Tamar Partners to Sign $750M Natgas Deal with Israel's Delek
JERUSALEM, March 9 (Reuters) – The partners in Israel's Tamar natural gas field said on Sunday they expect to sign a deal in the next few days to supply about $750 million worth of gas to IPP Delek Soreq, which is building a power plant in Israel.
A total of 3.3 billion cubic meters (bcm) will be sold over 15 years - or when IPP Delek Soreq consumes the amount of gas in the contract – starting in the first quarter of 2016, according to a statement to the Tel Aviv Stock Exchange.
The contract may be extended by two more years if after 14 years the quantity has not been fully used.
Tamar, discovered in 2009 off Israel's Mediterranean coast, is estimated to hold more than 280 bcm of gas. It began production a year ago and has already signed a number of lucrative deals in Israel.
Texas-based Noble Energy has a 36 percent stake in the field. Delek Group, through its units Avner Oil Exploration and Delek Drilling, holds a 31.25 percent share. Isramco Negev has 28.75 percent and Dor Gas Exploration holds the remaining 4 percent.
IPP Delek Soreq is controlled by Delek Group.
Last month, the Tamar partners agreed to sell at least $500 million of gas to two Jordanian companies in the first deal outside of Israel.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Gulfport Names Noble Energy Executive As Operations Chief (Jan 03)
- US Shale Producers Promise both Higher Output and Returns (Nov 03)
- Fault at Israel's Tamar Gas Field Prompts Use of Dirtier Fuels (Sep 22)
Company: Delek Drilling more info
- Leviathan Partners Approve Natgas Production Target For Late 2019 (Dec 12)
- Israel Approves Energean Purchase of Karish, Tanin Fields (Dec 07)
- Delek Drilling and Avner Agree to Sell Israeli Fields to Energean (Aug 17)
Company: Delek Energy more info
- Delek Said to Start Roadshow for $1.1 Billion Gas IPO Next Week (Jun 22)
- EnQuest in Talks to Sell 20% Stake in Kraken Oilfield to Israel's Delek (Jul 18)
- Leviathan Partners Raise Annual Natgas Production Forecast (Feb 25)