudi is 'solid': Prime minister - AHRAM ONLINE

Egypt's Prime Minister Sherif Ismail

Last week signs of tension surfaced between Egypt and Saudi Arabia

Ahram Online , Friday 14 Oct 2016

Egypt’s Prime Minister Sherif Ismail described the country's relationship with Saudi Arabia as “good and solid” after recent reports of diplomatic tensions between the two countries, Al-Ahram newspaper reported on Friday.

Last week, signs of tension surfaced between Egypt and the kingdom over Cairo's votes on two rival UN Security Council resolutions on Syria.

The Saudi ambassador to Cairo, Ahmed Kattan, left the country for a three-day visit to the kingdom while Saudi oil company Aramco did not deliver the monthly oil shipment to Cairo for October.

Final Declaration The Trilateral Summit of Egypt, Greece and Cyprus (Cairo, 11 October 2016) - HELLENIC REPUBLIC

Thursday, 13 October 2016

The Prime Minister of the Hellenic Republic, Alexis Tsipras, the President of the Republic of Cyprus, Nicos Anastasiades and the President of the Arab Republic of Egypt, Abdel Fattah el-Sisi, having met in Cairo, 11th of October 2016, have agreed to strengthen the cooperation between the three countries in order to promote a trilateral partnership in various fields of common interests, and to work together towards promoting peace, stability, security and prosperity in the Mediterranean.

Given the fluid and unstable situation in the region, the three countries, which share common values, and interests, have, to this end, agreed on the importance of closer cooperation and highly coordinated set of policies.

The fourth round of Trilateral Summit between Cyprus, Egypt and Greece concluded in Cairo with this Declaration in which the three countries agreed to work on the implementation of projects in the fields of energy, maritime transport, tourism and agriculture. The Heads of State and Government welcomed the progress achieved so far in these sectors and recognized that much more remains to be done to ensure that growth is experienced in their communities.

Israeli round set for mid-November - NATURAL GAS WORLD

October 13th, 2016, 1:45pm, Ya'acov Zalel

Under the slogan "Open Israeli Waters for Exploration", Israel's energy ministry will launch an exploration licensing round on November 15 -- the first ever competitive offshore round in Israel's history. But it won't go through without difficulties.

According to the timetable published on a website dedicated to the licensing round, another roadshow will take place in Houston, Texas on November 30 -- the third, following ones in London and Singapore last month -- then an online Q&A process will conclude on January 31 2017, and then the closing date for bids is set for March 28 2017. Documents and data packages will be available for purchase starting mid-November 2016.

SGC most important project for BP - TREND NEWS AGENCY

13 October 2016 19:06 (UTC+04:00)
Baku, Azerbaijan, Oct. 13

By Orkhan Quluzade – Trend:

The Southern Gas Corridor (SGC) is the most important project for BP, Tufan Erginbilgic, BP’s downstream chief executive, told reporters Oct. 13 on the sidelines of the 23rd World Energy Congress in Istanbul.

Erginbilgic said the project worth $45 billion is important both for BP and the energy market.

“The Southern Gas Corridor project has already been implemented by 83 percent,” he noted, adding that the Trans Anatolian Natural Gas Pipeline’s (TANAP) construction is being carried out in line with the schedule.

He reminded that BP has a 20-percent share in the Trans Adriatic Pipeline (TAP).

Israel, Turkey deepen energy ties as relations resume after 6-yr rupture - REUTERS

Thu Oct 13, 2016 | 10:06am EDT

By Can Sezer, Additional Reporting by Tulay Karadeniz in Ankara; Writing by Ece Toksabay; Editing by Nick Tattersall

Israel and Turkey agreed to deepen cooperation in the energy sector on Thursday, taking a further step towards normalizing ties with the first Israeli ministerial visit to Turkey since a breakdown six years ago.

Israeli Energy Minister Yuval Steinitz said he would welcome more involvement by Turkish firms in the Israeli energy sector, particularly in gas exploration, and said "detailed dialogue" between the two governments would begin in the coming months.

After meeting in Istanbul with his Turkish counterpart Berat Albayrak, who is President Tayyip Erdogan's son-in-law, Steinitz said the two had discussed the possibility of building a natural gas pipeline from Israel to Turkey.

