The UK’s Cairn Energy is in talks with Tel-Aviv based Delek Drilling, with a view to paying $1.1bn for a 22% stake in Israel’s second largest gas field, 11tcf Tamar, according to local Israeli press. This would put Tamar’s valuation at $5bn and would be a substantial chunk of cash for Delek which has since last year been scrambling to plug holes in its finances, raising $1bn in the process (MEES, 4 December 2020).

If the deal is finalized it would mark the UK firm’s second significant move in the region in as many months after it agreed along with Egyptian independent Cheiron to pay Anglo-Dutch major Shell at least $646mn ($323mn net to Cairn) for acreage which produced 30,700 b/d crude and 293mn cfd of gas for 2020 in Egypt’s Western Desert (MEES, 12 March). (CONTINUED - 604 WORDS)