Sunday, September 24, 2017

Tamar partners say gas shutdown will not have major sales impact - REUTERS

SEPTEMBER 24, 2017 / 10:03 AMReporting by Ari Rabinovitch; editing by Jason Neely

JERUSALEM, Sept 24 (Reuters) - A shutdown at Israel’s Tamar natural gas field caused by a cracked pipe is not expected to have a significant impact on quarterly revenue, and the problem will likely be resolved this week, the partners behind the project said on Sunday.

The stoppage, however, will take a toll on the country’s power stations, which have been forced to turn to more expensive fuels to generate electricity.

Saturday, September 23, 2017

Egypt's Zohr gas field to yield 500 mln cubic feet daily by end-2017 - REUTERS AFRICA

SEPTEMBER 23, 2017 / 4:32 PM
Reuters Staff

CAIRO, Sept 23 (Reuters) - Egypt’s giant new offshore Zohr gas field in the Mediterranean is set to be producing 500 million cubic feet per day by the end of 2017, Prime Minister Sherif Ismail said on Saturday.

The country imports peak at 10-12 shipments of natural gas per month, Ismail told reporters at the General Authority For Investment, adding that imports should decline significantly once the field starts producing.

Discovered in 2015 by Italy’s Eni with an estimated 30 trillion cubic feet of gas, the Zohr field is due to start producing in December.

Friday, September 22, 2017

OPEC’s ‘Problem Children’ Are Holding Down Oil Prices - THE WALL STREET JOURNAL

Monthly crude-oil production, percentage above or below October 2016 levels

Sept. 22, 2017 12:33 p.m. ET
Benoit Faucon and Summer Said

Rising output in strife-torn Libya and Nigeria is threatening the cartel’s bid to cut off oil supplies and balance the market
VIENNA—The Organization of the Petroleum Exporting Countries is scrambling to contain output from its strife-torn members Libya and Nigeria, where surging production could threaten to derail the oil cartel’s efforts to withhold crude supply and raise its price.

Libya and Nigeria were exempt from OPEC’s agreement last year to join with Russia and other producers to cut about 2% of the world’s oil production. The countries’ oil industries at the time were crippled by civil unrest and weren’t expected to recover soon.

Both have since struck deals with militants, allowing the spigots to be turned on again.

Thursday, September 21, 2017

Malfunction halts Israel's natural gas production - JERUSALEM POST

SEPTEMBER 21, 2017 21:13

Natural gas production grinds to a stop after a crack was detected in oil platform pipe on Thursday. Over half of Israel's power will be generated using coal for the next few days.

A malfunction in the Tamar gas field off the coast of Israel Thursday morning halted the production of natural gas.

In response, Energy Minister Yuval Steinitz activated section eight of the state's emergency protocol.

‘ExxonMobil plans to invest €5bn for Crete exploration’ - ENERGY PRESS


Global oil industry giant ExxonMobil has committed itself to investing 5 billion euros for hydrocarbon exploration and exploitation in the Greek market, Economy and Development Minister Dimitris Papadimitriou told investors at the 12th annual London roadshow of Athens-listed firms, as part of the government’s wider effort to present Greece as a market now beginning to attact major investments.

The minister made reference to a series of foreign investment plans for the Greek market, including that of ExxonMobil.

Sources have confirmed the ExxonMobil intention to set aside 5 billion euros for investments in the Greek market, developments permitting.

Tuesday, September 19, 2017

Gasser Hanter: Shell positioning itself as Egypt’s preferred future partner - ENERGY EGYPT / DAILY NEWS EGYPT

Gasser Hanter – VP Upstream, Country Chair & Managing Director Shell Egypt

September 19, 2017

The Apollonia project can boost Egypt’s unconventional oil/gas exploration and production.
In the wake of the ongoing economic reform programme adopted by the authorities and the plans to transform Egypt into a major energy hub, Daily News Egypt sat with Gasser Hanter, Vice President Upstream, Country Chair & Managing Director of Shell Egypt, which is responsible for around 20% of Egypt’s gas production and 10% of the country’s oil production to discuss the prospects of Egypt’s oil and gas sector, in addition to reviewing the company’s latest projects and updates in the Egyptian market.