Turkish Stream Project Will Help Greece Become Regional Energy Hub - SPUTNIK NEWS

13.10.2016, 12:07

Athens supports the Turkish Stream gas pipeline as it will enhance the energy security in the country and help Greece reach its aim of becoming a regional energy hub, a spokesperson for the Greek Ministry of Environment and Energy told Sputnik.
MOSCOW (Sputnik) — On Monday, Russia and Turkey signed an intergovernmental agreement on the gas pipeline, which envisions the construction of two underwater legs in the Black Sea, with the annual capacity of 15.75 billion cubic meters each. The pipeline is expected to deliver gas from Russia to Turkey and continue to a hub on the Turkish-Greek border, from where the gas could be transferred to other European countries. 

Gazprom to finance offshore part of Turkish Stream - NATURAL GAS WORLD

October 12th, 2016 9:05amMurat Basboga

Russian gas giant Gazprom will finance the construction of the offshore part of the Turkish Stream project, Gazprom CEO Alexei Miller said, according to Interfax news agency. In an interview with Russia 24 TV, he said that the company would start construction of offshore portion of the pipeline to Turkey in 2018.

The onshore infrastructure that will supply the Turkish market, will be financed and constructed by Turkey's state owned pipeline company Botas. Two companies could form a joint venture on a parity basis, the report added.

Miller also said that Turkish Stream would not compete for European markets with Nord Stream 2, a pipeline project which will supply northern Europe.

Libya’s oil production set to reach three-year high by December - WORLD OIL

By NAYLA RAZZOUK on 10/12/2016

ISTANBUL (Bloomberg) -- Libya’s oil production is set to reach a three-year high by December, as fields restart and ports reopen after five years of armed conflict crippled sales.

Output is now 540,000 bopd and will reach 900,000 bopd by the end of the year, Libya’s National Oil Corp. Chairman Mustafa Sanalla said Wednesday in Istanbul. That would be the highest production since June 2013, according to data compiled by Bloomberg.

Libya, with Africa’s largest crude reserves, has increased oil output after the NOC reached an agreement last month with Khalifa Haftar, commander of the armed forces controlling key oil ports. Shipments were able to resume from ports including Ras Lanuf, Es Sider and Zueitana, leading Germany’s Wintershall AG to resume output in As Sarah oil field on Sept. 16.

Construction of the EuroAsia Interconnector to begin in 2017 - CYPRUS MAIL

October 12, 2016

The official operator of the EuroAsia Interconnector electricity connection, a project approved and supported by the European Commission, announced Wednesday that the technical and economic studies have successfully concluded and work on the 1,520km ‘electricity highway’ that will secure international energy supply will begin in 2017.

Construction work will begin with completion of the first section (Cyprus-Israel) in 2019, the second section (Crete-Attica) in 2020 and the final section of Cyprus-Crete in 2022.

The EuroAsia Interconnector will establish the first electricity corridor between the eastern Mediterranean and the European Union, ending the energy isolation of Cyprus, as well as Crete and Israel, and will vastly contribute to energy supply and security in the region.

Shell in talks with government to increase natural gas supply - DAILY NEWS EGYPT

Shell is currently in talks with the government in order to increase exports, as the government seeks to increase supply to the domestic market

12.10.201, Nicholas Mehling

The Egyptian government is slowly moving closer to increasing the domestic energy supply and restarting liquefied natural gas (LNG) exports, as the government continues negotiations with Shell to raise the volume of gas sent to the Idku LNG plant. Shell confirmed reports that they are exploring options to increase domestic supply, but expressed doubts about Egypt’s export potential. Despite the short-term skepticism, Egypt’s long-term potential in becoming a major player in natural gas production may be a foregone conclusion.

Shell’s Middle East operations spokesperson Nureddin Wefati stated: “Shell’s Idku gas treatment and liquefaction facilities, whether subsea or onshore, provide an economic edge for Egypt. Due to known gas supply issues, we expect very limited cargoes to be lifted of Egyptian LNG. Shell is in ongoing talks with interested parties and continues to investigate options for increasing the supply of natural gas to the country.”

Multinational exercise “NEMESIS 2016” takes place within Cyprus’ EEZ - CYPRUS MAIL / CNA

October 12, 2016

A large-scale aeronautical multinational exercise, code-named “NEMESIS – 2016”, will take place today for the third consecutive year within the Exclusive Economic Zone (EEZ) of Cyprus.

According to an announcement by the Ministry of Defence, the exercise will be held with the participation of SAR Units and Personnel from Cyprus, Egypt, France, Greece, the United Kingdom and the United States of America as well as the M/V «ALEXANDRIA» of Petronav from the European Maritime Safety Agency (EMSA) and the support vessels of EDT Offshore.

