Delek Consolidating, Expanding

Israel’s Delek Group, the country’s leading gas producer, is looking to expand beyond the East Mediterranean and in May finalized the $590mn purchase of North Sea focused Canadian firm Ithaca Energy.

Last year Ithaca produced 9,310 barrels of oil equivalent per day (boe/d), 92% of which was oil, but this year it is forecast to produce 18-19,000 boe/d (80% oil, 20% gas), following the start-up of its Stella field in the North Sea.

Delek also announced the merger of its two subsidiaries Delek Drilling and Avner Oil on 17 May. The new firm, which will keep the name Delek Drilling, will have a market value of $4.4bn. (CONTINUED - 106 WORDS)