ENI preparing to drill in ‘murky’ plot 6 - IN CYPRUS

September 19, 2017

There is a change of guard when it comes drilling within Cyprus’s EEZ.

The Italian giant ENI’s drill ship Saipem 12000 is scheduled to start a series of exploratory drills at the beginning of 2018 replacing Total’s West Capella, which has already left Cyprus after a disappointing gas find in Onisiphoros well in plot 11.

According to daily “Phileleftheros”, Saipem 12000 has already departed from Angola where it was operating and is heading to Tenerife for essential maintenance before arriving in Cyprus waters at the end of the year or the beginning of the next.

Lebanon passes oil tax law ahead of first energy-rights auction - WORLD OIL



BEIRUT (Bloomberg) -- Lebanon’s parliament approved a law to tax revenue from oil operations, weeks before its first sale of offshore energy exploration rights to interested companies like Total SA and ExxonMobil Corp.

Sunday, September 17, 2017

IOCs raise investments in Egypt to USD 10 bn this year – El Molla - ENTERPRISE

Sunday, 17 September 2017

International oil companies have raised their investments in Egypt to USD 10 bn this year on the back of payments the government have been making to arrears it owes them, Oil Minister Tarek El Molla tells Al Borsa on Saturday

Arrears had fallen to USD 2.3 bn, the lowest it has been since 2013, El Molla stated. The ministry plans to issue new tenders and auctions for concessions, he added.

BP says production from Zohr set to begin before year end - ENTERPRISE

Sunday, 17 September 2017

BP says it is on track to begin production from Zohr before the end of the year, according to comments made by BP CEO Bob Dudley to Reuters

BP completed the acquisition of 10% of Eni’s stake in the Zohr gas field in February, and Rosneft also owns a stake in the field.

Poor gas drilling results not all doom and gloom - CYPRUS MAIL

IOCs with interests (September 2017) in Cyprus' declared EEZ

September 17, 2017
Elias Hazou

News this week of the outcome at the Onisiphoros well generated all sorts of reaction, but for experts the main takeaway is that the gas find – albeit a small one – holds great promise for the future because it has scientifically confirmed the existence of a carbonate platform around the Eratosthenes Seamount south of the island.

Thursday, September 14, 2017

Vassilikos energy hub to host floating LNG facility - CYPRUS MAIL

Existing facilities at Vassiliko

September 14, 2017
Angelos Anastasiou

The government is planning to construct a jetty at Vassilikos port to host a floating storage facility for liquefied natural gas (LNG) to be used for power production, it emerged on Thursday.

According to local daily Phileleftheros, the plan is for Cyprus to start importing LNG at the end of 2019, with the state-owned electricity authority (EAC) pledging to have modified its generators to burn natural gas as of 2020.

Wednesday, September 13, 2017

Dana Gas rejects bondholders’ restructuring proposal in Islamic finance row - FINANCIAL TIMES

SEPTEMBER 13, 2017
Kate Allen 

UAE-based energy company Dana Gas has rejected an offer by its creditors to restructure $700m of Islamic bonds after the company declared its sukuk “unlawful”, in a case that could have wider implications for the Islamic finance market. 

Dana Gas, which operates in Egypt and Iraqi Kurdistan, told creditors in June that it would not make payments on the debt as the bond’s structure had been deemed unlawful after changes to UAE Islamic law. 

Some Dana Gas investors formed an ad hoc negotiation committee to argue that the move was a repudiation of the English law governing the Islamic finance product. 

Tuesday, September 12, 2017

Saudi Aramco plans extra SUMED crude oil sales: report - PLATTS

Cairo (Platts)--12 Sep 2017 725 am EDT/1125 GMT
Sherif Elhelwa, Edited by Adal Mirza

State oil giant Saudi Aramco is planning to sell more of its crude oil to Europe using the SUMED pipeline in Egypt, a senior official at Aramco Trading was cited as saying Monday.

The statement from Ibrahim Al-Buainain, CEO of Aramco Trading, followed a meeting with Egyptian oil minister Tarek el-Molla on Monday, Egypt-based information service Egypt Oil & Gas reported.