The Joint Rescue Coordination Center (JRCC) Larnaca will be coordinating the exercise in collaboration with the respective agencies from the Republic of Cyprus and the participating nations.

Saudi Aramco begins oil supplies to Egypt - MEMO

October 12, 2016 at 3:44 am

File photo from a Saudi-Aramco oil processing plant

Saudi Aramco restarted supplies of refined oil to Egypt, Tuesday, despite apparently failing to do so one day before and a beginnings of a broader potential rift between the two countries.

According to Hamdi Abdulaziz, a spokesman for Egyptian General Petroleum Corporation (EGPC), shipments have already started arriving.

Egypt and Saudi agreed on a deal worth $23 billion in April that would enable Aramco – the Kingdom’s state-owned oil company – to deliver 700,000 tons of petroleum products every month for five years.

However, reports emerged Monday that Egypt has not yet received shipments. On Monday, Aramco said that the delay in shipments is temporary, according to the Saudi news website Al-Mnatiq.

Israel's plan to supply the Arab world with energy is under threat in Jordan - NEWSWEEK

Gas route from Israel's eastern Mediterranean fields to Jordan

A campaign in Jordan against a gas deal with Israel underlines the challenges in building ties.
BY NATANEL ABRAMOV ON 10/11/16 AT 7:37 PM

Public protests and civil society campaigns have been gathering pace in Jordan in opposition to the $10 billion deal recently signed by the state-owned National Electric Power Company (NEPCO) and suppliers of Israeli gas, serving as a timely reminder of the limits of overt cooperation, economic or otherwise, between Israel and neighbouring Arab states.

Activists have organized street rallies and staged sit-ins outside NEPCO’s offices and in trade union gatherings. A rally in Amman on September 30 reportedly drew 2,000 people before being swiftly shut down by the police. On October 7 a “mass blackout” was held, in which protestors temporarily turned off their lights and electrical appliances.
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The possibility of cooperation between the region’s historical foes has been raised in recent years by the discovery of large, commercially exploitable gas reserves in the Mediterranean basin. The opportunities for ‘economic peace’ are at the centre of the Israeli government’s recent pitch for investment in its offshore exploration blocks. The theory, well-rehearsed by Israeli officials, is that by satisfying the large demand for energy in the Middle East with increasingly abundant Israeli gas, a new mutual interest between Israel and its neighbours is established.

EU energy security tops discussions at World Congress in Istanbul - AZER NEWS

11 October 2016 15:32

By Nigar Abbasova

Relations of Turkey and Azerbaijan, which are determined by historical, cultural, ethnic and religious connections, are gaining even more momentum due to mutually beneficial and successful cooperation of the two countries in the energy sector.

The 23rd World Energy Congress, grandiose event of colossal importance that brought together more than 10,000 top world leaders in the field of energy, became an additional evidence of the fact that successful cooperation between the countries may become a guarantee of energy security in a whole Europe.

Azerbaijan’s President Ilham Aliyev, speaking at the congress said that energy projects, jointly implemented by Azerbaijan and Turkey are of great significance for the world, mentioning that the role of the two countries in the issue of energy security can not be overestimated. The president emphasized that today the Southern Gas Corridor is among the largest energy projects all over the world.

Turkey will be an energy hub, Putin says - UPI

European partners view Turkey as a bridge to gas reserves in Azerbaijan.

By Daniel J. Graeber | Oct. 11, 2016 at 6:03 AM

ISTANBUL, Turkey, Oct. 11 (UPI) -- Turkey will become a major energy hub for the European market with assistance from the Russian government, President Vladimir Putin said.

Putin met with Turkish President Recep Tayyip Erdogan during a special session of the 23rd World Energy Congress. Alongside geopolitical issues related to the civil war in Syria, where both sides have varying allegiances, the two leaders discussed new life for the Turkish Stream pipeline, a revision to a much larger project meant to carry Russian natural gas to Europe.

Turkey's geographic position makes it desirable as a bridge to transport energy resources from Central Asian suppliers to the European market.

Israeli firm threatens action over rejected gas block bid - CYPRUS MAIL

October 11, 2016, Elias Hazou

A group of Israeli investors are threatening to sue Cyprus under its investment treaty with Israel, unless they are awarded the concession to explore for hydrocarbons in Block 8 of Cyprus’ economic waters.

CO Cyprus Opportunity, a Cyprus-listed company controlled by Israeli investors, are demanding that Cyprus should declare them the winners of a prior tender for Block 8.

