• 5 minutes 'No - Deal Brexit' vs 'Operation Fear' Globalist Pushback ... Impact to World Economies and Oil
  • 8 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 12 minutes Will Uncle Sam Step Up and Cut Production
  • 3 hours Trump cancels Denmark visit amid spat over sale of Greenland
  • 5 mins Iran Is Winning Big In The Middle East
  • 3 hours Nor Chicago, nor Detroit: Killings By Police Divide Rio De Janeiro Weary Of Crime
  • 9 hours Not The Onion: Vivienne Westwood Says Greta Thunberg Should Run the World
  • 4 hours Strong, the Strongest: Audi To Join Mercedes, BMW Development Alliance
  • 21 hours Danish Royal Palace ‘Surprised’ By Trump Canceling Trip
  • 1 day Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 1 hour With Global Warming Greenland is Prime Real Estate
  • 11 hours OPEC will consider all options. What options do they have ?
  • 1 hour Gretta Thunbergs zero carbon voyage carbon foot print of carbon fibre manufacture
  • 24 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 22 hours A legitimate Request: France Wants Progress In Ukraine Before Russia Returns To G7
  • 16 hours What to tell my students

Israel’s Delek Drilling, Avner Oil Merge To Create US$4.4B Firm

Israel Oil

Israeli companies Delek Drilling and Avner Oil Exploration have fulfilled all conditions necessary to merge the two firms that are part of conglomerate Delek Group into a new entity that would have a market value of around US$4.4 billion (16 billion shekels).

Closing date of the merger of partnerships between Delek Drilling and Avner Oil is Wednesday, May 17, and trading of the shares of the new company is expected to begin on May 21, the two firms said in a joint statement.

Via Delek Drilling and Avner Oil, Delek Group holds stakes in Israel’s offshore natural gas fields Tamar and Leviathan.

In November last year, Delek Drilling and Avner Oil Exploration—the smaller partners in the Leviathan field alongside US-based Noble Energy—said that they had signed commitment letters from HSBC and J.P. Morgan, and the funds of between US$1.5 billion and US$1.75 billion would be used for the A1 development phase of the field.

In February this year, the partners in the Leviathan field ratified the final investment decision for the first phase of development, which entails gross capital investment of US$3.75 billion. Noble Energy—which operates Leviathan with a 39.66-percent working interest—said back then that it had sanctioned the first phase of the project, targeting first gas sales for the end of 2019.

Apart from the Delek Drilling and Avner Oil merger, Delek Group was recently active in an overseas transaction with the takeover of North Sea oil and gas operator Ithaca Energy, as part of the Israeli group’s plan to gain more international exposure. Last month, Ithaca Energy said that the conditions of the cash takeover offer by Delek Group had been satisfied and shareholders of Ithaca had accepted the offer, which values the shares of the takeover target at US$646 million.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Mark Levin on July 21 2018 said:
    Truly great news. Development of the Leviathan gas reservoir will grant Israel energy security, inject hundreds of billions of shekels to the state treasury from royalties and taxes, enable export of natural gas to countries in the region, and strengthen the geopolitical status of Israel.
  • Mark Levin on July 21 2018 said:
    Truly great news. Development of the Leviathan gas reservoir will grant Israel energy security, inject hundreds of billions of shekels to the state treasury from royalties and taxes, enable export of natural gas to countries in the region, and strengthen the geopolitical status of Israel.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play