Buainain also said Aramco Trading was looking at using Egyptian refineries to process Saudi crude with the products stored at Sidi Kerir for sale in Egypt and to its neighbors.

The 320-km, 42-inch SUMED pipeline connects Ain Sokhna on the Red Sea to Sidi Kerir on the Mediterranean.

ICGB to launch tender for Greece-Bulgaria gas link construction by end-2017 - SEE NEWS

SOFIA (Bulgaria), September 12 (SeeNews) - ICGB, the project company developing the Gas Interconnector Greece-Bulgaria (ICGB) said on Tuesday it plans to launch several tender procedures for the construction of the pipeline by the end of the year.

"The company is in the process of preparation of the respective procedures for assigning the main contracts which are necessary for the start of the construction - selection of owner's engineer for the project; line pipe supplies; assigning of the detailed engineering, procurement and construction (EPC contract); archaeological research and selection of the construction supervision company," Sofia-registered ICGB said in a statement.

On September 1, ICGB submitted an application for a construction permit for the Bulgarian part of the pipeline. The permit is expected to be issued by the regional development ministry in the first half of September 2017.

Sunday, September 10, 2017

Expanding Israeli Corruption Probe Batters Energy Shares - BLOOMBERG

September 10, 2017, 5:17 PM GMT+3
David Wainer, Yaacov Benmeleh
  • Probe could widen beyond investigation of submarine purchases
  • Delek, Israel’s largest gas company, falls 4.3 percent
Israeli gas company shares plunged on Sunday after a news report suggested that police investigators scrutinizing the purchase of submarines may expand their probe to the gas industry.

Delek Group Ltd., Ratio Oil Exploration 1992 LP and Isramco Negev 2 LP were all sharply down in Tel Aviv after Channel 2 reported on Friday that police may begin to question politicians in connection with decisions regarding the energy sector.

Baker Hughes seals deal for Egypt's Zohr gas field - ZAWYA

10 September, 2017

Baker Hughes, a GE company announced on Saturday the award of a subsea contract from Petrobel for phase two of the “supergiant” Zohr Gas Field situated in the Mediterranean Sea, off the Egyptian coast.

Petrobel is a joint venture between IEOC (an Eni subsidiary in Egypt) and Egyptian General Petroleum Corporation (EGPC) and is in charge of the development of Zohr Field on behalf of PetroSherouk, a joint venture between Egyptian Natural Gas Holding Company (EGAS) and IEOC.

BHGE said in a statement that it will provide project management, engineering procurement, fabrication, construction, testing and transportation of a subsea production system and will support the installation, commissioning and start-up operations.

Saturday, September 9, 2017

GGP: The Balkan Gas Hub – A Bridge or barrier to the southern gas corridor? - NATURAL GAS WORLD / BULGARIA ANALYTICA

September 09th, 2017 7:25am
Ilian Vassilev

The need to move beyond the Balkan Gas Hub “Russia-only” or “Russia-mainly” paradigm seems indispensable if the ‘hub’ project – in the broad sense – has any chance.

The talk of billions of cubic meters of natural gas from non-Russian sources deserves a serious look to the north, but mostly to the south – The Southern Gas Corridor.

Yet what seems logical to everyone, does not inspire the management of the TSO of the Bulgarian gas system. The fact that none of these routes – TANAP, TAP or the Greek-Bulgaria Interconnector – contain specific numbers for potential gas flows makes things seem pre-ordained. The BGH essentially seems to be conceived as a redistribution center for Russian gas.

Less gas than expected at Cyprus’ Onisiforos - IN CYPRUS

September 9, 2017

Findings so far at Cyprus’ Onisiforos-West 1 region of Block 11 have reportedly proved to be somewhat disappointing at around one trillion cubic feet [corrected] of natural gas discovered, not enough to be commercially marketable on its own.

As reported by Greek-language daily Phileleftheros on Saturday, this also means that the deposit can only be exploited through the development of neighbouring deposits.

The paper said this was the impression that had emerged from the preliminary data collected by initial drilling, which ended late on Friday.