The Israeli investors accuse the Cyprus government of acting in bad faith and deceptively in refusing to award the concession for Block 8 to the consortium, which comprises Cyprus Opportunity and Norway’s AGR.

According to Globes, the investors estimate the damage they have sustained in the billions of dollars, and say the conduct of the Cypriot government casts into doubt the economic viability of Israeli investments in the island.

Israel and Cyprus: In search of solutions to natural gas challenges in the Eastern Mediterranean - MODERN DIPLOMACY

October 10, 2016, by Antonia Dimou

The Eastern Mediterranean’s gas resources can promote cooperation, resolve conflicts and deliver financial benefits, resulting in contributions to the economic development of Israel and Cyprus.

Gas discoveries in Israel have the potential to transform the country’s energy outlook but despite opportunities, the exploration and development of gas fields with proven reserves have faced a stalemate due to regulatory issues and political concerns.

In an effort to overcome obstacles and reignite a number of preliminary agreements to export gas, the Israeli government approved a revised framework for gas regulation that favors the development of Leviathan and the expansion of Tamar fields seeking to establish a stable business climate and paving the way for Israeli gas to be exported. The main outlines of the gas regulatory framework center on the mandatory sale by Noble, Avner Oil & Gas and Delek of all their rights in the Israeli Tanin and Karish fields; and, a stability clause which foresees that the Israeli government guarantees regulatory stability for ten years. Additionally, as prescribed, the development plan of Leviathan field whose 9 billion cubic meters (bcm) annual gas surplus is destined for export will be carried out in two stages: The first lies in four development wells and an annual capacity production of 12 bcm. The second lies in four additional wells and an increase of the capacity production by another 9 bcm. Leviathan’s exports are destined to satisfy Israeli domestic demand, Jordanian and Egyptian power and industrial needs, as well as Turkish ambitions of becoming a hub for Eastern Mediterranean energy.

Trafigura, Vitol Said Among Bidders for OMV Turkey Fuel Unit - BLOOMBERG

Dinesh Nair, Ercan Ersoy
October 10, 2016 — 11:21 AM EDTUpdated on October 11, 2016 — 4:23 AM EDT

• Opet, Socar and private equity firms also said to bid
• Turkey’s Petrol Ofisi sale could fetch about $1.2 billion

OMV AG, central Europe’s biggest oil and gas company, has got initial bids from Vitol SA and Trafigura Group Pte for its Turkish fuel retailer OMV Petrol Ofisi AS, people with knowledge of the matter said.

Opet Petrolculuk AS, the State Oil Co. of the Azerbaijan Republic and private equity firms are also among the companies that made offers, said the people, who asked not to be identified because the process isn’t public. BP Plc and Saudi Arabian Oil Co., known as Aramco, are also weighing bids, the people said.

Russia, Turkey sign gas pipeline deal, talk Syria - DW

10.10.2016, Chase Winter

Turkey and Russia have signed a deal to build a major gas pipeline under the Black Sea. A gradual rapproachment since a falling out last year shows the two can pursue a pragmatic relationship.

Russian President Vladimir Putin and his Turkish counterpart Recep Tayyip Erdogan on Monday took steps to reconcile differences following a severe deterioration of relations between the two countries earlier this year.

Putin arrived in Istanbul for the World Energy Congress, his first visit to the country since Turkey downed a Russian jet along the Syrian border last November, triggering a crisis. Turkey apologized for the jet incident in June, leading to a gradual improvement in relations and Moscow clawing back damaging sanctions on the Turkish economy.

President in Greece ahead of tripartite energy talks - CYPRUS MAIL

Sisi, Egypt (left), Tsipras, Greece (center), Anastasiades, Cyprus

October 10, 2016 Angelos Anastasiou

President Nicos Anastasiades was in Greece on Monday for a quick one-day visit ahead of the fourth tripartite meeting with the leaders of Egypt and Greece in Cairo, which is expected to further deepen trade cooperation between the three countries.

In Athens on Monday, Anastasiades, accompanied by transport minister Marios Demetriades and government spokesman Nicos Christodoulides, attended a working lunch hosted by the Cypriot Shipowners’ Union.

He was then expected to award honorary certificates to relatives of Greek missing persons at an event attended by his Greek counterpart Prokopis Pavlopoulos.

Later in the afternoon, Anastasiades was expected to fly from Athens to Cairo for the tripartite summit between Cyprus, Greece, and Egypt.

