• 14 hours U.S. Oil Production To Increase in November As Rig Count Falls
  • 16 hours Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 18 hours Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 20 hours EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 22 hours Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 23 hours Aramco Says No Plans To Shelve IPO
  • 3 days Trump Passes Iran Nuclear Deal Back to Congress
  • 4 days Texas Shutters More Coal-Fired Plants
  • 4 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 4 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 4 days Chevron Quits Australian Deepwater Oil Exploration
  • 4 days Europe Braces For End Of Iran Nuclear Deal
  • 4 days Renewable Energy Startup Powering Native American Protest Camp
  • 5 days Husky Energy Set To Restart Pipeline
  • 5 days Russia, Morocco Sign String Of Energy And Military Deals
  • 5 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
  • 5 days China Set To Continue Crude Oil Buying Spree, IEA Says
  • 5 days India Needs Help To Boost Oil Production
  • 5 days Shell Buys One Of Europe’s Largest EV Charging Networks
  • 5 days Oil Throwback: BP Is Bringing Back The Amoco Brand
  • 5 days Libyan Oil Output Covers 25% Of 2017 Budget Needs
  • 5 days District Judge Rules Dakota Access Can Continue Operating
  • 6 days Surprise Oil Inventory Build Shocks Markets
  • 6 days France’s Biggest Listed Bank To Stop Funding Shale, Oil Sands Projects
  • 6 days Syria’s Kurds Aim To Control Oil-Rich Areas
  • 6 days Chinese Teapots Create $5B JV To Compete With State Firms
  • 6 days Oil M&A Deals Set To Rise
  • 6 days South Sudan Tightens Oil Industry Security
  • 7 days Over 1 Million Bpd Remain Offline In Gulf Of Mexico
  • 7 days Turkmenistan To Spend $93-Billion On Oil And Gas Sector
  • 7 days Indian Hydrocarbon Projects Get $300 Billion Boost Over 10 Years
  • 7 days Record U.S. Crude Exports Squeeze North Sea Oil
  • 7 days Iraq Aims To Reopen Kirkuk-Turkey Oil Pipeline Bypassing Kurdistan
  • 7 days Supply Crunch To Lead To Oil Price Spike By 2020s, Expert Says
  • 7 days Saudi Arabia Ups November Oil Exports To 7-Million Bpd
  • 7 days Niger Delta State Looks To Break Free From Oil
  • 7 days Brazilian Conglomerate To Expand Into Renewables
  • 8 days Kurdish Independence Could Spark Civil War
  • 8 days Chevron, Total Waiting In The Wings As Shell Mulls Majnoon Exit
  • 8 days The Capital Of Coal Is Looking For Other Options

Israel Passes Deal To Speed Up Leviathan Development

Noble Leviathan Drilling

The Israeli government hopes to jump start development of a massive natural gas field in the Eastern Mediterranean, ending an extended period of delays.

The government of Israeli Prime Minister Benjamin Netanyahu approved of a new deal for the Leviathan gas field over the weekend, a field that Noble Energy and Delek Group are poised to develop. At issue was a prior pledge from the Netanyahu government, which gave the energy companies a guarantee that they would not be hit with any regulatory or pricing changes for ten years. Israel’s Supreme Court invalidated that clause in March, calling it unconstitutional. Noble Energy warned that the court ruling could delay development. Related:The Wildest Predictions For Oil Prices In 2016

To comply with the court’s decision, the latest deal removes that controversial provision. But the Netanyahu government also included language in the deal that could lead to compensation to the companies if regulation changes in the future. “This is an important milestone in creating a stable investment environment," Noble Energy said in a statement.

“The new version gives future government space to judge whether to change policies in the field of natural gas, should this be required," Finance Minister Yuval Steinitz said in a statement. Related: Argentina Makes Good On Debts With These Energy Giants

Noble Energy and Delek Group intend to produce natural gas from the Leviathan field, with the hopes of bringing production online by 2019. Development has suffered several years of delays due to regulatory uncertainty. The Leviathan promises to provide gas to Israel, but also gas for export to Jordan and Egypt. The Israeli public has pushed back on the deal, arguing that the government is doing too much to protect the gas companies, at the expense of consumer prices.

Meanwhile, Italian oil giant Eni is moving quickly to develop a competing gas field off the coast of Egypt. The massive Zohr field is one of the largest discoveries ever recorded in the Mediterranean. Eni is fast-tracking the project, which could allow it to beat Noble Energy to the punch, bringing a major source of gas to the region.

By Charles Kennedy of Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News