Friday, September 8, 2017

Energean gets approval to develop field offshore Greece - REUTERS

SEPTEMBER 8, 2017 / 12:56 PM Reporting by Karolina Tagaris; Editing by Mark Potter

ATHENS, Sept 8 (Reuters) - Energean, Greece’s sole oil producer, said on Friday it had secured approval to develop the Kataloko field in Western Greece, its third such project in the eastern Mediterranean.

The $50 million development plan is targeting 11 million barrels of oil equivalent (boe) discovered in the early 1980s by the state-owned Public Petroleum Corporation but which has remained undeveloped since.

“Energean is now unlocking the value of this very important project for the country as well as revealing the potential for wider exploration of the East Adriatic region,” Energean Chief Executive Mathios Rigas said.

EGPC approved to develop Suez Canal’s Ras Fanar region - EGYPT TODAY

Thu, Sep. 7, 2017

CAIRO – 7 September 2017: The cabinet approved Wednesday assigning the development of the Suez Canal’s Ras Fanar region to the Egyptian General Petroleum Corporation (EGPC).

According to the decision, EGPC is tasked with supervising the operations of oil and gas exploration in the region till the legislative procedures would be completed to enact a special law handling the zone.

This comes amid the increasing demand on the petroleum products and need in the local market for these products for development purposes.

Wednesday, September 6, 2017

Eni asks to drill its eighth well away from Zohr gas field’s first phase - ENTERPRISE

Wednesday, 6 September 2017

Eni has requested permission from the Egyptian Natural Gas Holding Company (EGAS) to drill its eighth well in Zohr away from the first phase development area of the gas field to confirm the size of the field’s reserves, Al Shorouk reports

EGAS has yet to reach a decision, a source from the regulator said. The Oil Ministry had announced last month that seven of the eight wells were drilled and producing, and that overall work on the field was 83.5% complete as of August. 

Zohr is expected to be fully developed by the end of 2018.

US oil giant ExxonMobil plans Cyprus gas exploration - MAIL ONLINE / AFP

6 September 2017 | UPDATED: 17:45 BST

US oil company ExxonMobil has signed an agreement to start drilling off the southern coast of Cyprus, pictured in 2015, as Cyprus looks to exploit more of its oil and natural gas resources

US giant ExxonMobil said Wednesday it plans to start drilling at two sites in the second half of 2018 to explore for energy reserves off the south coast of Cyprus.

Preparations to support the drilling operations are already underway, the company´s vice president Tristan Aspray said at a presentation in Nicosia.

He said the operations would take place back-to-back and begin in the second half of 2018.

SDX Energy fully funded for South Disouq exploration - ENERGY EGYPT / UPSTREAM ONLINE

September 6, 2017

Successful equity issue to finance fast-track development and fresh exploration wells at Nile Delta find onshore Egypt.

SDX Energy aims to drill two further exploration wells near its South Disouq discovery onshore Egypt where it is now targeting first gas in the first quarter of 2018 after raising cash in a successful equity issue.

Nuclear next for Egypt - PETROLEUM ECONOMIST

6 September 2017Gerald Butt

The country's expanding energy mix is aimed at ensuring steady electricity supply, thus minimising the risk of social unrest

Egypt is going energy mad. The country is on course soon to be self-sufficient once more in natural gas, with the mega-giant Zohr offshore gasfield due onstream in December. It's also pressing ahead with a number of renewables ventures. Now, Egypt has committed itself as well to nuclear power.

Like several other Arab countries, Egypt has been toying with the idea of a nuclear project for years without a clear notion of when and if it might proceed. In November 2015, the idea began to take shape when Egypt and Russia signed an intergovernmental agreement to work together on a nuclear scheme. That was the signal for the start of negotiations between the two sides. Almost two years later the documents are all ready.

Reasons why companies choose Cyprus - CYPRUS MAIL

A section of the VTTI fuel terminal at Vasiliko

Michael Theodoulou

The number and range of companies choosing to locate their regional or global headquarters in Cyprus have risen steadily in recent years. The trend is set to continue because of growing demands from global regulators that companies have a physical presence and substance in the country where they are registered – and both are easily established in Cyprus.