Tsipras to travel to Cairo Tuesday for Greece-Cyprus-Egypt talks - KATHIMERINI

Last Egypt, Greece, Cyprus tripartite summit in December 2015

10.10.2016

Prime Minister Alexis Tsipras is to travel to Cairo on Tuesday for talks with Cypriot and Egyptian leaders on trilateral cooperation in a range of sectors.

The meeting will be the fourth such trilateral summit involving leaders of the three countries.

The last one was in December 2015.

The leaders are expected to focus on cooperation in energy and trade and closer political ties.

SOURCE

Israelis claim Cyprus gas exploration tender unfair - GLOBES

10/10/2016, 15:46
Globes correspondent

Israeli investors in C.O. Cyprus Opportunity say it should have been awarded the license for Block 8 in Cypriot waters.

A group of Israeli investors, including the general partner of Israel Opportunity, is demanding that the Government of Cyprus should declare C.O. Cyprus Opportunity and the international Norwegian operator AGR winners of the tender for Block 8 in the country’s economic waters, and receive its holding. The application to the Cyprus government is being made under the 1998 investment protection treaty between Israel and Cyprus.

The general partner, who also holds C.O. Cyprus Opportunity, claims that the Government of Cyprus infringed on his rights as an Israeli investor protected under the treaty, by refusing to grant the Cypriot partnership the ownership of Block 8, while discriminating against it in bad faith and deceptively. Sources at Israel Opportunity, controlled by Rony Halman and Uri Aldubi, estimate the damage they have sustained in the billions of dollars, and say the conduct of the Government of Cyprus casts into doubt the economic viability of Israelis’ investments in Cyprus. At the next stage, they intend to seek international arbitration against the Government of Cyprus at the International Center for Settlement of Investment Disputes established at the initiative of the World Bank, operating out of Washington.

Saudi Aramco informed Egypt about suspending oil product supply: official - REUTERS

Mon Oct 10, 2016 | 8:31am EDT

Reporting by Ehab Farouk; writing by Asma Alsharif; Editing by Adrian Croft

Saudi Aramco informed the Egyptian General Petroleum Corporation, Egypt's state oil company, in early October that it would halt the supply of refined oil products to Egypt, a government official told Reuters on Monday.

"Aramco informed the EGPC early this month of its inability to supply Egypt with shipments of petroleum products," the official said, without giving a timeline for the suspension or a reason.

Traders told Reuters last week that Egypt had not received October allocations of petroleum aid from Saudi Arabia, forcing its state oil buyer to rapidly increase tenders even amid a severe dollar shortage and growing arrears to oil producers.

Russia, Turkey resume gas price talks: Russian energy minister - REUTERS

A worker checks the valve gears in a natural gas control centre of
Turkey's Petroleum and Pipeline Corporation, 35 km (22 miles)
west of Ankara, January 5, 2009. REUTERS/Umit Bektas

Sun Oct 9, 2016 | 10:38am EDTReporting by Maria Kiselyova; Editing by Raissa Kasolowsky

Moscow and Ankara have resumed talks on the price of Russian gas for Ankara, Russian Energy Minister Alexander Novak said in an interview with Turkey's Hurriyet newspaper.

A gas price dispute between Turkish pipeline operator Botas and Russia's state gas producer Gazprom led to Botas launching international arbitration proceedings against Gazprom in October 2015.

The row had led to talks on their joint Turkish Stream natural gas pipeline project to be suspended earlier that year.

In November 2015, most contact between Russia and Turkey were halted after the downing of a Russian fighter jet by Turkish military, although since then Moscow and Ankara have made significant progress towards restoring relations.

Egypt says increasing tenders for oil to raise reserves -CBC / REUTERS

Sun Oct 9, 2016 9:23pm GMT

CAIRO Oct 9 (Reuters) - Egypt's recent spike in purchase tenders for petroleum products is part of ongoing efforts to build strategic stocks, the petroleum ministry spokesman said on Sunday on local television amid questions over a possible suspension of Saudi oil aid.

Saudi Arabia agreed to provide Egypt with 700,000 tonnes of refined oil products per month for five years under a $23 billion deal between Saudi Aramco and the Egyptian General Petroleum Corporation (EGPC) signed during a state visit this year by Saudi Arabia's King Salman.

Egypt has not received October allocations of petroleum aid from Saudi Arabia, traders told Reuters, forcing its state oil buyer to rapidly increase tenders even amid a severe dollar shortage and growing arrears to oil producers.