State power firm Israel Electric (IEC) has contracted to import six LNG cargoes this year, taking advantage of depressed international prices (MEES, 11 June). But partners in Israel’s key 23tcf Leviathan gas field say such imports put IEC in breach of a contract signed last year. This, they say, obliges the state firm to give Leviathan first refusal to supply any additional requirements beyond a 3bcm/y basic contract with the country’s other producing gas field, 11tcf Tamar (MEES, 21 June 2019).
Until Leviathan started up at the end of 2019, the Tamar field itself met this demand. Tamar supplied IEC with 4.66bcm in 2018 and 4.23bcm last year. Whilst the Leviathan partners are threatening litigation over the LNG deal, Tamar is the big loser. (CONTINUED - 847 WORDS)