It came as no surprise that Cyprus’ location played a leading part in their decision. In one direction, the island is the eastern gateway into the EU’s market of 500 million people. In the other, it provides an ideal springboard into the evolving markets of the Middle East and Asia and enjoys excellent relations with the oil and gas-rich Gulf states.

Cyprus’ location also means that it enjoys business-friendly time zones. Companies can do business with the East in the morning, Europe throughout the day and with the West in the afternoon.

ExxonoMobil drilling in Cyprus’ Block 10 from 2018 - IN CYPRUS / CYPRUS WEEKLY

September 6, 2017

ExxonMobil will be drilling at two sites within Block 10 within the second half of 2018, the global energy giant announced on Wednesday.

Speaking to the press in Nicosia, the company’s Vice President for Europe, Russia, and Caspian, Tristan Aspray said that preparation to support the drilling is already underway.

He said the two drillings would be taking place back to back, with further exploration depending on the outcome of these.

Aspray noted that the Zohr and Leviathan finds have created cause for optimism, adding that ExxonMobil is also pleased with the commitment shown by the Cyprus government so far.

He also revealed that they are now in the process of securing a drilling platform.

Energean farm out to Repsol for 60% of Ioannina block endorsed - ENERGY PRESS


The energy ministry has endorsed an agreement between Energean Oil & Gas and Spain’s Repsol farming out 60 percent of the former’s exploration and exploitation rights to an onshore block in the Ioannina area, northwestern Greece.

Based on the agreement, signed last March, Repsol will also become the block’s operator.

At the time, the two firms had also reached a farming out agreement for a block in Etoloakarnania. This arrangement still needs to be endorsed in Greek Parliament before the energy ministry offers its approval.

Repsol intends to conduct a 2D seismic survey over the Ioannina block in 2017/2018 followed by an FTG airborne survey and a 2D geophysical seismic survey over the Etoloakarnania block in 2018/2019.

“Repsol’s know-how and Energean’s knowledge of the region undoubtedly reinforce the chances of new discoveries in western Greece and launch the development of the region into a new important reference point for the oil and natural gas sectors,” Energean Group Chairman & CEO Mr. Mathios Rigas had noted in the lead-up to this latest development.

Tuesday, September 5, 2017

Petrofac to build $404 million worth gas receiving terminal in TurkStream project - ANADOLU AGENCY

Ankara, September 5, 2017

Jersey-based oil field services company, Petrofac has secured a €340 million contract along with Gazprom subsidiary South Stream Transport BV to build a gas receiving terminal in Turkey, the company announced Tuesday.

The engineering, procurement and construction (EPC) contract includes the development of onshore pipelines and a gas receiving terminal near Kıyıköy on Turkey's northeastern Black Sea coast, a statement said.

The company has been undertaking early works since April, which includes detailed design and procurement for the offshore section of the TurkStream natural gas pipeline, it added.

Production from Shell’s Burullus gas fields rises to 526 mmcf/d in past year - ENERGY EGYPT

September 5, 2017

Production from Shell’s Burullus concession increased to 526 mmcf/d and over 6,000 bbl of condensates last year, Chairman of Shell JVs Rashpetco and Burullus Hisham Al Attar said, according to a statement from the Oil Ministry. Al Attar says that design and manufacturing works have been contracted on the West Delta Deep Marine Phase 9b project, but a contractor is yet to be picked. Rashpetco is set to drill two new exploration wells in 1Q2018, he adds, without specifying their location.

Chairman of Rashid Petroleum Company (Rashpetco) Hisham Al-Attar said that Burullus fields’ natural gas output rose to 526 million square feet per day and more than 6,000 barrels of condensates.

Monday, September 4, 2017

Indian Oil Minister tells "Reuters": We'll bid for Israel's blocks - GLOBES

4 Sep, 2017 17:36
Globes correspondent

“We will definitely bid for Israel’s oil-and-gas blocks,” Indian Oil Minister Dharmendra Pradhan told "Reuters."

“We will definitely bid for Israel’s oil-and-gas blocks,” Indian Oil Minister Dharmendra Pradhan has told "Reuters."

India and Israel have developed close economic and political ties over the past few years, which have included the visit of Prime Minister Narendra Modi in July, and the signing of major defense deals such as the $2 billion agreement signed by Israel Aerospace Industries (IAI) to supply India with advanced missile systems.

Now Pradhan has told "Reuters" that the Indian state owned Oil and Natural Gas Corp. (ONGC) will bid in the latest auction of 48 offshore blocks, which closes in November. "Reuters" also revealed that a high-ranking delegation from India visited Israel last month "to discuss taking part in the tender for blocks in the Mediterranean Sea and Israeli officials said they were pleased with the visit."

Petrochemicals rolling Hapoalim debt onto investors - GLOBES

David Federman
4 Sep, 2017 17:51
Nitzan Cohen

The company is trying to raise NIS 290 million from the public.

Israel Petrochemical Enterprises Ltd. (TASE:PTCH), controlled by David Federman and Alex Pesel, today received approval from the prime minister and minister of finance to attach Oil Refineries Ltd.(TASE:ORL) shares currently encumbered in favor of Bank Hapoalim(TASE: POLI) in favor of holders of bonds to be issued this Wednesday.

The bond issue terms state that Israel Petrochemical is seeking to raise NIS 290 million from the public at an interest rate to be determined in a tender. The maximum interest rate will be 7.35% - a spread of 690 points from the corresponding interest rate on risk-free bonds. The duration of the bonds will be 3.7 years.

The new series of bonds to be issued will be backed by a senior lien on Oil Refineries shares to be released from a lien in favor of Bank Hapoalim and the Bereshit fund after the debt to these firms is paid. Interest on the new bonds will be paid yearly on September 30 in 2018-2021.

Sunday, September 3, 2017

Is Egyptian Oil Set For A Rebound? -

Sep 03, 2017, 4:00 PM CDTHaley Zaremba

This week Egypt signed three major exploration deals with oil giants Royal Dutch Shell and Apex worth at least $81.4 million. The hefty international contracts will kickstart a large-scale oil and gas exploration in 16 new fields in the oil-rich Western Desert.

In a statement released by the Petroleum Ministry, it was announced that Shell will be investing $35.5 million in a single deal, while U.S.-based Apex has signed two different deals totalling $45.9 million, a hefty investment for their first ever projects in Egypt. The deals collectively encompass a massive 1.7 million acres, comprised of the areas of West Badr el Din and South East Meleiha.

While Egypt was once a major player in the global oil supply, their production has fallen sharply over the last years as demand has increased, putting them in the unfortunate position of being a net importer after years of being an energy exporter. Now, after the last few years of political turmoil, the government is making effort to get back on its feet. These deals with Shell and Apex are just the latest in an aggressive government campaign to bring foreign investment and exploration back onto Egyptian soil.

Saturday, September 2, 2017

Exxon Mobil ready to drill - IN CYPRUS

September 2, 2017
George Telaveris

September could be another milestone for Cyprus’ energy plans, as ExxonMobil and Qatar Petroleum consortium is about to announce its exploration programme in Block 10.

At the same time, the Total-Eni consortium will be announcing results from its natural gas exploration in Onesiphoros Block 11.

“ExxonMobil had been particularly active since signing the contracts with Cyprus in April, and is ready to give more details regarding its exploration programme,” a person familiar with the matter told the Cyprus Weekly.

The energy ministry and the consortium were not immediately available to comment.

Friday, September 1, 2017

Turkish tantrums achieve nothing - UPSTREAM ONLINE

London, 1 Sep 2017 07:35 GMT
Nassir Shirkhani

Attempting to disrupt a drilling campaign off Cyprus with military threats reveals how isolated President Erdogan has become

IT IS deja-vu again off Cyprus. Turkey is once more flexing its military muscles in an apparent attempt to scare Cyprus into halting exploratory drilling off the divided Mediterranean island.

The latest sabre rattling relates to drilling in offshore Block 11 by the drillship West Capella on behalf of France’s Total and Italy’s Eni.

Ankara was quick to dispatch two frigates and a submarine to shadow the vessel before upping the ante last week by issuing two marine advisories (Navtex) reserving access to parts of Cyprus’ exclusive economic zone (EEZ).